Elon Musk and FTX Fine: Robert Kiyosaki suggests buying Bitcoin, gold, and silver in case the market faces a downturn or a significant collapse.
The Internal Revenue Service (IRS) has fined the closed crypto exchange FTX a hefty $24 billion because the government couldn’t determine the exact figures related to the alleged fraud. On November 30, the IRS raised tax allegations that had been unresolved for several months. FTX reported that the IRS warned of halting the Debtors‘ advancements and any payments to customers and other creditors indefinitely.
Dogecoin Creator and Elon Musk React to IRS Fine on FTX
In response to the substantial tax bill faced by FTX, Dogecoin creator Billy Markus took a jab at the IRS, suggesting that the focus on tax collection might overshadow compensating fraud victims. In a post on the X platform, Billy highlighted what he sees as a misplaced priority, where the system seems to prioritize government dues over reimbursing those who suffered financial losses due to fraud.
Joining the conversation, SpaceX CEO Elon Musk, a prominent supporter of Dogecoin, expressed his curiosity about the case by commenting “Wow” on the same post. While it’s a simple reaction, Musk’s comment underscores the significance of the hefty fine, drawing widespread attention.
The post garnered responses from X users and victims of the FTX collapse. Many users echoed Billy’s sentiments, urging the IRS to return the exploited funds to those affected.
FTX faced bankruptcy in early November 2022, with reports revealing that the associated trading firm, Alameda Research, derived a significant portion of its value from speculative cryptocurrency tokens.
IRS Files $24 Billion Tax Claims Against FTX Amid Controversy
In a recent filing, the Internal Revenue Service (IRS) has lodged 47 pending claims against the defunct crypto exchange FTX, estimating a hefty total tax burden of around $24 billion. Contrary to this, FTX’s advisers assert that the company not only holds no tax liability but also boasts over $11 billion in net taxable losses.
FTX, now seeking to value the tax claims at zero or an amount determined during trial, argues that allocating the majority of its assets for IRS claims would be detrimental. The IRS allegations against FTX include a range of taxes, encompassing unemployment, payroll withholding, income, and partnership taxes.
This development follows the Department of Justice imposing a $4 billion fine on Binance, marking one of the largest penalties ever imposed on a cryptocurrency exchange. If the IRS’s charges against FTX are proven, the $24 billion tax penalties would stand as the largest in cryptocurrency exchange history.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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