“Israel Launches Investigation into NFT Creators for Suspected Tax Evasion – Latest on Bitcoin News”
trace the sales of thousands of Western Wall NFTs, which were allegedly sold without proper tax reporting. The NFTs were based on a 3D scan of the stones of the Western Wall, one of the holiest sites in Judaism.
The tax authority suspects that Cohen and Polak failed to report almost $2.2 million in revenue from the sales of their NFTs. The investigation comes after the recent arrest of a graphic designer from Tel Aviv who was accused of similar offenses.
The Israeli government has been cracking down on tax evasion in the cryptocurrency industry, which has seen a surge in popularity in recent years. Last month, the country’s tax authority issued new guidelines for the taxation of cryptocurrencies, stating that they should be treated as assets for tax purposes.
The investigation into Cohen and Polak is ongoing, and it is unclear whether they will face any charges. However, the case highlights the need for greater transparency and accountability in the cryptocurrency industry, particularly when it comes to tax reporting.