The chief of criminal investigations at the United States Internal Revenue Service (IRS), Guy Ficco, has disclosed plans for intensified enforcement against cryptocurrency tax evasion in the coming year.

Speaking at the Chainalysis Links event in New York, Ficco indicated a projected increase in "Title 26 crypto cases" for 2024, just ahead of the April 15 tax filing deadline.

Cryptocurrency-related tax evasion, falling under Title 26 of the U.S. Code, involves deliberate attempts to underpay or evade taxes through illicit means such as concealing income or inflating deductions.

Ficco highlighted a shift from cryptocurrencies being primarily associated with financial crimes like fraud and money laundering to a surge in "pure crypto tax crimes," including failure to report income from crypto transactions and concealing the true basis of crypto assets.

To bolster enforcement efforts, the IRS has partnered with entities like Chainalysis, recognizing the need for specialized tools to navigate the complexities of the cryptocurrency space.

Ficco emphasized a tougher stance on cases involving unreported crypto income or falsified tax returns, citing recent indictments as evidence of heightened scrutiny.

The IRS's crackdown echoes global efforts to refine taxation frameworks for digital assets, with Japan and South Korea among the jurisdictions implementing measures to combat crypto tax evasion.