US Government Urges Supreme Court to Reject Coinbase User's IRS Challenge

The US government maintains that Coinbase user James Harper has no Fourth Amendment rights regarding shared transaction records, emphasizing the validity of IRS procedures.

Summary

The US government has requested the Supreme Court to dismiss Coinbase user James Harper's challenge against the IRS for accessing his crypto transaction records. The government contends that Harper has no Fourth Amendment rights over records he shared with Coinbase and that the IRS acted lawfully in acquiring the information through a judicial summons. This case originates from a 2016 IRS investigation into tax underreporting related to cryptocurrency gains, prompting Coinbase to provide records of high-volume traders. The Supreme Court has yet to make a decision, which may uphold the First Circuit's ruling favoring the IRS.

Terms & Concepts
  • Fourth Amendment: Part of the US Constitution that protects citizens from unreasonable searches and seizures.
  • John Doe summons: A legal order allowing tax authorities to obtain information about unidentified individuals from a third party.
  • IRS: The Internal Revenue Service, the US government agency responsible for tax collection and enforcement.