Stick a Fork in It: Crypto Litigation Heating Up | Cadwalader, Wickersham & Taft LLP
The crypto industry and government are engaging one another in various courtrooms to gain an advantage on unresolved crypto tax questions like forks and staking. In this issue, we spotlight an early Bitcoin investor challenging a roughly $29.4 million deficiency notice related to Bitcoin hard forks, and the Jarretts, who are Bitcoin investors whose first court case was dismissed and who are now back in court arguing that crypto staking rewards should not be included in gross income until sold.
In November, Benjamin Rogovy and Carol Castellon Miranda petitioned the Tax Court to challenge a roughly $29.4 million deficiency notice stemming from Bitcoin hard forks. Their petition claimed that Rogovy owned Bitcoin in 2017 and 2018 when…
