A non-fungible token (NFT) dealer might withstand six years in jail after admitting he underreported almost $13 million in earnings from promoting CryptoPunks.
Based on an announcement launched by the U.S. Legal professional’s Workplace for the Center District of Pennsylvania on April 11, Waylon Wilcox, 45, pleaded responsible to 2 counts of submitting false particular person earnings tax returns.
Federal prosecutors stated Wilcox did not report greater than $8.5 million in earnings on his 2021 tax return. This resulted in an unpaid tax invoice of about $2.18 million.
He additionally underreported almost $4.6 million in earnings on his 2022 tax return, reducing his tax due by roughly $1.09 million.
Wilcox earned most of this cash by shopping for and promoting 97 CryptoPunks NFTs over two years. In 2021, he bought about 62 NFTs, incomes round $7.4 million. In 2022, he bought 35 extra for roughly $4.9 million.
Authorities stated Wilcox falsely claimed on his 2021 tax return that he had no monetary exercise involving digital forex. The shape requested, “At any time in 2021, did you obtain, promote, alternate, or in any other case dispose of monetary curiosity in any digital forex?” He marked “no.” He gave the identical false reply in 2022.
Wilcox entered his responsible plea in Cumberland County on October 10, 2023. Beneath federal legislation, the utmost sentence for the offenses contains as much as six years in jail, supervised launch, and a wonderful.
