[2014-12-19] The Guardian: Bitcoin hit with tax blow in Australia

bitbouillion

sr. member

Activity: 868

Merit: 250

Now they are in phase 3 of 4: "fight it".

But worth reading this:

Quote

The difference lies in whether the company buys and sells bitcoin itself, or merely facilitates transactions between third parties in a manner akin to a stock exchange. If it is the latter, then GST is only due on the percentage commission the exchange charges - not on the total amount bought.

ArticMine

legendary

Activity: 2282

Merit: 1050

Monero Core Team

I have said it before and will say it again. Bitcoin will be used to legally avoid and also evade the GST in Australia. https://bitcointalksearch.org/topic/m.9655980

pawel7777

legendary

Activity: 2436

Merit: 1561

http://www.theguardian.com/technology/2014/dec/19/bitcoin-hit-tax-blow-australia

Quote

Australia’s tax authorities have ruled that bitcoin transactions are subject to the goods and services tax (GST), suggesting that the cryptocurrency is not likely to be classed as “money” in the near future.

The ruling mainly applies to Australian businesses running bitcoin exchanges, which let customers trade real money for the digital currency. The decision means that when bitcoin is bought from an exchange, it will have to pay GST on the supply of bitcoin.

GST does not usually apply to financial transactions, meaning that a conventional money exchange does not have to charge the tax when Australians buy foreign currency.
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Topic: [2014-12-19] The Guardian: Bitcoin hit with tax blow in Australia (Read 678 times)