Topic: Accept your US tax refunds in BTC from Refundo partnered with Bitpay (Read 164 times)

It's possible to pay tax in bitcoin in Ohio, USA. As far as I know this is first and only state that lets people to pay taxes in bitcoins. See this for more details: https://www.coindesk.com/ohio-becomes-first-us-state-to-allow-taxes-to-be-paid-in-bitcoin

LeGaulois
That way you can exchange as much as possible of your net profit into bitcoin and possibly your company's budget will grow hugely or opposite as you already mentioned. Btw not a bad idea (I mean tax refunds in bitcoin).

You don't care to give your ID for the KYC. Your Taxes department know you already and since it gives all your details to Refundo, what's the problem?. If someone doesn't want to send a document to this company then he shouldn't accept to be refunded in Bitcoin.

When you receive a refund from the Taxes department you usually consider it as your yearly bonus, since the money was already spent months ago. Savers like to use this money to save more. Someone in crypto can choose to save this refund in the hope that it will increase in value.

You pay $1000 per year
You received a refund worth $300 in bitcoin and after some months the price goes back to $20,000.

=> You won't pay any tax the next year ($1,000 saved). You will pay only 50% in 2 years, (500$ saved). Your purchase power increases


Now you say can the price may go down, it's volatile, etc, but someone in cryptos knows it already and takes the risk. Since it was a 'bonus', after all. Not saying it's free money because it isn't, but it's like when you win with a scratch ticket

Now another thing to consider.
You got your refund $300 and the price is now $20k. You sell to USD. Another point where the Taxes Dept will get free money again.
Since you will have to report the sales to be taxed appropriately. It will another airdrop with free money to the govt.

Same news was also published here: https://www.businesswire.com/news/home/20190430005183/en/

This can be considered as a great step into spread the adoption of electronic payment made in the powerful country of the world, but I would like to highlight two major points as I understood from the article:

1- It's Refundo company who started using crypto transactions via BitPay service, as an additional option for Tax refund. Not the government. So once Refundo receives the refund amount, it can proceed the payment to taxpayers in bitcoin. This why it has no sense to ask why taxpayers can't use BTC for the main Tax-payment, simply because Refundo isn't the US government and only working for the Tax-refunds. This is also why we can't compare this to Tax-payment in Switzerland.

2- Despite Refundo starts use BTC payments, it's still mandatory for its users to submit for a KYC policy, which means no difference between using BTC and other payment options in Refundo.

Seems that they do charge one flat fee for their service, I wonder how big that fee would be.

From the article:

It would be better to have a system like in Switzerland, where you can actually pay your taxes using Bitcoin.
Don't know if they also do tax refunds with Bitcoin. 

https://finance.yahoo.com/news/bitpay-partners-refundo-federal-state-130000496.html

This seems a bit niche but I've never received a tax refund in my entire life so I've no idea how useful this is. I burn everything the tax man sends me unopened.

The real biggie would be paying tax in BTC and I'll bet there's a substantial amount of money to be made considering what people give to exchanges instead.