Bitcoin Rally - Bill in Congress to treat Bitcoin as Currency - page 3.

DrBitcoin

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Activity: 350

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Quote from: BitchicksHusband on April 15, 2014, 11:45:07 AM

That would be FAR worse, for me at least. I plan on retiring and paying 0% taxes! How can I do that if they class it as a currency?

That's very smart of you! Are you from US? If so, not paying your taxes is. Ot only a crime, but it is what SCUMBAGS DO! If you love your country, then don't we need money for schools? What about the road your car drives on? Or bridges? How about parks? He'll...what about that Submarine currently looking for the MH370 plane?

Listen, paying taxes suck! But it is necessary in modern societies. You can debate all you want how crooked politicians waste our tax income, or how taxes are too high...but one thing you SHOULD NOT DO IS NOT PAY YOUR TAXES! That is one of the dumbest AND least patriotic things you can do! If you love your country, then you must pay your taxes. Period.

cbutters

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Activity: 294

Merit: 250

Quote from: xDan on April 15, 2014, 12:28:56 PM

Quote from: jl2012 on April 15, 2014, 12:21:55 PM

So you just need a digital wallet to help you do all the accounting behind the scene, and generate a report for you at the end of the tax year

"just"

I love that optimism Tongue

We barely have wallets that don't randomly destroy your money or run on iOS...

Agreed, I use too many wallets to be able to consolidate them all, and if you trade.... forget about it.
Although some accountants state that reporting requirements would only be for large stakeholders investing and trading, buying a cup of joe or tipping someone would be negligible and not require reporting.

That said, how many people use amazon and/or buy online and ACTUALLY write down all their purchases and report and pay taxes on it? I haven't seen anyone go to prison for tax evasion for buying on amazon.

xDan

hero member

Activity: 688

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ヽ( ㅇㅅㅇ)ﾉ ~!!

Quote from: jl2012 on April 15, 2014, 12:21:55 PM

So you just need a digital wallet to help you do all the accounting behind the scene, and generate a report for you at the end of the tax year

"just"

I love that optimism Tongue

We barely have wallets that don't randomly destroy your money or run on iOS...

SgtSpike

legendary

Activity: 1400

Merit: 1005

Quote from: Raystonn on April 15, 2014, 12:12:50 PM

The current IRS guidance creates onerous reporting requirements on anyone using Bitcoin in a transaction, including retailers and consumers. This will negatively affect the adoption of Bitcoin as a currency, and thus negatively affect the inflow of new fiat. The linked news would remove this problem.

That's not entirely true.

If Bitcoin was treated as a currency, then the gains/losses would still need to be reported (and taxed) for any transaction over $200. What's even worse is, those gains/losses would be "gain/loss on foreign currency", which is taxed at ordinary income rate instead of the long term capital gains rate (typically 15% higher tax rate).

Even though the current treatment means you have to report every single transaction instead of just those over $200, I still much prefer it because of the much lower tax rate.

Granted, if you've held your Bitcoins for less than a year, the tax rate is the same.

jl2012

legendary

Activity: 1792

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Quote from: Raystonn on April 15, 2014, 12:12:50 PM

The current IRS guidance creates onerous reporting requirements on anyone using Bitcoin in a transaction, including retailers and consumers. This will negatively affect the adoption of Bitcoin as a currency, and thus negatively affect the inflow of new fiat. The linked news would remove this problem.

So you just need a digital wallet to help you do all the accounting behind the scene, and generate a report for you at the end of the tax year

Raystonn

sr. member

Activity: 364

Merit: 250

The current IRS guidance creates onerous reporting requirements on anyone using Bitcoin in a transaction, including retailers and consumers. This will negatively affect the adoption of Bitcoin as a currency, and thus negatively affect the inflow of new fiat. The linked news would remove this problem.

gentlemand

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Welt Am Draht

Even though it sounds very unwieldy on the surface, I can't see how the tax treatment they've chosen so far could've been changed all that much inside current rulings.

Perhaps one day it'll justify its own categories.

seriouscoin

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Activity: 658

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Quote from: siggy on April 15, 2014, 12:01:49 PM

Quote from: BitchicksHusband on April 15, 2014, 11:45:07 AM

That would be FAR worse, for me at least. I plan on retiring and paying 0% taxes! How can I do that if they class it as a currency?

Have to agree here... I saw people going all apeshit over the initial ruling and just can't get my head around why... Doesn't everyone (well us Americans anyways) realize that this was the BEST realistic tax treatment for bitcoin? Classifying Bitcoin as currency means the majority of Americans will pay MORE in taxes. The only thing that could have been better was a ruling of no-taxes.. and I do not consider this a realistic hope.

Sigg

Because those are kids and never done taxes in their lives?

I dont see how treating it as currency would change how bitcoin is being used except only make it alot more taxable to government.

siggy

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Activity: 381

Merit: 250

Quote from: BitchicksHusband on April 15, 2014, 11:45:07 AM

That would be FAR worse, for me at least. I plan on retiring and paying 0% taxes! How can I do that if they class it as a currency?

Have to agree here... I saw people going all apeshit over the initial ruling and just can't get my head around why... Doesn't everyone (well us Americans anyways) realize that this was the BEST realistic tax treatment for bitcoin? Classifying Bitcoin as currency means the majority of Americans will pay MORE in taxes. The only thing that could have been better was a ruling of no-taxes.. and I do not consider this a realistic hope.

Sigg

BitchicksHusband

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Activity: 378

Merit: 255

That would be FAR worse, for me at least. I plan on retiring and paying 0% taxes! How can I do that if they class it as a currency?

Raystonn

sr. member

Activity: 364

Merit: 250

I have seen many posts from folks incredulous on the reversal that started after the 10th. They say there is no news and no new fiat that would support a rally. While much of the rise is probably unrelated to any news, and more technical in nature, I offer this as one piece of news I would classify as bullish. There is now a bill in Congress to treat Bitcoin as currency for tax purposes:

http://www.breitbart.com/Breitbart-Texas/2014/04/10/Rep-Stockman-Proposes-New-Method-of-Taxation-on-Bitcoins

-Raystonn

Topic: Bitcoin Rally - Bill in Congress to treat Bitcoin as Currency - page 3. (Read 2978 times)