https://bitcointalk.org/index.php?topic=54645.0;all
I personally haven't made it into the green yet, but hope to cut Uncle Sam. Check next year after I make some dough this year
I agree with the commodity approach.
Topic: Bitcoin Tax Information - Interesting - page 3. (Read 4652 times)
I have yet to find someone who has actually declared mining income or capital gains (and paid taxes) for the tax return due today April 17, 2012.
https://bitcointalk.org/index.php?topic=54645.0;all
I personally haven't made it into the green yet, but hope to cut Uncle Sam. Check next year after I make some dough this year
I agree with the commodity approach.
https://bitcointalk.org/index.php?topic=54645.0;all
I personally haven't made it into the green yet, but hope to cut Uncle Sam. Check next year after I make some dough this year
I agree with the commodity approach.
I believe they will be treating bitcoins as a commodity like gold.
The only thing I found interesting was that you have NO income lol
How much was that TradeHill cheque? $5?
How much was that TradeHill cheque? $5?
But the joy of bitcoin is anonymity... even if your profits were declared taxable, couldn't you just convert the cash into bitcoin and hide it?
If by "cash" you mean fiat notes, then they are already much more anonymous and untaxable than bitcoins. Converting said cash into bitcoins will only be creating a paper/electronic trail and setting off alarm bells among caesar's compromised tax collectors.
Yes, you can pour loads of money into your "hobby" and not be allowed to deduct one red cent, but Caesar wants a piece of your first nickle of income.
well I believe Caesar has a minimum of $200 or so before needing to file, but for the most part, yes
I don't need to file any taxes this year
Just want to clarify here because the words you are using don't jive with your conclusion.
A person whose income is below certain levels is not required to file taxes. That doesn't mean their income, from whatever source, isn't considered taxable income.
And related:
- http://www.bankrate.com/finance/money-guides/turning-hobby-into-business-means-tax-breaks.aspx
No, seriously. H&R block said don't even bother coming in, that I have NO income.
I don't need to file any taxes this year
Just want to clarify here because the words you are using don't necessarily back your conclusion.
A person whose income is below certain levels is not required to file taxes. That doesn't mean their income, from whatever source, isn't considered taxable income. Did you intend to say that you don't need to report any Bitcoin-related income this year instead?
And related:
- http://www.bankrate.com/finance/money-guides/turning-hobby-into-business-means-tax-breaks.aspx
[edited for clarity]
Yes, you can pour loads of money into your "hobby" and not be allowed to deduct one red cent, but Caesar wants a piece of your first nickle of income.
So if you made 100 BTC last year and it's sitting in your wallet.dat, how much do you send to the IRS? Do they even have a receiving address for BTC?
hobby income still requires taxes be paid on it
Yes, you can pour loads of money into your "hobby" and not be allowed to deduct one red cent, but Caesar wants a piece of your first nickle of income.
hobby income still requires taxes be paid on it
I think in the UK it would come under "capital gains tax" I reckon so you only pay ~18% after £10,600.00 or about of capital gains. So you would have to make more than £10,600.00 to offset your tax.
Yes the UK the land of 50% tax for top earners but only 18% for the 1%.
Edit: In the US you have even more loopholes for the rich than the UK so you should all be laughing?
Yes the UK the land of 50% tax for top earners but only 18% for the 1%.
Edit: In the US you have even more loopholes for the rich than the UK so you should all be laughing?
So, about 2 months ago I went to H&R Block to get my taxes prepared. I explained to the lady, who apparently was very experienced and had worked there for many years, about Bitcoin. At the time, she told me that she was unsure of how to treat Bitcoin with regards to taxation -- is it a business? Is it a hobby? Is it an investment?
Well, 2 days ago I finally got my answer. After asking the 5 longest-working members at that particular H&R Block location AND after calling the IRS, the lady said that Bitcoin is a hobby. She knows that I buy precious metals with Bitcoin, knows that I have money in accounts all over the globe, and knows that I have conducted business deals and have provided services specifically dealing in Bitcoin. I even showed her an old TradeHill check of some of my profits.
Long story short, I don't need to file any taxes this year
But then again, I was kinda hoping to write off some of my computer equipment as a business expense.
Well, 2 days ago I finally got my answer. After asking the 5 longest-working members at that particular H&R Block location AND after calling the IRS, the lady said that Bitcoin is a hobby. She knows that I buy precious metals with Bitcoin, knows that I have money in accounts all over the globe, and knows that I have conducted business deals and have provided services specifically dealing in Bitcoin. I even showed her an old TradeHill check of some of my profits.
Long story short, I don't need to file any taxes this year
But then again, I was kinda hoping to write off some of my computer equipment as a business expense. Jump to: