Topic: Bitcoin Taxes USA (Read 946 times)

It will just add a lot of fees to the current system. As we all know that the conversion of fiat to crypto does already made a deduction fee with its corresponding percentage. The banks will make this to happen because trading exchange uses banks deposits and once confirm your account will be credited with equivalent to the amount you have deposited in the banks. Other than that if you will going to move bitcoin from one wallet to another wallet or to exchange wallet you will be then made another fee to deduct during the transfer and vice versa. So, is not really helpful. Besides government had already done taxing it using the exchange. They made some contributing percentage in the transaction fee's collected from the exchange every time you make a transaction.

All of those benefits will go mostly to politicians to make their life better and our life's i proving will be on the back space as always.

The online retailer Overstock, famous in the crypto community for its Bitcoin-friendly stance, announced it will be paying taxes in Ohio with Bitcoin!

https://coincodex.com/article/2826/overstock-will-be-paying-some-of-its-ohio-taxes-with-bitcoin/

As far as taxes are concerned you cannot call that as some kind of loophole on your own. You can call it whatever you like you still gained money out from it and hiding that part especially if it is a considerable amount of money won't be an easy thing to do. Capital gains is still capital gains and it is taxable, you might be trading from coin to coin but they still have fiat currency equivalent and you need to report it in your annual tax report. So if you don't want to be in the wrong side of the IRS I wouldn't be messing it up.

Simple. Your capital gains work similar to most alternative assets. Read up on the fundamentals to learn more: https://www.smartbitcoininvestments.com/bitcoin-investors-mini-guide-taxes/

it is impossible for something worthless to be taxed, so we can find out that bitcoin is very valuable, so many parties from several governments including the USA tax the bitcoin, this is proof that bitcoin has been recognized throughout the world, but with tax is a real recognition, for bitcoin owners or traders don't hesitate to do all their activities in buying and selling.

Tax withdrawals are usually imposed if Bitcoin is exchanged for a country's money and is used to pay for something, it will indeed be taxed, but is it possible for Bitcoin to be taxed if not used for anything, and not exchanged into any currency, the answer is impossible the tax that will be charged is the buying and selling tax and asset tax, maybe like that.

Don't forget that crypto2crypto transactions are taxable also

tax is only applicable on centralized currencies only and on centralized payment methods like zapy account   .

but what if a government is corrupt ? do you think that the tax will go thru the development of a country ? no mate , that tax that he collected will only go to his own pocket .  that is the reason that many people hated to be taxed  but in bitcoin there's no need to worry because bitcoin cant be taxed anyway .  


no you dont . if theres any payment then that isnt called a tax but rather it is called a transaction fee .   tax is only applicable on centralized currencies such as fiats  and on centralized payment methods like paypal  .

Well there is no really a problem regarding with taxing bitcoin as long as investment will be safe through taxes that could be converted to implement a program to ensure bitcoin investments to be safe especially those ICO projects. But, if it will not for the investors security then it should not be approriate to collect tax from bitcoin.

The government levied on its citizens for a profit and because Bitcoin was profitable, they did not except it.

Bitcoin taxes is a great idea.. It is better for developing a country the best. When we create a strong profits from bitcoin, then we pay taxes, that's a simple.

If it could be a government requirement for Bitcoin traders, then it will now play a role as a lubricant for Bitcoin trading.

In almost every country, the government seems to be over taxing the citizenry. I believe we need to put a stop to all these unnecessary  taxation on the people of the country. I think there is more for people to enjoy after taking their hard earned money as tax. But the issue has been the opposite where most citizens enjoy less benefits compared to the huge sums of money that they pay.

Bitcoin and its traction can be made into a legitimate operation, especially since many countries have already abandoned sanctions.

What are Taxable Events!

It’s likely that all cryptocurrency transactions will be treated as a taxable event; some being treated as income and others being treated as a capital gain or loss.
This can include:

* **Trading Cryptocurrency:**** **Buying and selling cryptocurrency can generate a capital gain or loss. Fortunately, losses can be used to offset gains.
* **Coin/Token Exchanges:**** **Exchanging between cryptocurrencies. For example, purchasing Ripple for Bitcoin would be considered a taxable event.
* **Selling Bitcoin for Fiat:** When converting cryptocurrency back into fiat (USD or other sovereign currency) this is treated as a taxable event generating a capital gain/loss.
* **Receiving Cryptocurrency (as a payment):** If a cryptocurrency is received in exchange for a product or service or a salary/wage (it is treated as ordinary income) the value of the transaction is calculated at the fair market at the time of receipt.
* **Air drops:**** **Treated as ordinary income based on the value of cryptocurrency on the day of the airdrop. Also, at time of exchange there will be a capital gain taxable event.
* **Exchanging Bitcoin for something of value:** This is a taxable event and may generate a capital gain or loss.
* **Cryptocurrency Mining:** Mining is considered ordinary income (determined by the fair market value on the day the coin/token was mined)

6 Ways to Avoid Capital Gains Tax on Your Bitcoin Transactions (https://medium.com/altcoin-magazine/6-ways-to-avoid-capital-gains-tax-on-your-bitcoin-transactions-cdea03e17eb4)

Thanks! Though for #1 I am referring to taxes for 2017, the new tax bill doesn't apply to those. I probably will just assume I have to pay taxes on all coin-to-coin trades just to be safe.

    Government that has from the onset told its citizens to stay away from cryptocurrency calling it SCAM are the
    ones taxing its citizens from profits generated from cryptocurrency related investment and business.

Not any more due to the recent tax bill. Like kind now only applies to "real property", i.e. real estate.


Probably.


I don't see why not. This is how stock trading works - if you can identify the specific block of stock being traded, then gains/losses are specific to that block.