Topic: Bitcoin Will Kill The Income Tax - page 34. (Read 29945 times)
yes but will not be long in let by the tax because more and more people getting rich because bitcoin and bitcoin will be the target of the tax officer
Bitcoin and anonymous crypto will definitely cause taxes to dry up. It will become one of the biggest problems of our lifetime.
It wont be that big of a problem. The governments will find ways to "alter" this situation. They will make stupid laws after laws that will make you pay taxes.
There is no way around it in the long term. On the short term you might be able to save a few houndred thousands.
Example: They will take fees anyone have mining farm or trading cryptocurrency on market, although they cannot track our transaction, but they can use this way for control trader and miner.
Bitcoin and anonymous crypto will definitely cause taxes to dry up. It will become one of the biggest problems of our lifetime.
It wont be that big of a problem. The governments will find ways to "alter" this situation. They will make stupid laws after laws that will make you pay taxes.
There is no way around it in the long term. On the short term you might be able to save a few houndred thousands.
Personally, I think that it is a good idea for a bitcoin and other cryptocurrency to kill income tax. The death of income tax will open up a wider opportunity for the users of bitcoin to have bigger income. But honestly, i think this isn't possible because income tax is primarily the source of budget of the government. It is our own contribution to the country.
Except for few Gulf countries, all country governament will run based on this income tax amount. If they not collect income tax then it is not at all possible to run the country. It will effect on the country economy. That is why the govt is not making this Bitcoin transaction legal in their countries. If they get any income, all countries will accept this Bitcoin. 
You know it doesn't matter at all, how many steps you put between the source of money and your point of spending. You can launder money, moving around, and keep it completely anonymous. But in the end, that exit strategy is going to be what's going to get you every time and that's where the IRS is going to be. At some point you're going to have to hand money over to a merchant for a product and there is no way that you're going to be able to make that anonymous
There are quite a few workarounds really
Which had been there long before Bitcoin was conceived, and in fact, even long before Internet itself was born. Indeed, if you have just a few thousand dollars, it makes no particular sense to follow these routes (to avoid being cornered by the IRS or similar tax agencies representing countries with insane tax burden like Sweden or France). But if you count your wealth in millions or rather dozens of millions of dollar worth of bitcoins (or just pure dollars), you may hire an experienced tax advisor, and you will never have to deal with the IRS (if you are from the US). This is what many celebrities, top-class professional sportsmen (Bjorn Borg) and movie stars (Gérard Depardieu) are doing on a daily (well, yearly) basis. Some get caught (like Wesley Snipes) but most come off crystal clear saving literally millions on taxes
You know it doesn't matter at all, how many steps you put between the source of money and your point of spending. You can launder money, moving around, and keep it completely anonymous. But in the end, that exit strategy is going to be what's going to get you every time and that's where the IRS is going to be. At some point you're going to have to hand money over to a merchant for a product and there is no way that you're going to be able to make that anonymous.
Personally, I think that it is a good idea for a bitcoin and other cryptocurrency to kill income tax. The death of income tax will open up a wider opportunity for the users of bitcoin to have bigger income. But honestly, i think this isn't possible because income tax is primarily the source of budget of the government. It is our own contribution to the country.
Well, ain’t that nice a dream. A bit idealistic but I really do hope for a tax free future. But as a part of the human race, I can testify that we are terrible and petty bastards. Do you think all people will be on this tax-free ride without giving a fight (ahem, politicians)? Do you think that voluntarily paying tax so that only legit and useful projects will be done and built will work? I guess it will as long as all people will agree to be mature and prioritize things without getting petty and ironic about. But I really do hope for this.
In this matter, I also like to be a little over positive. I also want to have a tax free future and if not that then at least very low taxation. But our governments and all the rulers of the world will get united against this idea and there is no way they will let taxation die out. I just hope crypto currencies will either low the taxation or being very ideal, will eradicate it.
Well, ain’t that nice a dream. A bit idealistic but I really do hope for a tax free future. But as a part of the human race, I can testify that we are terrible and petty bastards. Do you think all people will be on this tax-free ride without giving a fight (ahem, politicians)? Do you think that voluntarily paying tax so that only legit and useful projects will be done and built will work? I guess it will as long as all people will agree to be mature and prioritize things without getting petty and ironic about. But I really do hope for this.
No way a government will let it come so far.
They will find a way be sure of that. Crypto will make It a lot harder at least.
government have already make a regulation about it, people who still talking about how cryptocurrencies will kill Tax have no clue about their own country's law. They will find a way be sure of that. Crypto will make It a lot harder at least.
No way a government will let it come so far.
They will find a way be sure of that. Crypto will make It a lot harder at least.
They will find a way be sure of that. Crypto will make It a lot harder at least.
It will in future people might end up getting their salaries in bitcoin and that will change as price changes which is a really good factor if one can co-op with their expenses 1 month earlier they will clearly have a good profit just by holding it. Bitcoin mixing site can easily help us manipulate taxes
I just came across this article and I think in recent years we will have to pay tax on the conversion of crypto currencies to fiat currencies and even if there is any purchase made using crypto currencies.
* India Close to Finishing Work on Cryptocurrency Rule Proposals.
The basic idea is to put the tax on any realised gain made in crypto currencies. The things are yet in grey area and let's expect clarity soon.
* India Close to Finishing Work on Cryptocurrency Rule Proposals.
The basic idea is to put the tax on any realised gain made in crypto currencies. The things are yet in grey area and let's expect clarity soon.
Bitcoin and anonymous crypto will definitely cause taxes to dry up. It will become one of the biggest problems of our lifetime.
I agree that taxes might dry up - I don't however see this as one of the biggest problems of our lifetime (unless you work for the tax office). I think this new form of private money will require Governments to draw up a new social contract, as the current one is failing people all over the world. As well as ICO's, we could have IEO's (initial education offerings) or IHO (Initial health offerings).... The old system is dying. May it RIP.
. Then make the system of cryptocurrency changes the fees for helps miner have money pay tax.
The bitcoin income tax may never be heard again. But some wallets use fees to pay their taxes to the government. Often we get a deposit or transaction fee deduction for bitcoin. May be used bitcoin wallet to pay taxes. I think it's true bitcoin will eliminate income tax but can not eliminate on for bitcoin wallet ..
as we can see the acceptance of the bitcoin is increasing very fast the rate of the people who use bitcoin is increasing so it is no longer far that government will accept bitcoin but killing income tax is still so far because government will find some way to take tax from the bitcoin users through their rules but the income tax is not so much larger than the profit so it will be affordable 
As the age of cryptocurrency comes into full force, it will facilitate a subversively viable taxation avoidance strategy for many of the technically savvy users of peer-to-peer payment systems. In doing so, cryptocurrency use will act to erode the tax revenue base of national jurisdictions, and ultimately, reposition taxation as a voluntary, pay-for-performance function. In this post, I cover some of the benefits such a strategy will have for cryptocurrency investors, why our notion of taxation is ripe for disruption, and why cryptocurrency taxation is enabled by default.
Read The Full Article
Read The Full Article
Because of this thing in my country it is already taxable currency. Once you withdraw you crypto currency into fiat form then it gets taxed. This is because we have to justify for each transaction that goes through the bank, when something is coming into your bank then it has to be explained lawfully at the financial year end. I'm hoping that crypto currency taxation should be implemented as part of national investment and not strict amendment to avoid disruption of taxation as you said.
The bitcoin income tax may never be heard again. But some wallets use fees to pay their taxes to the government. Often we get a deposit or transaction fee deduction for bitcoin. May be used bitcoin wallet to pay taxes. I think it's true bitcoin will eliminate income tax but can not eliminate on for bitcoin wallet ..
as we can see the acceptance of the bitcoin is increasing very fast the rate of the people who use bitcoin is increasing so it is no longer far that government will accept bitcoin but killing income tax is still so far because government will find some way to take tax from the bitcoin users through their rules but the income tax is not so much larger than the profit so it will be affordable 
It could kill the income tax but not in the near future. There are so many people working online nowadays not paying taxes but still the government is surviving because income tax is not only their source, there are so many taxes. Maybe when many people will stop finding offline jobs and companies would be problematic because of the shortage of employees which I think is not a problem for now since there are still so many who are unemployed then that's the time government will do something to have a share of income in bitcoin. Maybe those that are having huge chunks of income could care and pay taxes but for small time earners, tax is a no-no in bitcoin earnings.
Hold your horses there, it may lessen the income tax but the government can alwayd find a way to tax your Bitcoin earnings. In my opinion, we are still lucky that the governmet is not yet fully knowledgeable about the Bitcoin and it's ability to provide a quite a big amount of money without being taxed. But sooner or later they will find out. And I am 100% sure that they will do something about it in order to get a portion of the Bitcoin earning from their people. And this is when the income tax will be revisited and adjustded up to the scope if income from Bitcoin.
This leaves a lot of room to debate
First, if you don't convert your bitcoins to fiat (dollars, euro, whatever), how is the government going to find out that you have bitcoins? Okay, they may finally make it somehow (i.e. learn about how much everyone has), then you just switch to using, say, Litecoin, and then the government is instantly back to square one. Second, if they are going to levy a capital gains tax, why should Bitcoin specifically be taxed differently (say, like luxury items in some countries)? And last (but not least), people involved with cryptocurrencies don't really care so much about fiat as many erroneously assume. And most of these holders will be happy to remain where they are, i.e. not going for fiat beyond what they might need for mere subsistence (then see the first point)
But what if the tax man asks about your new sports car you just bought with BTC ? Or can't they do anything ?
They could ask that anyway, Bitcoin or not
And you are not going to buy a new sports car for bitcoins either, at least, not in the nearest future (I mean en masse). Regardless, whether you are going to buy things with bitcoins (something of high value like houses, yachts, islands, etc), or you are just converting a massive amount of coins to fiat, you will quickly get on the radar of the tax service of your country (or anti-money laundering agency), so it is basically six of one and half a dozen of the other
Ok so it is best to use my Bitcoin on small items the tax man really can't trace or cares about. Things like sound systems gaming consoles and pc hardware bit larger things I would need to claim capital gain on. Makes sense to me. Thanks KS for the answer you very helpful in the forum I have noticed so thank you.
Hold your horses there, it may lessen the income tax but the government can alwayd find a way to tax your Bitcoin earnings. In my opinion, we are still lucky that the governmet is not yet fully knowledgeable about the Bitcoin and it's ability to provide a quite a big amount of money without being taxed. But sooner or later they will find out. And I am 100% sure that they will do something about it in order to get a portion of the Bitcoin earning from their people. And this is when the income tax will be revisited and adjustded up to the scope if income from Bitcoin.
This leaves a lot of room to debate
First, if you don't convert your bitcoins to fiat (dollars, euro, whatever), how is the government going to find out that you have bitcoins? Okay, they may finally make it somehow (i.e. learn about how much everyone has), then you just switch to using, say, Litecoin, and then the government is instantly back to square one. Second, if they are going to levy a capital gains tax, why should Bitcoin specifically be taxed differently (say, like luxury items in some countries)? And last (but not least), people involved with cryptocurrencies don't really care so much about fiat as many erroneously assume. And most of these holders will be happy to remain where they are, i.e. not going for fiat beyond what they might need for mere subsistence (then see the first point)
But what if the tax man asks about your new sports car you just bought with BTC ? Or can't they do anything ?
They could ask that anyway, Bitcoin or not
And you are not going to buy a new sports car for bitcoins either, at least, not in the nearest future (I mean en masse). Regardless, whether you are going to buy things with bitcoins (something of high value like houses, yachts, islands, etc), or you are just converting a massive amount of coins to fiat, you will quickly get on the radar of the tax service of your country (or anti-money laundering agency), so it is basically six of one and half a dozen of the other
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