Topic: Bitcoin Will Kill The Income Tax - page 42. (Read 29945 times)

Am I the only one who thinks it heavily smells like socialism here?

First, I don't quite understand why being rich is evil since this is what you imply here. What is the evil arising from being rich exactly? If there is nothing wrong in that after all, why should the rich necessarily pay more taxes than generic humans? Second, what about legal tax avoidance? I refer to using legal means to lower your tax burden. Further, what national budget are you talking about? Income tax paid by individuals makes only a tiny part of the national budgets of most countries, and I guess it is more than offset by an inflation tax alone. And what about the latter? Are you okay with it too?

yeah definitely bitcoin will kill the income tax. Because none of the goverment can regulate it because of its anonyous nature. Actually its going to be a threat to all governments in the world where taxes are there. Since bitcoins are anonymous it will be difficult to get the income tax from the people. If government doesnt get income tax, how will goverment function properly. How salaries will be paid for government officials. How government is going to survive.So definitely all governments will ban or regulate the usage of bitcoins in future. Definittely they will find a way to regulate it. Otherwise it will affect the economy of the country.

Bitcoin has no negative impact yet in our country since almost only 1 % are just using or has known in our place, so our government is not yet focusing on this matter and I don't think that amount would kill the income tax. There are lots of taxes which the government can sustain for the needs of one country.

It may kill the income tax, because government hardly enforce the tax law with our bitcoin revenue, we don't need to report it, there are many other countries that do not charge income tax on capital gains, making bitcoin is no need to pay the tex, would be very happy life.

Bitcoin will kill the income tax? Well, for me it is possible but I think bitcoin still has a long way to go. Besides, bitcoin is still not acceptable worldwide. And also, the government cannot continue all their project if there will be no income tax! We need to take that into consideration.

yes somehow it will kill income tax and it will become a problem when more or more people get into this business but i think in future bitcoin organisers and developers change their policies and make a way for that to overcome this problem........

Tax if very important to the government as it is its lifeblood, without taxes they cannot make infrastructures and maintain it
This is exactly the main reason why did the European government like the united kingdom did adopt and studied bitcoin right away because of that certain potential that you've stated(there is only a certain problem with comes to identifying its taxpayers tho, they should have to find a way about that certain matter
But if I were to have my salary, I would prefer it in bitcoins. If Bitcoins managed that, it would be helpful. It would benefit the people but not the government. I hope the future of Bitcoin would be brighter than it ever was before.

May relate:
http://www.resilience.me/basicincomeco---a-peer-to-peer-basic-income-network.html

Right, the government budget were based on the tax gathered by their people. In bitcoin there were really transactions that are not influence by tax. That is why maybe bitcoin banned in some countries. But there were some transaction especially when cashing out or transferring money in banks or making it into fiats that have tax. In terms of income tax it is hard to implement or declare tax based on bitcoin tax due to its unstable value.

It is not a national sport. Tax Evasion is an illegal thing that people do to avoid paying their taxes. For starters taxes are created to mitigate the evil arising from being rich which means they are actually avoiding what is right to keep them in balance. There is a bigger picture than you as an individual avoid taxes. Think about half of your population avoids taxes what will happen to your national budget?

for record, sell crypto and not declare the profits to the IRS is a criminal or any the less criminal act and so reprehensible. Just to say that bitcoin, as precious metals, is a good way to not be harrassed by the State.
taxs evasion  is a national sport. do not get caught it is imperative. lol

I think it won't happen as long as bitcoin user keep use legal services and government ask every legal services which accept bitcoin to include tax as well which automatically converted to their fiat currency.
The real problem when bitcoin user spend their bitcoin which don't take taxes at all such as non-registered online shop and black market.

You still don't get it

If we talk about, for example, a property tax, they will have to provide an evidence showing that you actually own the property that is taxable. And if you really own it, say, an apartment, they just send an inquiry to the Real Estate Registration Chamber and get an official reply and report which will serve as an irresistible proof in the court. There is basically nothing that you can do to avoid this tax. In fact, that part was not meant as an advice but, nevertheless, you'd better not take to court such cases since it will be a losing case for you, and you will be forced to pay the tax anyway as well as penalties and duties. And it is a completely different story when they have to prove that you lead too wealthy a life which seemingly doesn't match your level of income. Say, they see you driving a luxurious sports car (or the guy next door reports on you) while officially you are unemployed and living under the bridge, but how would they find out what you paid for it?



Maybe, you bought it for just 1 dollar from your playmate?


I cropped that part to avoid overquoting, no ill intent implied on your part


As you can see, your point hinges on the assumption that the government (or rather the tax agency) will impose an arbitrary amount of income tax on you, which is pretty much your wild guesses. Obviously, Bitcoin has nothing to do with them. But that is not what I contested

In some point you are right but since i guess we are not talking a reality here yet and just expectations so that is acceptable. However could bitcoin really lessen the certain country to develop? or it can burst a certain countries development who knows?

I do not know where you life, but it seems to be a great place, because i would not pay any taxes there and just let them prove everything. If everybody would do the same, then they would have to much to do to collect all the taxes and most would not pay a cent. Thank god they never had the idea to do it otherwise.
Because it would be so much easier to collect taxes for them if you had to pay them and in order to pay less if you had to go to court and prove you point, which makes sens since you should have all the required papers.
But since you have been there and could make a deal, i guess we taxpayers are all wrong. I do not care if you pay your taxes or not, but i certainly hope that nobody takes your advice.

What does Bitcoin as such have to do with all that? Nothing. That was my point. It is not relevant if we talk about fiat or Bitcoin or whatever form of payment. My "I do not see how Bitcoin can play here a role in anyway." was a reply to a comment which you conveniently cut out.

will be harder than you think, specially if you are a big holder

one day your spendings will cross the things that the revenue can find, like cars, houses and bank transfer, and you'll have to explain how did you get the money to pay for them.

but for the smaller holders may be useful, because you can increase your monthly earnings by a few thousands, don't pay taxes and still don't draw enough attention from the tax people to be caught

This is another question entirely

And it has nothing to do with what you claimed initially, i.e. that "they don't have to prove anything", that "they can just make up a number", and that "[you should] prove that you have earned less", which is obviously not the case in practice. They can't take and levy an income tax on you as they see appropriate or based upon how high they assess your real income judged by your belongings and possessions. They can't even make you pay the tax themselves even if they have all the evidence against you since they will still have to prove their point and assessment in court (they, not you). I've been there and seen that when I didn't pay the "legitimate" property tax, but they abandoned the claim after we had settled the issue between ourselves (I just didn't know how much I should pay). Get it?


What does Bitcoin as such have to do with all that?

i think some how it will do so but as bitcoin proceed and as people became use to of it it will change its term and conditions and it will conclude a proper way of taxation for the specific country of the user.....

In my country and I hope in a number of others too most of the tax is collected from the companies and the income tax also depend on the business of the person like if a person have a company then the tax is collected from him according to the budget and profit of the company so I think the income tax will remain in place.

Yup! that is why the some of countries banned the bitcoin  .But no doubt that economic growth of the world increasing day by day . So here unlimited numbers of opportunities to get profit and start worldwide buisnness without much tax or transaction charge .
Here no doubt that tax is somewhat is going for the government because daily transactions of bank money for one account to another results into reasons to pay taxes .
So here in very small amount we are still paying tax .