Do people have to pay taxes on Bitcoin? - page 9.

Zohina

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Quote from: imrul5 on June 27, 2018, 11:41:32 PM

Tax law is dependent on your country and locality. Recently in the United States, the IRS has declared that Bitcoin is to be treated as property, not currency, for tax purposes. All income in the US is taxed, regardless of what form it takes. If you’re paid in bitcoins, you’re supposed to pay taxes on your earnings at the BTC/USD exchange rate when you receive payment.

Is it a good decision or bad?

In my opinion, the owner of BTC or criptocurency may be taxed but the taxes are subject to taxes on sale and purchase transactions, because if the property tax is incorporated it is very difficult to detect ownership and it can encourage people to conduct electronic transactions and can stabilize BTC prices.

Ayston

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Paying taxes on crypto depends on your government, if you have a tax law regarding with crypto then you need to pay since its compulsory, but if there is nothing then why not enjoy the freedom of not having! because in the future all crypto might undergo surveillance for tax monitoring.

BitHodler

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Quote from: darkangel11 on July 17, 2018, 03:17:45 PM

The problem is that some governments (mainly the US) are trying to make you report unrealized gains. Thankfully I don't live in the land of the virtualy free Cheesy

I fit in the same category and I'm from Europe. If that isn't enough, I am also forced to pay tax over my total holdings on a yearly basis. Even if my wealth tanks hard I still have to pay tax.

It basically means that if you have €100,000 on your bank account, you regardless of the situation have to pay 1.5% over that capital every year. In other words, having money costs money, which is completely retarded.

I am not entirely against paying tax, but this form of taxation is actually theft. Calculate for yourself how much of that €100,000 is left after years and years of paying 1.5% in tax.

sunsilk

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Quote from: frankiemalton on July 17, 2018, 01:51:22 PM

As this is a virtual currency, does that mean I have to declare the sale for tax purposes? I've been told any gain is tax-free because the money doesn't really exist in tangible form.

It may not exist as tangible form but it has value that you can gain after selling it and taking part of it into fiat money.

darkangel11 explained it very well so if you are living in a country that pushes you to declare a gain that came from crypto's then you are obliged to do so.

But in most countries, this isn't an issue it doesn't matter to them if your income came from crypto's or anything legit and legal online. I guess it's a matter of jurisdiction and your government's ruling about it.

darkangel11

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Don't let others control your BTC -> self custody

Quote from: frankiemalton on July 17, 2018, 01:51:22 PM

As this is a virtual currency, does that mean I have to declare the sale for tax purposes? I've been told any gain is tax-free because the money doesn't really exist in tangible form.

I don't like the name virtual currency because it implies that it doesn't really exist. It acts like something that it really isn't. Cryptocurrency or electronic currency are much better names.
In most countries you don't have to declare unrealized income at all. You can understand unrealized income as something that is virtual (the word fits much better here), but does not exist in any fiat currency or tangible goods. Once you exchange it, sell it for something, that price times the amount of coins becomes your taxable income. The problem is that some governments (mainly the US) are trying to make you report unrealized gains. Thankfully I don't live in the land of the virtualy free Cheesy

frankiemalton

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As this is a virtual currency, does that mean I have to declare the sale for tax purposes? I've been told any gain is tax-free because the money doesn't really exist in tangible form.

richardsNY

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Quote from: imrul5 on July 17, 2018, 11:00:23 AM

Tax definitely a good for Any state but this is not the time to impose tax on BTC or any other cryptocurrency.

If you look at things from that perspective, when will it ever be a good time to impose tax on crypto? Every attempt by the government to impose tax is bad timing for you and me. Just admit it, no one likes to pay tax with how unfair everything is set up -- there is no one other than the state that benefits from tax income. I'm not much of a believer in the theory of governments using tax income within the country to benefit the country. Maybe that a small percentage of it is put to good use, but what about the rest? The far majority of our money is being put to work in places we don't want it to be put to work. I haven't seen much improvement where I live in the last 2 decades -- everything is going backwards real quick....

imrul5

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Quote from: smiledeveloper on July 17, 2018, 01:50:40 AM

Hey Buddy,

Tax law vary from country to country. So it's all about local laws. I never pay taxes on bitcoin.
If you using bitcoin for online purpose such as online shopping then you never have to pay any single taxes.

Thanks for the info. It is really sad to see bad effect on cryptocurrency market. Tax definitely a good for Any state but this is not the time to impose tax on BTC or any other cryptocurrency.

Eleven86

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It depends upon the country which you resides, in your country if government put tax for bitcoin then you have to pay tax it is necessary. I think most of the country couldn't put the tax for bitcoin. Few countries now put tax for bitcoin, so its purely depends upon the government of the country.

smiledeveloper

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Hey Buddy,

Tax law vary from country to country. So it's all about local laws. I never pay taxes on bitcoin.
If you using bitcoin for online purpose such as online shopping then you never have to pay any single taxes.

Yurkov

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Pepemo.vip

That depends on country but i cannot see world with crypto which will be legal worldwide without taxes cause goverments must find some way to earn profits from making crypto legal in their country.

bits4books

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Crypto is not a religion but i like it

I think that tax is good. Introducing a tax on something, we recognize the crypt and as a consequence we fix the status and rules. From the gray sector, the tax allows the bitcoin to go into the legal business process. We give citizens the opportunity to pay taxes in return to recognize their income as legal.

imrul5

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Quote from: CptWhsikeyjack on July 15, 2018, 01:23:12 PM

You have to pay taxes only if you have cashed out your bitcoins. That means if you converted them back into dollars. Unless there has been an increase in your dollar balance due to cashing out of bitcoin since the time of investment then you have to pay taxes for the profit you made on investing in bitcoin.

What about the shopping. Do we have to pay tax on our daily transactions.

1Referee

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Quote from: imrul5 on July 14, 2018, 11:33:49 PM

It is true that people always try to cheat the system. But only wealthy people can do that. General people have to follow the rules and regulations.

That's just nonsense. I am not wealthy but I game the crap out of this system where I can. I am not going to follow idiotic rules and regulations meant to push me further into the hole.

Quote from: imrul5 on July 14, 2018, 11:33:49 PM

I think it is better to have some tax on cryptocurrency. So that government will find some benefit on cryptocurrency.

Then go ahead and pay as much tax as you can. Good boy.

Quote from: imrul5 on July 14, 2018, 11:33:49 PM

Also government will work for the betterment of BTC as well as for other cryptocurrency.

Governments won't do shit. It's not up to them anymore, but up to you to stand up and fight for your rights. If it was up to the governments you would stay their little passive income slave for ever. You don't help yourself by financially supporting criminals. You help yourself by solely using money they can't seize in any shape or form if you play it smart, which is Bitcoin.

I'm sure a lot people here will not agree with me, but that's okay; the mass is always the one sinking deeper down with the years.

CptWhsikeyjack

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ERC20 Address:0x09b9b7032c3ad01E42aD8A185D765a6d03

You have to pay taxes only if you have cashed out your bitcoins. That means if you converted them back into dollars. Unless there has been an increase in your dollar balance due to cashing out of bitcoin since the time of investment then you have to pay taxes for the profit you made on investing in bitcoin.

imrul5

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Quote from: Biscutard on July 15, 2018, 10:10:10 AM

Quote from: imrul5 on June 27, 2018, 11:41:32 PM

Tax law is dependent on your country and locality. Recently in the United States, the IRS has declared that Bitcoin is to be treated as property, not currency, for tax purposes. All income in the US is taxed, regardless of what form it takes. If you’re paid in bitcoins, you’re supposed to pay taxes on your earnings at the BTC/USD exchange rate when you receive payment.

Is it a good decision or bad?

I think it depends on the law of every countries to pay taxes but they have to make a good regulation first. But my question is how would they will know that you have a higher income because of trading when they don't really know what or how's the fluctuation works.

I am even more confused than you. It is a decentralised system and it has fixed amount of coins. If government impose tax on BTC, it will take control the amount of BTC holding by their citizens. As a result it will loss its decentralised characteristic.

Yhandukha

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i dont think so. as far as i understand bitcoin is not design to pay tax. it maybe depend on the government. theres no law today about the tax of bitcoin.

Biscutard

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Quote from: imrul5 on June 27, 2018, 11:41:32 PM

Tax law is dependent on your country and locality. Recently in the United States, the IRS has declared that Bitcoin is to be treated as property, not currency, for tax purposes. All income in the US is taxed, regardless of what form it takes. If you’re paid in bitcoins, you’re supposed to pay taxes on your earnings at the BTC/USD exchange rate when you receive payment.

Is it a good decision or bad?

I think it depends on the law of every countries to pay taxes but they have to make a good regulation first. But my question is how would they will know that you have a higher income because of trading when they don't really know what or how's the fluctuation works.

imrul5

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Quote from: delphic on July 14, 2018, 05:46:13 AM

The regulations governing the taxation of bitcoin and other crypto-currencies differ significantly in different countries. In some jurisdictions (EU), bitcoin is considered a currency, others (the US and Australia) regard it as an asset. Some countries (Japan) adhere to the intermediate approach, defining bitcoin as "equated to assets carrier value." In many other countries, the system of regulation and taxation has not been developed yet, and the representatives of the financial sector consider them to be high-risk speculative investments.
Initially, I think it's still necessary to fix the official status and fix the attitude in the state to the crypto currency, and then demand taxes for it. And do not forget that the idea was about anonymous operations in the first place. And the taxation system oppresses this idea.

Yes, I am taking about it. I am against the tax on cryptocurrency. Imposing tax on BTC will bring a real bad effect on cryptocurrency market for sure. It is time to think about this matter. Cryptocurrency supposed to be anonymous and decentralised. If government impose tax on BTC then it will be centralised.

imrul5

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Quote from: BitHodler on July 13, 2018, 04:39:07 AM

Quote from: imrul5 on July 13, 2018, 03:54:29 AM

But I am talking about bad effect on cryptocurrency market. Don't you think it is bad for the bitcoin

It shouldn't be. In the end people will just look for ways to conveniently cheat the system, which has been happening for decades in the regular market. The wealthy elite doesn't do anything other than that to preserve wealth.

Local crypto markets around the world have been exploding due to all the regulations that people are sick and tired of, and I'm happy that the regular people with crypto have another option now.

I think that eventually when crypto becomes more mainstream than it is right now, that we'll see lower tax rates in an attempt to lower the bar for people to report their holdings and gains. It's only a matter of time.

It is true that people always try to cheat the system. But only wealthy people can do that. General people have to follow the rules and regulations. I think it is better to have some tax on cryptocurrency. So that government will find some benefit on cryptocurrency. Also government will work for the betterment of BTC as well as for other cryptocurrency.

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