Topic: Explain the income in bitcoin ? (Read 1660 times)
By analyzing it, i see that it carries the same law. Earnings from investments and salary on services are all classified as income. One is passive and one is active. Same income tax law will apply if a person declares it depends on the percentage their country has. Its both an asset anyway.
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
I get bitcoin earnings from a signature campaign, paying a bit of bitcoin each week, because I happen to be a trusted site member so that this earnings can stay. As well as some I get from buying and selling bitcoin in some exchanges that I happen to make a wallet to store my bitcoin... If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
Tax regulation on crypto-currency is not clear in my country. But I will pay the taxes as per tax slap declared by Revenue department on the money that I cash out in Fiat.
Yes, that is the right way we have to follow our countries rules and regulation until they declare about the new slab of tax. Like South Korea, i hope every country will start accepting bitcoin as a payment method but they will collect huge taxes o it.
When the government of a concrete country will tax crypto currencies' income I think that this fact is going to be announced in advance on many channels. My strategy is to wait and make bitcoin without any taxation till the law of taxation will not be accepted, and after I will think of my next move.
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
Naturally, it will depend on jurisdiction, but it is certainly possible to receive your payment in material things. In that case, your payment should be declared as the monetary value of the goods received. So if you receive your payment in Bitcoin, it should be the market value of the amount received on the day that you got paid with bitcoins. But it makes sense only if Bitcoin is not illegal in your country, of course. Otherwise, you can't be paid in Bitcoin.
Many people earn income in bitcoin through investing their money, holding it and wait the perfect time to sell it. Through this they can obtain instant money for less effort.
my opinion about this bitcoin is an advancement for technology in today's world, and it is from this bitcoin that will enliven all the bitcoiners around the world in self-employment.
You didn't even read out on whats the thing being said on op.Its not about the transition of bitcoin into employment thing but talking about the income itself on how to declare those stuffs.Tax regulation on crypto-currency is not clear in my country. But I will pay the taxes as per tax slap declared by Revenue department on the money that I cash out in Fiat.
When we do earn some amounts on bitcoin then us people do have the decision if we do sensible enough to pay up taxes voluntarily without the need of regulations which government should supposed to do. Tax is an obligation and even if we do earn on bitcoin we do still end up on exchanging them into fiat. 
Tax regulation on crypto-currency is not clear in my country. But I will pay the taxes as per tax slap declared by Revenue department on the money that I cash out in Fiat.
my opinion about this bitcoin is an advancement for technology in today's world, and it is from this bitcoin that will enliven all the bitcoiners around the world in self-employment.
I think it depends on each individual, because every country has different laws about regulation in bitcoin,
so it will be difficult to equate perception
so it will be difficult to equate perception
My government is not agree with bitcoin so they absolutely disagree to make bitcoin as salary or income.
Their decision is wise enough because they want protect people from bad attempt that can be cause by bitcoin
For me the most profitable would be mining, that is if you got the right tech in your place. It is what i am earning for right now, as the price is now increasing. It might be late but at least it is a start. Participating in services bounties and tokens for me, is just a minor earning but at least it is a good start for people who really doesnt have enough money fot mining.
For bow I dont know what is mining really all about and I think I will stay still in signature campaigns which was the plan inside my mind, I sfay here feels so home and private that will make more peaceful.
I think it depends on each individual, because every country has different laws about regulation in bitcoin,
so it will be difficult to equate perception
so it will be difficult to equate perception
based on my personal experience here in the company of bitcoins, you can gain or collect more incomes through trading .. Buying and selling gives you a high revenue.
Other people tend to invest their earnings in some company which they provide a high yeild of interest for a high return on investment and other people hold their bitcoins to have a high intrinsic value.
High Yield Interest of just simple HYIP isn't consider as a stable income or part of source on where you do gain bitcoin because most of them are all scams and also I would like to say that bitcoin isn't a company after all which you would be paid by it but rather you would really need still to do hardwork for you to earn. Income or taxation would really depend on your countries laws if they already implement such inclusion of cryptocurrency income. Other people tend to invest their earnings in some company which they provide a high yeild of interest for a high return on investment and other people hold their bitcoins to have a high intrinsic value.
based on my personal experience here in the company of bitcoins, you can gain or collect more incomes through trading .. Buying and selling gives you a high revenue.
Other people tend to invest their earnings in some company which they provide a high yeild of interest for a high return on investment and other people hold their bitcoins to have a high intrinsic value.
Other people tend to invest their earnings in some company which they provide a high yeild of interest for a high return on investment and other people hold their bitcoins to have a high intrinsic value.
Income in Bitcoin may come in different sources. I will give you the 3 main source I know to earn Bitcoins and be considered as an income when converted into fiat currency.
1) Signature Campaign- This is actually what I am doing now. Signature campaign is like a concept of advertising. You are going to wear an advertisement which is the signature and sometimes also with an avatar. The payments differ per ranks. The higher your rank the higher the pay will be. And payments are commonly made once a week. It may be per post or a standard payment weekly.
2) Mining- In this kind of activity you need to invest on a hardware and electricity. The concept is you are gathering transactions and the income is the transaction fee. I am not very familiar with the technicality but this I think earns a lot of you have a good miner.
3) Trading/Investing- Trading means you are a short time investor who buys and sells from time to time. While investing is when you hold it for a long term investment.
1) Signature Campaign- This is actually what I am doing now. Signature campaign is like a concept of advertising. You are going to wear an advertisement which is the signature and sometimes also with an avatar. The payments differ per ranks. The higher your rank the higher the pay will be. And payments are commonly made once a week. It may be per post or a standard payment weekly.
2) Mining- In this kind of activity you need to invest on a hardware and electricity. The concept is you are gathering transactions and the income is the transaction fee. I am not very familiar with the technicality but this I think earns a lot of you have a good miner.
3) Trading/Investing- Trading means you are a short time investor who buys and sells from time to time. While investing is when you hold it for a long term investment.
thanks a lot,
. i have heard about mining and tradingI've researched something about signature campaign here in the forum and i found out i wasn't involved in signature campaign yet for there are minimum rank requirements before i can join.
I've been asking this too,
Also, does one bitcoin take too long to collect? Since it costs much
Also, does one bitcoin take too long to collect? Since it costs much
The bitcoin which is called as income in any kinds of jobs you have ; is the so called wage or salary or whatever it is as long as it is a payment to what have you done in working. We have different kinds of jobs in the services section, you earn bitcoin if it is paying bitcoin, some are paying in dollars or tokens or bounties. EVERY Job you applied that is legal then the payment you will be able to received is Considered LEGAL.
The profit that we received from our jobs on bitcoins is considered as our income, and it depends on the country that we belong if the governments will impose a taxation on it. But it is better that the government would not impose tax on it because there are many officials who are corrupt. This is one of the reason I enter into bitcoin is to avoid tax from the government.
That was really helpful. Extremely short and clear answers.
Small amounts are easy to win, but yesterday all Bitcoin investors had a hard time and investors had a fear of losing half of their investments. So getting more and more harder day by day is getting more and more.
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
more investing,more joining in legal signature campaign then it well be more income in bitcoin....must fucos to forum me join and let be participate all investing so we have earning to income in bitcoin..
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
Everyone should understand that every country has different approach or laws regarding taxation and better ask this in the local board you belong for a higher chance of having the full information from your countrymen.. In a country with no regulation like mine,, there is no such thing as declaring or paying tax on cryptocurrency.. I mean we are lucky enough for now but until when is a big question..
Exactly,, I’m not against regulation or taxation if only the government and our poor country deserve it,, if we can be sure that this won’t just go to waste and might go to the pockets of corrupt officials.. That this should be an equal or fair legislation to the bitcoin community and to the state.. I will surely support this move if those condition will stricly followed and execute.. Our countrymen also badly need help and through taxation we can help..
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
Everyone should understand that every country has different approach or laws regarding taxation and better ask this in the local board you belong for a higher chance of having the full information from your countrymen.. In a country with no regulation like mine,, there is no such thing as declaring or paying tax on cryptocurrency.. I mean we are lucky enough for now but until when is a big question..
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
It's easy to explain that. Explain if we invest in bitcoin, or trading in bitcoin. Surely everyone already knows and understand, those who are also trading in forex, would also explain the same thing. "Profit from trading". If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
Everyone should understand that every country has different approach or laws regarding taxation and better ask this in the local board you belong for a higher chance of having the full information from your countrymen.. In a country with no regulation like mine,, there is no such thing as declaring or paying tax on cryptocurrency.. I mean we are lucky enough for now but until when is a big question..
Income in Bitcoin may come in different sources. I will give you the 3 main source I know to earn Bitcoins and be considered as an income when converted into fiat currency.
1) Signature Campaign- This is actually what I am doing now. Signature campaign is like a concept of advertising. You are going to wear an advertisement which is the signature and sometimes also with an avatar. The payments differ per ranks. The higher your rank the higher the pay will be. And payments are commonly made once a week. It may be per post or a standard payment weekly.
2) Mining- In this kind of activity you need to invest on a hardware and electricity. The concept is you are gathering transactions and the income is the transaction fee. I am not very familiar with the technicality but this I think earns a lot of you have a good miner.
3) Trading/Investing- Trading means you are a short time investor who buys and sells from time to time. While investing is when you hold it for a long term investment.
1) Signature Campaign- This is actually what I am doing now. Signature campaign is like a concept of advertising. You are going to wear an advertisement which is the signature and sometimes also with an avatar. The payments differ per ranks. The higher your rank the higher the pay will be. And payments are commonly made once a week. It may be per post or a standard payment weekly.
2) Mining- In this kind of activity you need to invest on a hardware and electricity. The concept is you are gathering transactions and the income is the transaction fee. I am not very familiar with the technicality but this I think earns a lot of you have a good miner.
3) Trading/Investing- Trading means you are a short time investor who buys and sells from time to time. While investing is when you hold it for a long term investment.
If you are a US citizen/permanent resident, then your worldwide income is taxable. The IRS doesn't care where and how you make the money.If you are living in another country, there are a lot of nice tax exclusions/deductions. Also, if you are a professional bitcoin trader, there are also a lot of other next deductions.
https://discord.gg/QRh8R6E Get free Bitcoins in our pumping group
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
Well that might take some understanding from your financial expertises or bankers .
Investing is the only and most widely known "job" known by the majority of world regarding bitcoin . You have to make them aware by giving them some proofs of the forum if you want to get it declared . If bitcoin is legal in your country they might not get into depth of the source if the amount is considerate and less than 5 bitcoins .
Since anything digital can be copied over and over again, the hard part about implementing a digital payment system is making sure that nobody spends the same money more than once. Traditionally, this is done by having a trusted central authority (like PayPal) that verifies all of the transactions. The core innovation that makes Bitcoin special is that it uses consensus in a massive peer-to-peer network to verify transactions. This results in a system where payments are non-reversible, accounts cannot be frozen, and transaction fees are much lower.
The company of bitcoin provides a high yield of interest to their investors which will accumulates a huge amount of return on capital in just short period of time.
From this they the only country who offers this kind of opportunity that can be a reason why many people in this world love bitcoin.
From this they the only country who offers this kind of opportunity that can be a reason why many people in this world love bitcoin.
My country doesn't really treat bitcoin seriously right now. They just warned us to avoid investing on it and doesn't discuss on how many people are earning good or huge incomes with bitcoin so I'm not really obliged to do that.
it is still easy to declare if not for the cases of tax from other peoples view but in a country like mine they may not really care about the tax because they only monitor tax on establishments they can see. i know very soon they may begin to take it serious. looking into your interesting question, i guess that the reason some government are negating bitcoin. but in short it is a job done. not an illegal business. it can be declared.
Bitcoin provide ways to earn income to ease the life of every people in the whole world. They provides a high yield of interest to generate a huge amount of return on investment in just short period of time
If my government will pass a bill that will make everyone that is earning bitcoin to declare all of it then I will. But right now, we are free to earn so I'll just make the most out of it before it happens.
depend if your country regulates bitcoin then you have to declare how you acquire it and pay the necessary taxes to the government
My government still not make any regulation yet so when I earn bitcoin, I do not need to pay the tax.
But in 2018, my government start to make a legit regulation for forbid bitcoin usage , it's a shame but it's already become wise decision !
As is known ,some cryptocurrencies have a element of residual income to them, therefore increasing your ‘income’, they pay you dividends in the form of cryptocurrency and you can sell or hold onto this newly produced asset.It can increase your wealth as the price of btc rises, however does not have a direct relation to your income.
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
I think its just the same since you did still able to get those coins or bitcoin earnings from a job which you can still declare and I cant see that there would be a problem on that. Want to know if your government is already requiring you to have such declarations? That's too strict though. For now in my state here in my country I don't have much problem regarding on that even though it is already involving huge money but yet taxation on bitcoin earnings isn't still being imposed.If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
It's the same in my country. Taxation on bitcoin earnings aren't imposed yet although bitcoin is considered legal. There has not been any legislation or specifications made regarding bitcoin income that has been declared by my country. Perhaps as of now, there are no declarations yet. I guess that a problem arises once you exchange you bitcoin to the local currency - there may be the need of taxes for that. Especially if it's a huge amount, you would probably have to declare it as an income.
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
it is easy they make deal using dollar reference so you will work for 1,000$/month and check the value of dollar /BTC every month .
to be honest this is one of big problem which make cash better for bounties, regular incomes for helping teams in moderation, etc.
depend if your country regulates bitcoin then you have to declare how you acquire it and pay the necessary taxes to the government
I think to explain it, no need to detail reveal it or to expose it whatever ways you do in earning of incomes from bitcoin. As long as we do not harming to others people and that ways are not really prohibited in the country, to explain it.. I think just simply combine everything in one statement, that is "The Bitcoin Incomes"
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
Yes, I agree it is an income. But you know, each country of jurisdiction has its own rules and regulations as to the declaration of income. So you would have to check on your local/national laws regarding that. I think you would also need to qualify as to whether what you are doing is full-time or that of part-time. Because as for us, if it is only a part-time job, you need not declare anything that you earned out of it.
It was decentralized no need to declared our income in bitcoin and they cannot imposed tax on it as long it was not legal in the government no authority can give the rule from it.
I think it depends on the country, if bitcoin is declared the official currency, then your income should be declared, otherwise I do not think so.
Income declaration from BTC is still not clear in most of the countries, but what I see is that income from campaign or bounties are the reward to your service so it is the active income which you earn which may come under Income generated by delivering services.
And the income which you generate by holding BTC will taxed as per short-term capital gain(if sold within 1 year) or long-term capital gain(if HODL for more than 1 year).
Rest I suggest you to consult a TAX expert, he can guide you better as per your own country tax laws.
And the income which you generate by holding BTC will taxed as per short-term capital gain(if sold within 1 year) or long-term capital gain(if HODL for more than 1 year).
Rest I suggest you to consult a TAX expert, he can guide you better as per your own country tax laws.
In order to avoid paying tax, I use online exchangers. They can be used to send the Fiat on any account without registration. In this case you will not track and you can do any in-store purchase without using your Bank account. It seems to me that bitcoin was conceived in order not to interfere with the government and therefore I consider myself free from tax liabilities.
No one can ask for taxes because of the expense in the store, and bank accounts sometimes have to make a final explanatory statement. It was not my case. But those who transfer Bitcoin in extreme amounts complain too much. I haven't seen an online exchange that doesn't require you to verify before allowing you to cash out. Even if such an exchange would exist you're still sending money to a bank account that's in your name. You have to be extremely naive to think that your fiat can't be traced by your government.
I use exchanger which does not require registration. Of course if I send money to my Bank card that I can detect but I do not. I buy everything that I need in the online store. There you can pay by credit card. I send Fiat from your anonymous account once in the store. In this case, I have no way to track.Care to give us some more info? I haven't encountered an exchange that would allow me to sell BTC for fiat without verification. Nowadays it's hard to find one that allows trading crypto pairs without at least a basic verification by phone. That's because of anti money laundering and anti terrorist laws. In Europe and the USA it's a normal thing.
Also, sending things to your home doesn't make the transaction anonymous anymore, even if you use a fake name.
Income can be tax in many ways, if gains from bitcoin it should be capital gains while the cash/fiat you get from trading bitcoin should be declared as income tax, getting bitcoins directly is quite debatable since its value is too volatile. This kind of questions should be directly ask from tax officer from your country I guess.
Your'e right. But in fact (we are working in Eastern Europe) tax service can make little bit differ decision, and here we have practice of income directly from mining forgetting salary in BTC.
Do you have a registered business? If yes then you have to pay taxes on the money you're earning and paying your employees. It's a huge risk to neglect it because as a business you have to write reports and have bills for every payment. You just can't operate without it and the authorities often perform random inspections, so sooner or later they'll come knocking.
If you are a solo miner that's not registered you're safe as long as you don't cash out. You can keep your mined coins as long as you like and be perfectly safe until you move it all to your exchange account because from that moment the coins will become associated with your ID.
In order to avoid paying tax, I use online exchangers. They can be used to send the Fiat on any account without registration. In this case you will not track and you can do any in-store purchase without using your Bank account. It seems to me that bitcoin was conceived in order not to interfere with the government and therefore I consider myself free from tax liabilities.
I haven't seen an online exchange that doesn't require you to verify before allowing you to cash out. Even if such an exchange would exist you're still sending money to a bank account that's in your name. You have to be extremely naive to think that your fiat can't be traced by your government.
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
I will try to put this based on my little understanding of investments and how funds is being earned via several means and at the same time link it to various form of tax within my jurisdiction.
Anything you do to earn money, you're to declare your income because every options you listed there can be likened to social media advertising or say digital advertising which is done on a large scale that some people also establish a company for and they are required to pay their tax on such income derived. However, as an individual, you pay a tax different from what a company would pay. In declaring, you can go the route of either self assessment or wait for government to come after you depending on your country residence.
You have to understand the law of tax of certain countries. Having some btc through different channels like trading, gambling,online marketing etc can be described as online income which we used to say. So getting some btc is not difficult to describe ( if you dont want to keep it secret where it is illegal ) you can call it your internet money.
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
Is depend from your country. For my country not legalized bitcoin yet. For me I earn from job (signature campaign) and easy to declare also.
We can do jobs and earn some bitcoin from there, I think same things like investment. But for investment, we have a risk of it.
I think not all people are declaring income in bitcoin since this is not subject to tax i think no need to disclosed how much did you earn in bitcoin annually, but it is correct if in your country was bitcoin was already legalized and government already have law about bitcoin i think you should declare it and where your bitcoin came from. Signature campaign, bounty campaign, translation and trading that is the most earning method did by people who do not want to risk more.
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
This depends on the laws on respective countries when it comes to taxable incomes and it will also depend on the scope of each government agency. My colleague interviewed the lawyer at our BSP (Central Bank) and asked if whether bitcoin is legal and taxable. They said that here in the Philippines, they see bitcoin as property, thus it is not subject to legal tender. Also, mining bitcoin falls under the category of 'other income' making it taxable. Since I do know anyone here who mines bitcoin, I really cannot answer if how they declare it under their income tax return. Bitcoin profits are an isolated case where it varies depending on the situation given.
Your'e right. But in fact (we are working in Eastern Europe) tax service can make little bit differ decision, and here we have practice of income directly from mining forgetting salary in BTC.
Do you have a registered business? If yes then you have to pay taxes on the money you're earning and paying your employees. It's a huge risk to neglect it because as a business you have to write reports and have bills for every payment. You just can't operate without it and the authorities often perform random inspections, so sooner or later they'll come knocking.
If you are a solo miner that's not registered you're safe as long as you don't cash out. You can keep your mined coins as long as you like and be perfectly safe until you move it all to your exchange account because from that moment the coins will become associated with your ID.
In order to avoid paying tax, I use online exchangers. They can be used to send the Fiat on any account without registration. In this case you will not track and you can do any in-store purchase without using your Bank account. It seems to me that bitcoin was conceived in order not to interfere with the government and therefore I consider myself free from tax liabilities.
I haven't seen an online exchange that doesn't require you to verify before allowing you to cash out. Even if such an exchange would exist you're still sending money to a bank account that's in your name. You have to be extremely naive to think that your fiat can't be traced by your government.
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
I consider my bitcoin income as actual income only when I exchange it to fiat. So I may have 1 bitcoin in my wallet and I cashed out 0.3 bitcoin to my bank account. So I will consider that 0.3 bitcoin equivalent of cash as my income and I will report it to my tax information sheet. I won't report my entire holding of 1 bitcoin because it is not actually received and infused in to economy.
So it doesn't matter how many bitcoins you earn from various sources like bounty, moderation, referral income etc. unless and until you cash it out, it can't be considered as your income as per the tax law in majority of the countries. I follow the same thing.
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
It's up to you on how you'll declare it, if your taxing ministry is obligating you to pay taxes since it is a must and you are earning so your conscience will be dictating you of doing so.
You can just declare that you are a freelancer since most of the online jobs are treated and called that way.
It doesn't matter if it is in bitcoin as long it has value and you are converting it to your local currency.
The thing is i don't convert it in local currency ! So should i declare something in bitcoin ? It seems a bit silly to declare something you did not cash out even if it's a regulary income when you know 5000 dollars can become 1000 dollars quickly until you cash it out.
If you don't convert it in local currency then I think you don't need to pay any tax because there is no income to declare yet. If your country do not have any applicable laws yet regarding bitcoin income then you don't need to pay any tax. Your country may have particular laws regarding fiat currency so it will only be applicable in fiat in which case you will not pay any tax if the bitcoin income you earn is not in fiat yet.
Okay good, this is what i wanted to know, because i invest this money and don't want to cash it out yet.
But i wonder when it comes to cashing out, how it works, because we have to explain in details how we got this money, to prove it's not money laundering, but how to explain income from bounties for example ? It will be quite hard to justify, they will have to call every project
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
I consider my bitcoin income as actual income only when I exchange it to fiat. So I may have 1 bitcoin in my wallet and I cashed out 0.3 bitcoin to my bank account. So I will consider that 0.3 bitcoin equivalent of cash as my income and I will report it to my tax information sheet. I won't report my entire holding of 1 bitcoin because it is not actually received and infused in to economy.
So it doesn't matter how many bitcoins you earn from various sources like bounty, moderation, referral income etc. unless and until you cash it out, it can't be considered as your income as per the tax law in majority of the countries. I follow the same thing.
Your'e right. But in fact (we are working in Eastern Europe) tax service can make little bit differ decision, and here we have practice of income directly from mining forgetting salary in BTC.
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
I consider my bitcoin income as actual income only when I exchange it to fiat. So I may have 1 bitcoin in my wallet and I cashed out 0.3 bitcoin to my bank account. So I will consider that 0.3 bitcoin equivalent of cash as my income and I will report it to my tax information sheet. I won't report my entire holding of 1 bitcoin because it is not actually received and infused in to economy.
So it doesn't matter how many bitcoins you earn from various sources like bounty, moderation, referral income etc. unless and until you cash it out, it can't be considered as your income as per the tax law in majority of the countries. I follow the same thing.
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
Until ou convert it to your fiat currency then you don't need to worry about it. Once you converted it to fiat that is the only time that you can consider it as an income and that is the time that you can declare it. Unless your government already accepted crypto currency and they have regulations for it.
For me the most profitable would be mining, that is if you got the right tech in your place. It is what i am earning for right now, as the price is now increasing. It might be late but at least it is a start. Participating in services bounties and tokens for me, is just a minor earning but at least it is a good start for people who really doesnt have enough money fot mining.
Before getting into depth one must understand that most of the world's Tax laws consider income as taxable when it is received by you. Now this line could have two perspectives. Received could mean when you have received your bitcoins in wallet or cashed out your bitcoins and received it in bank. If you use a private key wallet there is absolutely no way your govt. can know when have you received your bitcoins. If you use an exchange then you are not anonymous as most of exchanges do KYC. Now the tax on this income from jobs can be split into two parts. First is the tax on the amount of bitcoins at their corresponding value that day when you received them, this would be income from either business or other incomes. And the tax on the amount you have earned due to increase in price of bitcoin this can be treated as a capital gain. So these two would be taxed in this manner if you are using an exchange. For private key wallet just cash out your bitcoin at end of fiscal year and pay taxes on it as income from business or other sources.
You clarified this issue well enough. The difference between the value at the time when the Bitcoin is received and when it is converted to fiat money is the capital gains and one has to pay capital gain tax for that. The other tax is, of course, the tax on the income received meaning the whole Bitcoin upon receiving it. I agree that in countries like USA it would be good to declare everything and I think there is already easy-to-understand guide available online for anyone declaring and paying the appropriate tax on this. One thing is sure the government is very much enthusiastic in collecting taxes and in imposing penalties once they are aware that one is not declaring all transactions correctly BUT they are reluctant in supporting the cryptocurrency movement unlike Japan, South Korea, Taiwan and Australia. This is a one-sided kind of a situation which we hope can be corrected soon when Bitcoin is already a well-accepted and legitimized currency. If the government is very much happy promoting the legalized marijuana industry, I don't see the rational why it should not be in the forefront promoting the adoption of cryptocurrency when it can anyway imposed strict regulations if they want.
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
It's up to you on how you'll declare it, if your taxing ministry is obligating you to pay taxes since it is a must and you are earning so your conscience will be dictating you of doing so.
You can just declare that you are a freelancer since most of the online jobs are treated and called that way.
It doesn't matter if it is in bitcoin as long it has value and you are converting it to your local currency.
The thing is i don't convert it in local currency ! So should i declare something in bitcoin ? It seems a bit silly to declare something you did not cash out even if it's a regulary income when you know 5000 dollars can become 1000 dollars quickly until you cash it out.
If you don't convert it in local currency then I think you don't need to pay any tax because there is no income to declare yet. If your country do not have any applicable laws yet regarding bitcoin income then you don't need to pay any tax. Your country may have particular laws regarding fiat currency so it will only be applicable in fiat in which case you will not pay any tax if the bitcoin income you earn is not in fiat yet.
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
It's up to you on how you'll declare it, if your taxing ministry is obligating you to pay taxes since it is a must and you are earning so your conscience will be dictating you of doing so.
You can just declare that you are a freelancer since most of the online jobs are treated and called that way.
It doesn't matter if it is in bitcoin as long it has value and you are converting it to your local currency.
The thing is i don't convert it in local currency ! So should i declare something in bitcoin ? It seems a bit silly to declare something you did not cash out even if it's a regulary income when you know 5000 dollars can become 1000 dollars quickly until you cash it out.
In order to avoid paying tax, I use online exchangers. They can be used to send the Fiat on any account without registration. In this case you will not track and you can do any in-store purchase without using your Bank account. It seems to me that bitcoin was conceived in order not to interfere with the government and therefore I consider myself free from tax liabilities.
It's depend on their government whenever they have legalize and apply tax or not.
Meanwhile my government still not legalize yet so no one forcing me to explain bitcoin as my income. They just forbid bitcoin as main transaction because bitcoin can be use for criminal things
In order to avoid paying tax, I use online exchangers. They can be used to send the Fiat on any account without registration. In this case you will not track and you can do any in-store purchase without using your Bank account. It seems to me that bitcoin was conceived in order not to interfere with the government and therefore I consider myself free from tax liabilities.
It's depend on their government whenever they have legalize and apply tax or not.
Meanwhile my government still not legalize yet so no one forcing me to explain bitcoin as my income. They just forbid bitcoin as main transaction because bitcoin can be use for criminal things
In order to avoid paying tax, I use online exchangers. They can be used to send the Fiat on any account without registration. In this case you will not track and you can do any in-store purchase without using your Bank account. It seems to me that bitcoin was conceived in order not to interfere with the government and therefore I consider myself free from tax liabilities.
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
It's up to you on how you'll declare it, if your taxing ministry is obligating you to pay taxes since it is a must and you are earning so your conscience will be dictating you of doing so.
You can just declare that you are a freelancer since most of the online jobs are treated and called that way.
It doesn't matter if it is in bitcoin as long it has value and you are converting it to your local currency.
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
I think its just the same since you did still able to get those coins or bitcoin earnings from a job which you can still declare and I cant see that there would be a problem on that. Want to know if your government is already requiring you to have such declarations? That's too strict though. For now in my state here in my country I don't have much problem regarding on that even though it is already involving huge money but yet taxation on bitcoin earnings isn't still being imposed. If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
Before getting into depth one must understand that most of the world's Tax laws consider income as taxable when it is received by you. Now this line could have two perspectives. Received could mean when you have received your bitcoins in wallet or cashed out your bitcoins and received it in bank. If you use a private key wallet there is absolutely no way your govt. can know when have you received your bitcoins. If you use an exchange then you are not anonymous as most of exchanges do KYC.
Now the tax on this income from jobs can be split into two parts. First is the tax on the amount of bitcoins at their corresponding value that day when you received them, this would be income from either business or other incomes. And the tax on the amount you have earned due to increase in price of bitcoin this can be treated as a capital gain. So these two would be taxed in this manner if you are using an exchange.
For private key wallet just cash out your bitcoin at end of fiscal year and pay taxes on it as income from business or other sources.
Now the tax on this income from jobs can be split into two parts. First is the tax on the amount of bitcoins at their corresponding value that day when you received them, this would be income from either business or other incomes. And the tax on the amount you have earned due to increase in price of bitcoin this can be treated as a capital gain. So these two would be taxed in this manner if you are using an exchange.
For private key wallet just cash out your bitcoin at end of fiscal year and pay taxes on it as income from business or other sources.
This is a legal issue no one has been able to answer me about
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
If you win bitcoin with investment, it's easy to declare
What about bitcoins you earn from jobs ( bounties, regular incomes for helping teams in moderation, etc.) ? It is a job and an income but in bitcoin, so how is it considered and declared?
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