Germany has no TAX when buying coffee using bitcoin

levvv

member

Activity: 532

Merit: 17

Quote from: rommelzkie on March 01, 2018, 02:54:39 AM

There is a recent news that Germany doesn't TAX you if you use your bitcoin to buy coffee or any merchandise that accepts bitcoin as payment. However if you convert your bitcoin into FIAT you will need to pay for tax.

Good job Germany. i hope more country will follow.

https://www.coindesk.com/germany-considers-crypto-legal-equivalent-to-fiat-for-tax-purposes/

Cool, the German government looks like supporting their country to accept bitcoin and using it.
not only bitcoin i think, the other cryptocurrencies too. i hope the other country will do the same.

staywoke081

full member

Activity: 211

Merit: 100

Santa Coin

Wow? If true that is phenomenal for bitcoin users in Germany. Cmon rest of the world, catch up to these Germans!

tomahawk9

hero member

Activity: 2086

Merit: 994

Cats on Mars

Quote from: Its About Sharing on March 01, 2018, 05:23:02 PM

What if you buy more expensive items, like a computer, car or (drum roll) house?
Seems like these can be merchandise.

You still have to pay VAT for those things, but only once since you're using Bitcoin which is VAT exempt.

The thing is, the the article is a bit misleading (especially the title), you still need to pay taxes. If you live in Germany and you've been holding your BTC or another cryptocurrency for over a year and you want to buy a coffe, a car, or a house using crypto, then you're VAT free only once (no extra tax for using cryptos). But if you just read the news and you're planning to buy a car with the coins you've been holding for less than a year, then including VAT once (19%), you must pay taxes for income or capital gains which I believe is 25%.

Overall, Bitcoin can still be taxed in Germany.

Rozita

full member

Activity: 658

Merit: 108

I suspect this news is true. If it is true, all people can buy anything they want without paying the taxes. Why should the government allow people to not pay tax and miss the outcome? What is the benefit to the government?

walterw

copper member

Activity: 336

Merit: 258

Do you need a campaign manager? PM me.

I think Germany will change this situation in a few years. Tax laws change from month to month.
Therefore, it will be only temporary that you only have to pay taxes when you exchange btc to fiat.

Its About Sharing

legendary

Activity: 1442

Merit: 1000

Antifragile

What if you buy more expensive items, like a computer, car or (drum roll) house?
Seems like these can be merchandise.

CoPil

member

Activity: 168

Merit: 10

Quote from: rommelzkie on March 01, 2018, 02:54:39 AM

There is a recent news that Germany doesn't TAX you if you use your bitcoin to buy coffee or any merchandise that accepts bitcoin as payment. However if you convert your bitcoin into FIAT you will need to pay for tax.

Good job Germany. i hope more country will follow.

https://www.coindesk.com/germany-considers-crypto-legal-equivalent-to-fiat-for-tax-purposes/

Wow Germany knows what a decentralized currency indeed. But as of now I think, they just acknowledge Bitcoin and not the alts. Converting to FIAT with taxes is fine, at least I think they're into regulating BTC. That's a really great news from Germany! I was just recently talking about Bitcoin and cryptos to my relatives since they're curious about what I am into. I wonder if my German cousin knows about it.. they just came back from a one month vacation in our country a month ago, and I hope that they'll engage in this too since
it shows that their country really acknowledge cryptocurrency, just like here in PH.

Payapa

member

Activity: 138

Merit: 12

One good thing about Germany's move is that they kept it decentralized through the taxes. They instilled the tax inclusion when making FIAT out of your BTC, but letting the BTC tax-free when used directly for goods. Great job indeed Germany. Cheesy

Hopefully other countries would follow what they've done in the near future, and more establishments would be open for crypto payments.

rommelzkie

full member

Activity: 294

Merit: 125

There is a recent news that Germany doesn't TAX you if you use your bitcoin to buy coffee or any merchandise that accepts bitcoin as payment. However if you convert your bitcoin into FIAT you will need to pay for tax.

Good job Germany. i hope more country will follow.

https://www.coindesk.com/germany-considers-crypto-legal-equivalent-to-fiat-for-tax-purposes/

Topic: Germany has no TAX when buying coffee using bitcoin (Read 199 times)