Is bitcoin will declare as asset rather than the currency?

avikz

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Quote from: stevemichael on February 20, 2018, 12:28:32 PM

Recently, Israel Tax Authority said that Bitcoin Not a Currency But an Asset..
Is there any regulation impose on this after this decision?
I am waiting for the upcoming news....

Not just Israel, but even USA regulators said the same thing about bitcoin and legally termed it as a property asset instead of a currency, which is certainly wrong. Since bitcoin is an asset in Israel, it will be subject to capital gains tax. There are two basic types of capital gains tax, one is long term and another one is short term. The term depends on the holding period of bitcoin. I am not sure about the Israel tax bill or the regulations. But these are the basics. So government want to encourage you to hold bitcoin as an investment instead of using it for goods and services.

ALI AKBAR

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Maybe bitcoin will declare as asset rather than the currency. In fact, Bitcoin is a good asset to invest in a currency. Investors use only Bitcoin only for their profits. Bitcoin is easily priced like gold, easily converted to any corner of the world.

gentlemand

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Treating it so seems like the most realistic option. You don't make profits out of your domestic currency. You can with foreign currencies and assets. BTC fits the criteria of both. Whether people own up to those profits is another matter.

rodalutor

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Quote from: buytheeffinD on February 20, 2018, 03:12:07 PM

Does it really matter if they consider it money, currency, asset, commodity, poop, or fairy dust? It really does not, all that matters is the tax rate and whether or not they are going to tax it, simple as that. Figure out how much you owe and pay that taxman!

It matters hugely because what classification they give it will determine exactly how it will be regulated and taxed.

I don't imagine there's much in the way of regulation on the fairy dust market.

buytheeffinD

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Does it really matter if they consider it money, currency, asset, commodity, poop, or fairy dust? It really does not, all that matters is the tax rate and whether or not they are going to tax it, simple as that. Figure out how much you owe and pay that taxman!

cosmoo

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This is not the worst version. If Bitcoin will be only asset in your country - you can change it to dollars and than use it.

rodalutor

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Each country will decide on their own classification of bitcoin, normally falling somewhere between currency and asset. It's weirdly neither and both at the same time in my opinion.

As for regulation, it will differ depending on the classification given to it but this will again be on a country by country basis. I do not know much about Israel but if you look in to Israel's regulation on assets then it should be the same for bitcoin given they've classified it as an asset.

Washball

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Bitcoin is indeed more of an investment asset than a currency. Investors go into bitcoin only for the profits they can make because of the volatility. As long as Lightning Network and/or Schnorr signatures are not implemented, we'll still have long confirmation times and high fees. Once this is solved, bitcoin will be used more and more as a currency.

jeluhtajem

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yes it could be, but this is very different from what is done by japan country.
in japan, bitcoin has been regarded as a legitimate payment currency, but all countries have their own rules. and if in israel bitcoin is considered an asset, not a currency
then every bitcoin user in israel must obey the rules

stevemichael

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Recently, Israel Tax Authority said that Bitcoin Not a Currency But an Asset..
Is there any regulation impose on this after this decision?
I am waiting for the upcoming news....

Topic: Is bitcoin will declare as asset rather than the currency? (Read 127 times)