The government is not thinking smartly when it comes to cryptocurrency tax. There are multiple ways of taxing people. There is direct and indirect tax. When it comes to cryptocurrency tax, I think the better option is indirect tax because of the complications of identity. More so, not all balances in a wallet is as a result of profit.
It is easy to avoid or evade direct tax, but everyone pays tax indirectly via VAT, levies, etc. So the government should concentrate on indirect tax. However, the exchanges makes profit and it is easier to tax such entity than the individual wallet holders.
Topic: Let's Talk Taxes - page 4. (Read 1735 times)
In the U.S. they have a way of going back in time to collect tax when large amounts of money go accounted for. So I would be cautious when it comes to cashing out through easily traceable and well known venues like Coinbase. That way you make it harder for the government to just run an automated tax for any exuberant amounts of money cashed out on coinbase.
Income tax has become a dilema especially in cryptocurrencies however speculating about how government will take how much percentage of tax due to how much coins we have or trade doesn't sounds really fair since decentralized and annonymity were included and theres no way to deduce it someone really owns it or even trade it at the first time. I don't live in US but if government really apply cryptocurrency taxes in anywhere then they have to make sure they can calculate and measure how much someone really worth first.
Taxation is a requirement of every country in the world. The use of reasonable taxes is essential for our human beings. However, there are more things to be aware of when taxes come in many forms.In many places they still have tax fraud to their own benefit, not transparent. Therefore, the tax collection should be transparent in the light, avoid bad phenomena.
I hope that my country would not put tax on bitcoin earning, but as far as I know living in my area it is almost impossible that they will do that most likely they will put another most taxis.
In order to tax the crypto currency, the state should at least how to legitimize it!
When the crypto-currencies will be used by all countries, the governments of the countries will quickly come up with how to levy taxes from crypto. It is too early to speak about figures, but this is already being discussed by many international organizations.
I am not a US citizen,to be honest I never paid any taxes regarding my crypto investments because I didn't cashout much money yet,I just cashout only when I am need in emergency because I am already doing some business where I can cover all the expenses.In case if I need to cashout all the bitcoins I have do I need to pay the taxes to the governments other than the incomes tax?
Income tax has become a dilema especially in cryptocurrencies however speculating about how government will take how much percentage of tax due to how much coins we have or trade doesn't sounds really fair since decentralized and annonymity were included and theres no way to deduce it someone really owns it or even trade it at the first time. I don't live in US but if government really apply cryptocurrency taxes in anywhere then they have to make sure they can calculate and measure how much someone really worth first.
Ok this is something that hits us all but when it comes to cryptocurrency there is a allot of uncertainty about how taxes will be enforced. There has been some news about different U.S. dollar amounts such as $10,000 at which taxes will be enforced or a certain amount of bitcoins traded such as 1 bitcoin at which taxes will apply. The majority of the news is based around cashing out on exchanges such as coinbase.
Based on what you have learned what do you think is the most likely scenario when it comes to cryptocurrency taxes in the U.S.?
Or comment on when do you think this will be clarified by the governing bodies?
Based on what you have learned what do you think is the most likely scenario when it comes to cryptocurrency taxes in the U.S.?
Or comment on when do you think this will be clarified by the governing bodies?
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