Topic: Most important thing from IRS ruling on BTC (Read 2026 times)

Would your heirspay taxes if you are in the US?

I think the government is doing right and it's easier to understand btc as property  not as currency

You're right, Bitcoin legalization is beneficial.

Mark to market is for an unrealized profit not a realized gain.  It is for capitalization requirements, not taxation.

I want to fuck china!!fuck china!!!!

I think IRS give btc legal right

so it's a good thing to btc

I know that is what we all were hoping for. It makes the most sense to me that taxation falls under capitol gains. At least now I could start a business and have an idea what my tax liability will be. Nobody wants to risk an outlay of money when you can't even calculate your profits.

If you are in the US, your heirs would pay taxes on it, other jurisdictions may vary.

This isn't technically true, bitcoin is taxed as income when it's mined.  Gold is taxed when it's sold.  If you mine the bitcoin and sit on for 100 years you are still paying taxes.  If you mine Gold and put it in your pocket until the day you die, you don't pay any taxes on it, and neither do your heirs.  That is unless they sell it.

You're right. It's complicated. Easy enough for trades with bitcointaxes, but purchases need to done too.


Only applies to stock and securities.

Really it's not much better though. Now you must keep perfect records, of incoming and outgoing transactions and the price points of each of those.   The complicates things so much that any thought of bitcoin becoming a household usage are thrown out the window.  Who is going to want to sit down and try figure out if they have capital gains/losses, on every transaction?  I'm sure wash rules apply as well..

In fact, did the foundation push for this property thing?

Whatever dude. Keep your childish insults to your self...

Maybe 0% tax like the Danes?  

Or private money as in Germany: http://www.cnbc.com/id/100971898

Are you aware of the efforts going on right now? With the addition of two new tier 1 lobbyists the BF has real  clout. Your just out of the loop man. You can follow here.
https://bitcoinfoundation.org/forum/index.php?/forum/16-regulatory-affairs/

@Holliday
lol, that could also be all the drugs. At least that's what it turned out to be in my case.  

Id like to see them try and enforce it and a RULING and LAW are 2 different things when did the IRS get the POWER TO WRITE LAWS? Bitcoin is anonymous and worldwide the fed said they have no jurisdiction and BITCOIN hasn't been declared PROPERTY BY ANY LAW YET! just SPECULATION!!! because WE KNOW AND THEY KNOW ITS A CURRENCY!!!but they will sure try to pass some laws eventually they have to always get their 50+ % from you one way or another whether stealing from your weekly paycheck or RIPPING YOU OFF AT THE GAS PUMP...........They think we are their PROPERTY so their for everything we own they own ::)NOtHING IS EVER OURS!!!! MOdern day SLAVERY at it's finest! Lincoln never FREED THE SLAVES!!!!! he just made us all EQUAL ONES!
 But this is just a obvious last minute ditch SCARE TACTIC by the gov to get people to comply right before tax season when they have no solid law giving them authority! They have as much authority over Bitcoin as they do RUssia lol and we see how well that's worked out............... OH NO THE IRS GAVE A RULINg THEY CAN TAKE THAT RULING AND STICK IT WHERE THE SUN DON"T SHINE!!!1
The only people that will probably have to worry though  is all those using EXCHANGES for pump n dumps and selling Bitcoin for FIAT because those people have lost the anonymity that Bitcoin was meant for and has provided!and they can now find you because of THE GREED....... as long as you never stupid enough too sell your Bitcoin for FIAT and your not a public business like Tiger Direct selling goods linked to BANK ACCOUNTS then they have no jurisdiction over you and they will never find you....... BITCOIN was created to BREAK AWAY FROM THE DOLLAR!! NOT SELL IT FOR ONE because  once you touch the FIAT you give them grounds to come after you! SO DON'T DO it! and they will have NO GROUND TO StAND ON!

I'd rather not get into what I think teh foundation has been doing... But I don't think this is the result of lobbying.  I think it is the result of their internal study.  The BTC foundation has about as much clout in Washington as does the Old Ladies with Too Many Cats Foundation... And I don't mean AARP!

What do you think the bitcoin foundation has been doing? This is why lobbying lawmakers is so important. Can you imagine what they would have come up with on their own? 

I am really shocked at this ruling.  It's amazingly positive for BTC.  While I can imagine a scenario where it could lead to a small dip, that would be because people who were holding got such good cap gains news they are selling.   But I mean, it is being treated para pursue to gold for purposes of mining and exchange, with a smaller tax burden then gold or forex for gains. 

Can't really imagine a better result.  If they had said no taxes maybe, but that would have been a step to de-legitimize.  This is a major step to recognition, and I think the best we could have possibly hoped for in the structure. 

Shows how smart you are.

They wont rule it that way, you know they wont. They want their share of the money...

If bitcoin is a property and not a currency, it means that holders will not have to pay mark to market gains on unrealized profits at the end of each tax year.   

This is a really big deal.