Be afraid! Be very afraid! Bwa-ha-ha-ha-ha
Seriously though, I have my own thread on this. The IRS and the rest of the people running USA don't even follow their own rules anyway, so why should the rest of us?
The way I see it is pretty simple. They are no different than any other criminals. They have lots of guns. No imaginary good guys are going to protect you from them. You, and only you, are responsible for protecting yourself via armed resistance if necessary.
Topic: Not filing taxes with bitcoin - page 2. (Read 3469 times)
There is a chance that you might get randomly audited for some other reason not related to Bitcoin. As part of the audit the IRS would likely ask you for all your bank statements for the last X years. If they see something strange in those statements they could ask for more information which may eventually reveal your unreported Bitcoin transactions.
This will eventually lead to you getting audited by the IRS and resulting you to have to pay the taxes due plus penalties and interest. It is likely that coinbase will report your sales to the IRS so your tax return may not even be accepted.
I applaud your openness, I came in search of what was the right, or wrong way to deal with this subject.. I'm persistently pursuing more and more mining equipment, in hopes of eventually being self employed.
So I have bought and sold plenty of btc, and haven't filed a single bitcent to the IRS. So what? I do it rather openly and don't care much about hiding my paper trail (coinbase, exchanges, purchases on websites, etc).
Now how are they actually going to implement and enforce taxation of bitcoin transactions? Currently the infrastructure to actually regulate the taxation of bitcoin is nearly non-existence, and it's solely based on the honor system. Sure you could believe the conspiracy that the governments are already tracking bitcoin transactions, but I don't buy it. So again, why should I comply, and what happens when I don't?
Now how are they actually going to implement and enforce taxation of bitcoin transactions? Currently the infrastructure to actually regulate the taxation of bitcoin is nearly non-existence, and it's solely based on the honor system. Sure you could believe the conspiracy that the governments are already tracking bitcoin transactions, but I don't buy it. So again, why should I comply, and what happens when I don't?
Jump to: