Bitcoin Forum

Dear all,
I just wonder if i can open a service as title said. Is there any suggestion / question for this kind of service please let me know ?

I think that would just be an illigal opeartion in many countries. Probably it is possible if you hide the transaction within a phantom/ofshore company. But I guess that would only be viable for larger amounts of coins.

I don't think we have any service in place today who deduct upfront tax amount from the bitcoin exchange. So all exchange procedure is tax free. It's on the owner of that amount who has the legal obligation to declare that amount to the tax authorities.

Also I am sure it will be illegal to evade tax. So I personally won't encourage to have such services to come into existence. Majority of the governments are already against crypto currency. So if we have any such illegal service running openly, it will further damage the reputation of Cryptocurrency.

That is a very good point! Only to clarify this, it was not my intention to encourage someone with my reply. I guess only if most of the businesses with crypto is done in a legal way it won't be banned and heavily regulated in the near future.

Yes I think almost all, if not all, services are like this right now.  It's legality will depend on the country.  I would certainly advise NOT giving any tax advise to anyone who uses your service.

I am sure there is a market for this service but the question is: How will you do it without having a government agent soon knocking at your door or whisking you at the airport for questioning? Maybe you can operate an offshore banking service for this matter but even then the governments of the countries where your clients can be based at will be taking a closer and serious look on how to tag you and get you into the arms of the law. Now, am not saying this is not possible because there are now many businesses doing things underground. So the best thing to do is to plan for it, do it without telling anyone about it except your clients (just don't get into a gov't agent masquerading as a client haha!).

And how will your service work?

Taxes are paid by people on profits /capital gains or whatever they are called in their countries.
No matter how they will get their fiat for BTC taxes must be paid at the end of the year. (in cases of profit of course)

Even if there is a service that will teleport fiat in my shoe box it's still my obligation to pay taxes.
No exchange service can exempt you from this.

I think it's impossible to find some exchanger that not apply tax when you're try to convert bitcoin into cash.
When exchanger try to operate at my country for example : named VIP , they consider as company and as company they must pay the tax in order to keep operated !

Not only just talking for reputation of crypto but as an owner you should really think off that you would really end up on jail if you decide to evade taxes which we do all know that in which way we would go it would really be an illegal thing and don't really bother to build such business because you would really faced off lots of problems since you are going against on the laws which government do set on.

Yap but also depends on countries. In our place, we have a service that you could cash out without some payment or tax. An exchange site between btc and our currency that allows us to use any kind of banks or delivery services that is affiliated with the service. But oftenly its having maintainance just upon bitcoin increase, since it is the only service in our country offering a taxless withdrawal.

Every legit business or establishment will required by the government to submit documents for license to operate and after that they will required to pay business tax too. If you are planning a service or exchanges for bitcoin without tax it means your doing business illegally or you will pay taxes to the government for every bitcoin conversation which mean a deficit on your earnings. So think of it carefully.

I'm sure you'll have a massive market if you do get something like this up and running, but as others have said, this is impossible lol.

Maybe the closest service you can get to this is tax avoidance (not evasion) advice? Kind of like how Apple and Google saves billions, if not trillions in taxes using tax havens. This would be completely impractical for the regular users of course, just as normal US companies can't take advantage of the same loopholes, but I'm sure there are lots of Bitcoin whales out there who want to preserve their money. You basically tell them how and assist them. I don't know if this is currently possible though.

I am also interested in this kind of service because its is what i really wanted, to transfer all my bitcoin to cash for free.

Of course it depens on laws of your country. But it can be just exchange office server, which sends FIAT money for your BTC to any bank account. This is something what we all need. Like this we could send payment to anybody without exchanging BTC to bank account.
It is legaly the same like to pay in e-shop by BTC. And this works already.

Yes, I'd be happy to use such a service. Please open shop anywhere in Europe and I'll come to visit you. Just don't ask any questions. I'll give one BTC and you will give me some fresh bank notes.

Too bad I'm dreaming...

Its a good idea, bros. If we could create a service as you recommend, It would be really convinience for us.  ;D

There are a number of countries like my country: do not treat bitcoin as currency, nor is the commodity. It is therefore impossible to collect taxes.

I try to make money as much as I can from bitcoin before it is taxed: D

If you are doing something without paying the appropriate taxes to country then it will be illegal and you will get punished if get caught.Maybe it can be called a money laundering too so please be aware of what are you doing.
But anyways it can't be done because you need bank accounts to transfer money to buy bitcoins,if you are doing this then your transactions will be recorded and you need to pay the taxes.But some countries don't have separate taxes for bitcoin so you may have to pay less taxes than some countries.

Huh? you were right when you say it depends on country and every country has the right to either ban or allow its citizens to use bitcoin. Some may have Real Life business and that is where their asset would come from instead of just telling it that it was from bitcoin. A lot of services in the US and Europe may have some kind of services like that. Because in our country we also have an online bank wallet supported. It is linked to many banks but fees are for transaction, not for the taxes.

That is also what i did now because in my country, bitcoin transaction is not yet taxed. I was hoping it will really not!