Where bitcoin is accepted by low?

[Sebo.PL]

Hi,
I wonted to post it on the Project Development forum... however since I am not allowed to post there until I've got at least 5 posts counted and I am not in favour of posting stupid 'hello' posts just to increase the counter I am forced to start it here. I hope someone will move it to the right place.

I just started my bitCoin adventure and realized the legal status of this currency at least in my country (PL) is unclear.

By Polish Foreign Exchange Law (Dz.U. 2002 nr 141 poz. 1178):

Art. 2.1.10) Foreign currencies are signs of money that outside of the country are legal tender, as well as ones withdrawn from circulation, but still to be exchanged; on a par with foreign currency are treated convertible units of the cash used in international settlements, in particular the unit of the International Monetary Fund (SDR),

As you can see the above states that if there exists a foreign country where bitcoins are legal tender (it is not necessary to be the only one but at least to be accepted as such by the low)... it should imply to be accepted as a foreign currency by the Polish low as well.

So my question is if there is any such country and if you can point me to the low which states there that bitcoins could be accepted there as the currency.

[MoonShadow]

There is no such country, and I don't expect that there ever will be.  If you are concerned about the legality of bitcoin in your country, assume that it is illegal.  If that bothers you, you should not use it.

[SgtSpike]

There really isn't any law or precedent surrounding Bitcoin being legitimatized as currency.

The New Hampshire Secretary of State said it was fine to accept them as donation to campaigns for politicians.  The Finnish central bank said that Bitcoin was legal to use as currency.  But as far as written law making Bitcoin legal tender - it doesn't exist.

This article might interest you as well:  http://bitcoinmagazine.net/a-recap-of-mega-corporate-and-government-attention-on-bitcoin-this-past-year/

[MPOE-PR]

Hi,
I wonted to post it on the Project Development forum... however since I am not allowed to post there until I've got at least 5 posts counted and I am not in favour of posting stupid 'hello' posts just to increase the counter I am forced to start it here. I hope someone will move it to the right place.

I just started my bitCoin adventure and realized the legal status of this currency at least in my country (PL) is unclear.

By Polish Foreign Exchange Law (Dz.U. 2002 nr 141 poz. 1178):

Art. 2.1.10) Foreign currencies are signs of money that outside of the country are legal tender, as well as ones withdrawn from circulation, but still to be exchanged; on a par with foreign currency are treated convertible units of the cash used in international settlements, in particular the unit of the International Monetary Fund (SDR),

As you can see the above states that if there exists a foreign country where bitcoins are legal tender (it is not necessary to be the only one but at least to be accepted as such by the low)... it should imply to be accepted as a foreign currency by the Polish low as well.

So my question is if there is any such country and if you can point me to the low which states there that bitcoins could be accepted there as the currency.

No such countries exist.

[rini17]

Why is everyone insisting on recognizing bitcoins as currency? They are perfectly useable under existing laws (maybe except some third world countries with paranoid law system like USA, UK and North Korea) as goods. You can issue normal barter trade invoices in bitcoins. Law for them usually mandates only that you have to mention on the invoice equivalent value in local currency, whereby you copy&paste 24hrs MtGox average.

[Sebo.PL]

The Finnish central bank said that Bitcoin was legal to use as currency.

It's interesting... If the Finnish central bank did it there has to be some low there (I don't think it is necessary for bitcoin to be named there directly) based on which the bitcoin can be used as a legal tender...

[Sebo.PL]

Why is everyone insisting on recognizing bitcoins as currency?

...actually because of other Polish low... the tax low :/
If it was recognized as the currency (as foreign currency in particular) then when you trade this you just have to pay the tax counted from the difference of the traded values.
If it wasn't it is treated as 'performing a service' and you have to pay the tax counted from the whole value... which is obviously much more.

[rini17]

Why is everyone insisting on recognizing bitcoins as currency?

...actually because of other Polish low... the tax low :/
If it was recognized as the currency (as foreign currency in particular) then when you trade this you just have to pay the tax counted from the difference of the traded values.
If it wasn't it is treated as 'performing a service' and you have to pay the tax counted from the whole value... which is obviously much more.

But if you trade other intagible goods like software licenses, then you also pay tax only from your margin (difference from buy and sell price), no?

[Sebo.PL]

But if you trade other intagible goods like software licenses, then you also pay tax only from your margin (difference from buy and sell price), no?

Actually no... there are only a few categories of goods which are listed in the low which you can trade and pay tax only from your margin. All the others are taxed from whole value... it is possible to got a part of this tax refunded but only if you bought the good from other local company which has already paid the tax (but it does not work when you bought it from individual).

[SgtSpike]

But if you trade other intagible goods like software licenses, then you also pay tax only from your margin (difference from buy and sell price), no?

Actually no... there are only a few categories of goods which are listed in the low which you can trade and pay tax only from your margin. All the others are taxed from whole value... it is possible to got a part of this tax refunded but only if you bought the good from other local company which has already paid the tax (but it does not work when you bought it from individual).

Since it is the taxes you are concerned with, have you asked an accountant about this?  I don't think anyone here will be able to give you a definite answer on Polish tax accounting law.

[Sebo.PL]

I don't think anyone here will be able to give you a definite answer on Polish tax accounting law.

Neither did I... and therefore I am not asking here about the tax (I just explained why do I need to have bitcoin classified as a legal tender - and its because I'd like to have it aligned to this categories).

And foreign currency seems to be the most natural one.