Bitcoin Will Kill The Income Tax

[NEWGOODOUBLE]

I don't think the government will be outsmarted by some businesses. When they start to notice that there is a decrease in their income tax they will know the source of the problem, they might even count as using Bitcoin as Tax Evasion. Anything that is a source of a company's income is taxable including Bitcoin of course.

I think even if the government says that bitcoin users will just avoid taxes. I think it will have no effect on you. they will not know that you bitcoin users. so true that bitcoin will reduce income taxes

[1714291778]

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[nanay777]

I think when bitcoin is recognized by the state, or become a mainstream currency in the world, then the government will certainly take appropriate policies to control bitcoin, may levy tax. Of course there is another possible, bitcoin break the normal procedure.

[bajing]

I guess for now maybe bitcoin might be used as a means to avoid taxes but with the passage of time the government will start collecting taxes from trading bitcoin because bitcoin is continues growing will make the government think they can get revenue from the existence of bitcoin.

[conected]

I guess for now maybe bitcoin might be used as a means to avoid taxes but with the passage of time the government will start collecting taxes from trading bitcoin because bitcoin is continues growing will make the government think they can get revenue from the existence of bitcoin.

I agree. They will soon develop the system which forces people to pay tax if they want to use Bitcoin. I think right now maybe they are building it. Kinda top secret project lol. Anyway, it is hard to collect tax from people who use bitcoin because Bitcoin is anonymous and there is no way to obtain money from the anonymity

[Senor.Bla]

I guess for now maybe bitcoin might be used as a means to avoid taxes but with the passage of time the government will start collecting taxes from trading bitcoin because bitcoin is continues growing will make the government think they can get revenue from the existence of bitcoin.

I agree. They will soon develop the system which forces people to pay tax if they want to use Bitcoin. I think right now maybe they are building it. Kinda top secret project lol. Anyway, it is hard to collect tax from people who use bitcoin because Bitcoin is anonymous and there is no way to obtain money from the anonymity

The point is that you have to pay taxes. With Bitcoin is harder to find out that you do not pay taxes, but it is still not legal. You can do the same with fiat, but they will find that out more easily since they do it all the time. Bitcoin is new to them, but they will catch up soon and they will find ways to get your money.

[Positid]

I guess for now maybe bitcoin might be used as a means to avoid taxes but with the passage of time the government will start collecting taxes from trading bitcoin because bitcoin is continues growing will make the government think they can get revenue from the existence of bitcoin.

I agree. They will soon develop the system which forces people to pay tax if they want to use Bitcoin. I think right now maybe they are building it. Kinda top secret project lol. Anyway, it is hard to collect tax from people who use bitcoin because Bitcoin is anonymous and there is no way to obtain money from the anonymity

The point is that you have to pay taxes. With Bitcoin is harder to find out that you do not pay taxes, but it is still not legal. You can do the same with fiat, but they will find that out more easily since they do it all the time. Bitcoin is new to them, but they will catch up soon and they will find ways to get your money.

Government has nothing to do if we do not pay taxes because they cannot oblige us since we are not registered tax payers, it's the benefits of us but the disadvantage of the government, either way we still like it.

[Senor.Bla]

I guess for now maybe bitcoin might be used as a means to avoid taxes but with the passage of time the government will start collecting taxes from trading bitcoin because bitcoin is continues growing will make the government think they can get revenue from the existence of bitcoin.

I agree. They will soon develop the system which forces people to pay tax if they want to use Bitcoin. I think right now maybe they are building it. Kinda top secret project lol. Anyway, it is hard to collect tax from people who use bitcoin because Bitcoin is anonymous and there is no way to obtain money from the anonymity

The point is that you have to pay taxes. With Bitcoin is harder to find out that you do not pay taxes, but it is still not legal. You can do the same with fiat, but they will find that out more easily since they do it all the time. Bitcoin is new to them, but they will catch up soon and they will find ways to get your money.

Government has nothing to do if we do not pay taxes because they cannot oblige us since we are not registered tax payers, it's the benefits of us but the disadvantage of the government, either way we still like it.

So paying taxes is now optional or what are you trying to say? Because this would be news to me. You  have an income, then you have to pay taxes. In order to do so you first need to declare your income and by not doing so you are acting unlawful. If they do not know that you have an income, then they will have a hard time to find out, but it still is possible.

[BitHodler]

I guess for now maybe bitcoin might be used as a means to avoid taxes but with the passage of time the government will start collecting taxes from trading bitcoin because bitcoin is continues growing will make the government think they can get revenue from the existence of bitcoin.

Bitcoin is just one of the many options that people can use in order to avoid your wealth being noticed, and thus not pay tax over that wealth.

The only possibility of governments knowing what your Bitcoin hodlings are, is when you declare everything in a honest manner.

If you don't declare any of your hodlings in Bitcoin or profits, then they won't find out. But keep in mind that if they somehow do find out, you'll be paying back everything at once.

[crairezx20]

Bitcoin will truly affect the taxation issues, but right now users were converting to flat through bank accounts and using it. This possibly help government to some extent to levy taxation based upon the banking transactions.

For now its not a big problem of government about taxes with bitcoin since we are just still fewer user who are using bitcoin it can not be a big issue.. but in the future since bitcoin is developed year by year more adoption are coming i think more people will use bitcoin if they seen there is no taxes in bitcoin to transfer money worldwide or to pay items and products online..

[Sithara007]

For now its not a big problem of government about taxes with bitcoin since we are just still fewer user who are using bitcoin it can not be a big issue.. but in the future since bitcoin is developed year by year more adoption are coming i think more people will use bitcoin if they seen there is no taxes in bitcoin to transfer money worldwide or to pay items and products online..

Taxing bitcoin transactions will be very problematic. For example, lets say that there is a 2% tax on profits from trading Bitcoin. I bought one BTC for $740, and sold it a few days later for $750. I pay $0.20 as tax.

Now let's take another situation. I bought BTC for $740, and I was forced to sell it for $730. In this case I suffer a net loss. Will the government reimburse $0.20 in my account?

[1Referee]

If you don't declare any of your hodlings in Bitcoin or profits, then they won't find out. But keep in mind that if they somehow do find out, you'll be paying back everything at once.

Coinbase has been the first (at least that we know of) to be forced by the IRS to share customer data. I am sure this is just the beginning of a wave coming from tax agencies all around the world locating black money holders trying to escape the system through crypto. Exchanges can go to court and say whatever they want, but eventually they will lose as the government has plenty of laws to hide themselves behind, and to use them in their advantage. Especially in times where the governments are chasing down black money streams leading to people financing terrorism.

[Juggy777]

If you don't declare any of your hodlings in Bitcoin or profits, then they won't find out. But keep in mind that if they somehow do find out, you'll be paying back everything at once.

Coinbase has been the first (at least that we know of) to be forced by the IRS to share customer data. I am sure this is just the beginning of a wave coming from tax agencies all around the world locating black money holders trying to escape the system through crypto. Exchanges can go to court and say whatever they want, but eventually they will lose as the government has plenty of laws to hide themselves behind, and to use them in their advantage. Especially in times where the governments are chasing down black money streams leading to people financing terrorism.

Ya the coinbase news is really sad, I wish for the entire community sake they win it, otherwise it would be a disaster for all. Even for honest and innocent members we all will be looked with suspicious and will have endless tax man query. Let's hope coinbase finds a way to keep up. What's are the chances of coinbase.com getting success?

[BitHodler]

If you don't declare any of your hodlings in Bitcoin or profits, then they won't find out. But keep in mind that if they somehow do find out, you'll be paying back everything at once.

Coinbase has been the first (at least that we know of) to be forced by the IRS to share customer data. I am sure this is just the beginning of a wave coming from tax agencies all around the world locating black money holders trying to escape the system through crypto. Exchanges can go to court and say whatever they want, but eventually they will lose as the government has plenty of laws to hide themselves behind, and to use them in their advantage. Especially in times where the governments are chasing down black money streams leading to people financing terrorism.

It basically means that no matter what exchange we're using to buy or sell coins at, it might turn out that this information eventually will be known by the governments.

How about certain services that allow you to buy and sell coins where you only need a mobile phone number?

Even when governments make these services hand over all information about those that bought and sold coins, they only have a telephone number to start with.

In that aspect people can just buy a $5 prepaid sim card where they use this number basically to buy and sell coins.

No government will know who's behind this number since you can easily get rid of this card. But then again, if they play it dirty, they can even attempt to trace the signal of your phone...

[Juggy777]

If you don't declare any of your hodlings in Bitcoin or profits, then they won't find out. But keep in mind that if they somehow do find out, you'll be paying back everything at once.

Coinbase has been the first (at least that we know of) to be forced by the IRS to share customer data. I am sure this is just the beginning of a wave coming from tax agencies all around the world locating black money holders trying to escape the system through crypto. Exchanges can go to court and say whatever they want, but eventually they will lose as the government has plenty of laws to hide themselves behind, and to use them in their advantage. Especially in times where the governments are chasing down black money streams leading to people financing terrorism.

It basically means that no matter what exchange we're using to buy or sell coins at, it might turn out that this information eventually will be known by the governments.

How about certain services that allow you to buy and sell coins where you only need a mobile phone number?

Even when governments make these services hand over all information about those that bought and sold coins, they only have a telephone number to start with.

In that aspect people can just buy a $5 prepaid sim card where they use this number basically to buy and sell coins.

No government will know who's behind this number since you can easily get rid of this card. But then again, if they play it dirty, they can even attempt to trace the signal of your phone...

Hahaha your idea of prepaid cards is really good, but I feel that would invite farther scrutiny, cause then the government would have a free excuse to check all the information. I don't think we should use such methods, continue doing what we do but let's keep it clean. We don't want to hand them anything that they can use to come back to us. And let's hope coinbase wins it

[The_Dark_Knight]

I don't think the government will be outsmarted by some businesses. When they start to notice that there is a decrease in their income tax they will know the source of the problem, they might even count as using Bitcoin as Tax Evasion. Anything that is a source of a company's income is taxable including Bitcoin of course.

Governments are outsmarted by business all the time, many of the biggest business in the world pay not tax at all thanks t complicated schemes used by their lawyers that is why some governments are fighting for something they call harmonization of taxes which basically means all the governments of the world will tax you at a particular rate of your income and as you may guess the countries where you pay no tax disagree with it.

[Japinat]

I don't think the government will be outsmarted by some businesses. When they start to notice that there is a decrease in their income tax they will know the source of the problem, they might even count as using Bitcoin as Tax Evasion. Anything that is a source of a company's income is taxable including Bitcoin of course.

Governments are outsmarted by business all the time, many of the biggest business in the world pay not tax at all thanks t complicated schemes used by their lawyers that is why some governments are fighting for something they call harmonization of taxes which basically means all the governments of the world will tax you at a particular rate of your income and as you may guess the countries where you pay no tax disagree with it.

The government has all the resources to determine who are not a tax payers but they just don't act on it when corruption are involve. It normally happens in a poor countries where public officials are corrupt and they just accept bribe from corrupt businessman as well.

It's different in bitcoin as it is decentralized and it can never be corrupted by government, it's either they adopt or they will hate bitcoin by banning it.

[Senor.Bla]

I don't think the government will be outsmarted by some businesses. When they start to notice that there is a decrease in their income tax they will know the source of the problem, they might even count as using Bitcoin as Tax Evasion. Anything that is a source of a company's income is taxable including Bitcoin of course.

Governments are outsmarted by business all the time, many of the biggest business in the world pay not tax at all thanks t complicated schemes used by their lawyers that is why some governments are fighting for something they call harmonization of taxes which basically means all the governments of the world will tax you at a particular rate of your income and as you may guess the countries where you pay no tax disagree with it.

The government has all the resources to determine who are not a tax payers but they just don't act on it when corruption are involve. It normally happens in a poor countries where public officials are corrupt and they just accept bribe from corrupt businessman as well.

It's different in bitcoin as it is decentralized and it can never be corrupted by government, it's either they adopt or they will hate bitcoin by banning it.

Why would Bitcoin eliminate corruption? It is money. With money you can pay people. Paying people to do what you want is how corruption works. And pleas do not say because of the blockchain. Yes you can see who paid whom (funny how this is a valid argument when talking about how bitcoin can end corruption, but if we talk about not paying taxes or do some illegal stuff the blockchain saves us from being uncovered), but if you pretend this happened for a good reason, then it is fine. That is what corruption is all about.

[darklus123]

I don't think the government will be outsmarted by some businesses. When they start to notice that there is a decrease in their income tax they will know the source of the problem, they might even count as using Bitcoin as Tax Evasion. Anything that is a source of a company's income is taxable including Bitcoin of course.

Governments are outsmarted by business all the time, many of the biggest business in the world pay not tax at all thanks t complicated schemes used by their lawyers that is why some governments are fighting for something they call harmonization of taxes which basically means all the governments of the world will tax you at a particular rate of your income and as you may guess the countries where you pay no tax disagree with it.

The government has all the resources to determine who are not a tax payers but they just don't act on it when corruption are involve. It normally happens in a poor countries where public officials are corrupt and they just accept bribe from corrupt businessman as well.

It's different in bitcoin as it is decentralized and it can never be corrupted by government, it's either they adopt or they will hate bitcoin by banning it.

Why would Bitcoin eliminate corruption? It is money. With money you can pay people. Paying people to do what you want is how corruption works. And pleas do not say because of the blockchain. Yes you can see who paid whom (funny how this is a valid argument when talking about how bitcoin can end corruption, but if we talk about not paying taxes or do some illegal stuff the blockchain saves us from being uncovered), but if you pretend this happened for a good reason, then it is fine. That is what corruption is all about.

No i think that you are actually wrong that person refers to the government corruption involved in getting its citizens and not bitcoin involving on it. I think that you are funny as well because you interrupted without understanding it.

[Senor.Bla]

I don't think the government will be outsmarted by some businesses. When they start to notice that there is a decrease in their income tax they will know the source of the problem, they might even count as using Bitcoin as Tax Evasion. Anything that is a source of a company's income is taxable including Bitcoin of course.

Governments are outsmarted by business all the time, many of the biggest business in the world pay not tax at all thanks t complicated schemes used by their lawyers that is why some governments are fighting for something they call harmonization of taxes which basically means all the governments of the world will tax you at a particular rate of your income and as you may guess the countries where you pay no tax disagree with it.

The government has all the resources to determine who are not a tax payers but they just don't act on it when corruption are involve. It normally happens in a poor countries where public officials are corrupt and they just accept bribe from corrupt businessman as well.

It's different in bitcoin as it is decentralized and it can never be corrupted by government, it's either they adopt or they will hate bitcoin by banning it.

Why would Bitcoin eliminate corruption? It is money. With money you can pay people. Paying people to do what you want is how corruption works. And pleas do not say because of the blockchain. Yes you can see who paid whom (funny how this is a valid argument when talking about how bitcoin can end corruption, but if we talk about not paying taxes or do some illegal stuff the blockchain saves us from being uncovered), but if you pretend this happened for a good reason, then it is fine. That is what corruption is all about.

No i think that you are actually wrong that person refers to the government corruption involved in getting its citizens and not bitcoin involving on it. I think that you are funny as well because you interrupted without understanding it.

well what i have understood was, that you have to pay your taxes and if you do not do it, then you have a problem with the government. so you pay someone some pocket money in order to not have to pay taxes. But with Bitcoin this shall be different, because you can not corrupt Bitcoin. This makes no sense to me and i still do not see how Bitcoin can prevent this. So instead of being funny maybe try to explain it.

[darklus123]

well what i have understood was, that you have to pay your taxes and if you do not do it, then you have a problem with the government. so you pay someone some pocket money in order to not have to pay taxes. But with Bitcoin this shall be different, because you can not corrupt Bitcoin. This makes no sense to me and i still do not see how Bitcoin can prevent this. So instead of being funny maybe try to explain it.

That makes sense anyways even if your understanding was not like mine. Since we are talking about bitcoin and tax here. Government is obviously the first person pronoun(lol) to get involved aside from the tax bitcoin and the citizen it self. Bitcoin cannot really prevent that one but that is his perspective anyways like you do have your own as well.