Bitcoin Will Kill The Income Tax

[Quietman]

The government will not let that happen. Especially when they knew that there are lots of bitcoin users that are existing. If they cannot manipulate bitcoin's inside core. They will definitely have to resolve it on the outside. But right now bitcoin is still anonymous and the government cannot identify yet the users of bitcoin so there's no need to worry. As long as there are people who do not use bitcoin, income tax will not die.

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[stompix]

Well it will definitely change the income tax the way we know it now. New approach will be needed also from the governments side if they want to keep getting the funds.

No there is not.
Because you will gain your coins from somebody for doing something.
The employer will still have to declare how much is paying you, if he is caught he risks a lot more, what is his incentive to do so?
If you own your own business you will still have to come out and say I've done this and that and have a profit of x $.
You can lie about this even now,but the risks are the same.
Furthermore with cash you could do tax evasion far easier, with coins you must be careful how many you move around as they might lead the IRS directly to your stash.

[diegz]

The government will not let that happen. Especially when they knew that there are lots of bitcoin users that are existing. If they cannot manipulate bitcoin's inside core. They will definitely have to resolve it on the outside. But right now bitcoin is still anonymous and the government cannot identify yet the users of bitcoin so there's no need to worry. As long as there are people who do not use bitcoin, income tax will not die.

No, we are paying tax with our bitcoin. Unless you want to keep your bitcoin forever in your desktop wallet.

Government might not touch your bitcoin, but, they could touch the exchanges you are using. They may impose higher tax on those exchanges and ask many papers for its legality. in return, the exchanges might charge it to you when you are transacting with them.

[Passive Coin]

If governments gonna tax centralized exchanges, people will move to decentralized "exchanges".  
Not "using Bitcoin" is wrong.
The income tax is wrong punishing people for hard work and innovations.
PIT and CIT should not exist. VAT as well, should be replaced by sales volume tax. That's all.
The reasons taxes exist is greedy politicians that tax you heavily on everything....
.... and then announcing that they gonna "give you" some in this or other form.
... and people love it, voting as we see ...  

[nethan1btc]

The government will not let that happen. Especially when they knew that there are lots of bitcoin users that are existing. If they cannot manipulate bitcoin's inside core. They will definitely have to resolve it on the outside. But right now bitcoin is still anonymous and the government cannot identify yet the users of bitcoin so there's no need to worry. As long as there are people who do not use bitcoin, income tax will not die.

No, we are paying tax with our bitcoin. Unless you want to keep your bitcoin forever in your desktop wallet.

Government might not touch your bitcoin, but, they could touch the exchanges you are using. They may impose higher tax on those exchanges and ask many papers for its legality. in return, the exchanges might charge it to you when you are transacting with them.

I think it won't be happen, as long as bitcoin user keep using the legal services and government ask every legal services which accept bitcoin to include tax as well which automatically converted to their fiat currency. The real problem is, when bitcoin user spend their bitcoin to the blackmarket or illegal shopping online which don't take taxes at all.

[Hasbro27]

bitcoin is still not taxable in my country, since bitcoin is not recognized by the government, it's possible that the government has legalized bitcoin to attract taxes from cryptoes.

[Md Saad]

I don't think so. Since Bitcoin is not a mainstream currency so that government don't include it as a local currency that is why Bitcoin is now out of tax. When the government will accept it as a legal and listed currency then Bitcoin will pay an amount of tax for the government. but if the government will not enlist it as a legal money then it will not be included in the taxation system. in that case, there will be a possibility of facing difficulties in the tax system.

[thelemot]

If the government can not get income tax then I think they will change and adapt and otherwise they will try to punish your wealth, there are some governments who have studied the possibility to do that

[Terry05]

In some factor , but I don't think the government will surely find ways how they will tax the bitcoin. they will surely invest into the technological infrastructure just to monitor and regulate the bitcoin business.

[fedora8]

Bitcoin will get rid of the earnings tax? Effectively, for me it is attainable but I believe bitcoin nevertheless has a long way to go. Apart from, bitcoin is still not suitable worldwide. And also, the federal government can't keep on all their project if there will be no earnings tax! We require to just take that into thought.

[Kaller]

Bitcoin is already killing income tax. Governments need to find another way to solve how to colelct taxes as the use of cryptocurrency grows.

[JTASSOCIATES]

Bitcoin will not kill the Income Tax. A very less people only using Bitcoin and what ever we earn we are spending it some how. Only bitcoin income only not taxable. If the whole world use Bitcoin then government will take a serious steps on Bitcoin Income to be taxable that time may me it is possible but there is long way a head for this to happen.

[chichan13]

As the age of cryptocurrency comes into full force, it will facilitate a subversively viable taxation avoidance strategy for many of the technically savvy users of peer-to-peer payment systems. In doing so, cryptocurrency use will act to erode the tax revenue base of national jurisdictions, and ultimately, reposition taxation as a voluntary, pay-for-performance function. In this post, I cover some of the benefits such a strategy will have for cryptocurrency investors, why our notion of taxation is ripe for disruption, and why cryptocurrency taxation is enabled by default.

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There's only few number of people who uses bitcoins compare to the global population. The issue you mentioned will not be reflected in the present society. Income from bitcoins is not taxable and it's a high amount. That could be the reason why other counties ban bitcoins. They are paranoid that if more of their citizens invest in bitcoins and earned a lot, there tax revenues will diminish.

[ruskytailz02]

When we exchange bitcoin to moneythe remitance or the exchanger have taxes whenever we will exchange it.. the so I think it will not cut the taxes BUT if bitcoin will be the mode of payment directly It will possibly take advantage of that.. that is why manybof governments are not accepting bitcoin because of its technology...
But I think it will not gonna happen because 20% of the people are only literate and knows bitcoin

[ongels]

At present, limited people in our area are user's of bitcoin, but using bitcoin is a big threat to a country, Because it is decentralized and they hardly find solution  to stop this business due to its users adaptation and good source of income to the mass. Perhaps Government right now, are looking counter measures to lessen the impact of threat. China already banned ICO industry, Who will be the next?

[NorvsGanda]

Yeah I already see that coming. If bitcoin has already popular or common to the industry,  I mean every person are doing bitcoin then it means that their income has no tax. They can earn so much money without thinking that they have tax to pay. That is also the reason why some government is threatened in bitcoin.

[Passive Coin]

Perhaps Government right now, are looking counter measures to lessen the impact of threat. China already banned ICO industry, Who will be the next?

Hehehe ... Chinese finds their way to get some ICOs. Use VPN or similar Tor schemes.
Please take a look at U.K. based exchange called Mercatox. They have ICO procedure where some coins are sold this way.
Please check Alexa traffic for this UK based exchange. A nice part of this traffic comes from China.
Amen.

[Japinat]

Yeah I already see that coming. If bitcoin has already popular or common to the industry,  I mean every person are doing bitcoin then it means that their income has no tax. They can earn so much money without thinking that they have tax to pay. That is also the reason why some government is threatened in bitcoin.

This would be a big challenge for the government now, they control they create the law and therefore they have the power to regulate or make a law that will favor to them. However, as the decentralized tokens are now more popular, this will minimize the collection of income tax by the government as anyone can under declare or hide their real income, let's just wait and see what they can do.

[diegz]

Yeah I already see that coming. If bitcoin has already popular or common to the industry,  I mean every person are doing bitcoin then it means that their income has no tax. They can earn so much money without thinking that they have tax to pay. That is also the reason why some government is threatened in bitcoin.

Sooner or later bitcoin will be taxed by the government. If we can see it, little by little they are imposing regulations so that bitcoin cannot be used as a medium of corruption and its users to be free from scammers.

Though right now, bitcoin to bitcoin transaction has no tax, but soon, maybe bitcoin to fiat transaction might be taxed by the government. Who knows, they are studying what bitcoin is and they want to do it slowly.

[lyks15]

Yes I really see that bitcoin wii kill the income tax. Because bitcoin not taxable. But it is not a affect their tax income. Because all the things we do and all the things we buy is punishable by tax. Honestly speaking non taxable income is the reason why was the government did not like a bitcoin. All they want is the activity that they earn tax to use ther over prices projects. They say that tax is the uses to us to. But in the real world our tax or vat are use for their high salaries. While their living in high social life because of our tax,we work hard to pay our tax.