You can't avoid taxes by investing in bitcoin

[warwar]

I think there is no taxes on bitcoins.Government cannot give or put taxes on buying bitcoins since bitcoins are not regulated and controlled by the government,it is a NGO who launched it.Taxes may just apply when you convert your bitcoins into  cash and cashit out i think but never in investing fiat to bitcoins

[numismatist]

If you think investing in bitcoin or a similar “crypto-currency” may be a good method for hiding income from the tax man, you’d better think again.
http://nypost.com/2017/04/08/no-you-cant-avoid-taxes-by-investing-in-bitcoin/

I am smelling something good here with the news. If the government declared about how peoples can't avoid the taxes by investing in bitcoin, it means directly or indirectly government said that they recognize the existence of bitcoin and how it can be profitable to invest.

NY Post mentioning Bitcoin qualifies this thread getting moved over to Press section https://bitcointalk.org/index.php?board=77.0

And it is indeed good advertising that they draw the reader's attention both on tax evasion chances and Bitcoin, two things readers would not have recognized otherwise as a possibility. There is no such thing as bad advertising.

[meemiinii]

If the government want taxed us then it's mean the government need to admit the bitcoin existence and make rules about it, in my country there is still no fixed rules about it yet, but in the future government will try to taxed us, and we can't evade taxed with bitcoin anymore

I think it will still depends.  it will depend if  a certain country or government will recognized bitcoin.. if they will then we will finally pay taxes and I think we can't escape that .  but if they don't then good for us cause we will don't need to pay taxes if we have bitcoin..

[Anarchist]

Usually the people trying to avoid paying taxs, or frauding the system for not paying taxs, are the same people who complaint about their country saying their hospitals are bad, old infrastructures, bad roads, no money for the nationnal education system, ect. i find them very funny.

[dihari]

I'm totally not aware what are the laws in your country or how much tax they charge but for now in my country people are barely aware of bitcoin , so i don't see that any tax will be charged from me in the coming years.

This news is posted by newyorkpost, and it's government regulation is just valid in the US. I don't know how much exactly they take the taxes, because I don't live in that country. But maybe, the taxes is same like what they take from the income tax, how much you earn the profit from something government will take few percent taxes.

[SONG GEET]

I think there is no taxes on bitcoins.Government cannot give or put taxes on buying bitcoins since bitcoins are not regulated and controlled by the government,it is a NGO who launched it.Taxes may just apply when you convert your bitcoins into  cash and cashit out i think but never in investing fiat to bitcoins

NGO  LOL

Government can easily put taxes on all buying/selling of bitcoins if you are using local exchange and they will also ask for all your personal documents before you can make any trades. Bitcoin is not meant for this, search for local guy near you and make p2p trades rather than going through all this regulation, verification and surveillance.

[gentlemand]

I love all the 'I'm not paying tax on Bitcoin because it's on, like, the internet' posts. Good luck with that one, young man.

There's a million other things you can opt out of paying taxes on too. That doesn't mean you won't get ravaged if they find out about it.

[shield132]

If anyone is officially making business and especially it happens in usa, there is no chanse to avoid taxes. Well, if you offer bitcoin service, you have to make official agreement with goverment, so when you offer clients to pay you with bitcoin, goverment can to control your wallet and see all transactions.
Well, that's not written in that news but this is my opinion.

[stompix]

You should really add "maybe" , "in the future"  and of course "in the US"

Honestly I don't know if in my country more than half of us really pay all the taxes and the right amount.
We don't even have to tell the government what we earn yearly, nobody gives a damn if transfers are less than 10k euros it's all shrouded in darkness more than the darknet.

Probably 99% of the people in charge don't have a clue what bitcoin is.

But in an age where cash is replaced faster and faster by other methods of payments, bitcoin will also be pretty easy to trace.
Goodbye old times:)

[Dorky]

But in an age where cash is replaced faster and faster by other methods of payments, bitcoin will also be pretty easy to trace.

localbitcoins.com can wipe squeaky clean the trace.

The address that they give to you to store bitcoin is not the same address they will use to send bitcoin to your wallet.
Thus those who are tracing your address given by localbitcoins will not be able to trace to that address of yours in your private wallet.
The same applies if you want to wipe clean the trace you left with address from your private wallet.
Just send all the bitcoins from your private wallet to the address given by localbitcoins, then send them to another address that is new.
All traces gone!

[radjie]

Each must have taxable income by the government, it is if you want to exchange bitcoin to your account you definitely taxable, and if you you do not want to redeem the balance you have, the tax would not exist.
If all official government with their bitcoin bitcoin then any earnings prior to the account in exchange will even taxable.

[just_Alice]

If you think investing in bitcoin or a similar “crypto-currency” may be a good method for hiding income from the tax man, you’d better think again.
http://nypost.com/2017/04/08/no-you-cant-avoid-taxes-by-investing-in-bitcoin/

I am smelling something good here with the news. If the government declared about how peoples can't avoid the taxes by investing in bitcoin, it means directly or indirectly government said that they recognize the existence of bitcoin and how it can be profitable to invest.

It's a good sign they start to think how to tax investment in Bitcoin, but that definitely won't be easy to do. I have a vague notion of how taxation works but as far as I know the scheme to tax everyone properly wasn't yet invented. Many rich people, even without resort to Bitcoin, constantly avoid taxation and only a few of them are getting caught.

[OliynyK]

Each must have taxable income by the government, it is if you want to exchange bitcoin to your account you definitely taxable, and if you you do not want to redeem the balance you have, the tax would not exist.
If all official government with their bitcoin bitcoin then any earnings prior to the account in exchange will even taxable.

Everyone who is working does pay its  taxes unless and until you are from a country like UAE and some Arab countries where there is no tax but the rest of the world are entitled to pay the taxes and it is a matter of time that each and every government will try to tap into the wealth of bitcoin and wants a share from the returns ,still i am paying my taxes for a long time for my online earnings because it is mandatory to file it in my tax returns to avoid legal troubles.

[stompix]

But in an age where cash is replaced faster and faster by other methods of payments, bitcoin will also be pretty easy to trace.

localbitcoins.com can wipe squeaky clean the trace.

The address that they give to you to store bitcoin is not the same address they will use to send bitcoin to your wallet.
Thus those who are tracing your address given by localbitcoins will not be able to trace to that address of yours in your private wallet.
The same applies if you want to wipe clean the trace you left with address from your private wallet.
Just send all the bitcoins from your private wallet to the address given by localbitcoins, then send them to another address that is new.
All traces gone!

And this solves..... NOTHING.
I can change the bills from my left pocket to my right with no problem.

The problem is when you have to spend your bitcoins.
What are you going to do , pay the pizza guy and have him deliver you pizza in the street or in the janitor room next block?
Buy a car... with a fake name?
Buy a home with a fake name and pretend you're not the owner although you've lived there for 10 years?

You can hide your bitcoins, that's certain but how can you hide them when you use them to buy something?

[FlamingFingers]

Usually the people trying to avoid paying taxs, or frauding the system for not paying taxs, are the same people who complaint about their country saying their hospitals are bad, old infrastructures, bad roads, no money for the nationnal education system, ect. i find them very funny.

Believe me, you can pay taxes, and still have all that shit in your country, because whoever is in charge is interested in taking your money in his pockets instead of developing any thing that worth the money taken. We, here, pay expensive taxes compared to wages, and still see shit everywhere.

[DoublerHunter]

I use and already invested in bitcoin but i can avoid the taxes? So what i think we can still avoid the tax just like me. I just use my fiat money and buy a lot of bitcoins and when i earn from my investments, I sell them and withdraw it without any minus amount in my money, so i don't think that if you use bitcoin then you can't avoid tax because bitcoin is decentralized and no one is controlling it so it is a tax free currency.

[Raxitto]

Bitcoin's virtual currency is back on the agenda after the European Court of Justice has ruled that the exchange rate of digital currency should not be taxed. In practice this puts bitcoin in line with 'traditional' money. It is important for businesses across Europe that there is finally a decision regarding taxes and for many this means recovering money from tax authorities.

[eternalgloom]

Would you still have to pay taxes if you'd never exchange those Bitcoins for fiat and just use your profits to buy goods with? (in the US)
If so, how would they even be able to check if you're doing so?

Same for other crypto-currencies that are more anonymous. 

[numismatist]

Usually the people trying to avoid paying taxs, or frauding the system for not paying taxs, are the same people who complaint about their country saying their hospitals are bad, old infrastructures, bad roads, no money for the nationnal education system, ect. i find them very funny.

Believe me, you can pay taxes, and still have all that shit in your country, because whoever is in charge is interested in taking your money in his pockets instead of developing any thing that worth the money taken. We, here, pay expensive taxes compared to wages, and still see shit everywhere.

Naw, more likely investing into fireworks like 59 rockets that don't hit a damn, by 1 million dollars each. And seemingly the supplier's stock notation took a healthy +1.5% because they raised the price on each rocket up to 1.5 million dollars. Resupplying will become a happy dance.
That's the situation today. How much will a further war adventure in Syria cost us?

[manselr]

If you think investing in bitcoin or a similar “crypto-currency” may be a good method for hiding income from the tax man, you’d better think again.
http://nypost.com/2017/04/08/no-you-cant-avoid-taxes-by-investing-in-bitcoin/

I am smelling something good here with the news. If the government declared about how peoples can't avoid the taxes by investing in bitcoin, it means directly or indirectly government said that they recognize the existence of bitcoin and how it can be profitable to invest.

You can, is as easy as working for bitcoin instead of buying it. Work for btc, get paid, don't report it, gov can never know.

Of course, you must report everything to the government, this is not advice. Report it or you are going to hell etc.