Not Declaring Bitcoin Income

[carlfebz2]

Here in my country which is now an upcoming tiger economy (though we are still classified as a third-world country), we are free to participate in Bitcoin both buying and selling as the government is treating Bitcoin just like any other foreiign money.

However, I am sure that only a very, very small fraction of us are declaring our Bitcoin income. It seems to me that the government is not that interested to get strict with individuals as long as they can tax the Bitcoin exchange provider for the service rendered.

I am then wondering the situation with other countries. Can your government really be able to track if you never declared gains made from Bitcoin transactions?

I have already heard some rumors that my country would have the plan on regulating bitcoin and this would really be a bad thing for me since I'm a tax evader and I don't like to pay up taxes related on my bitcoin earnings knowing that government do impose 12% tax and that's too much. Imagine you do have 1 btc and they will get 0.12 on that one which is too much.

How did they imposed taxed in not physical money what is their basis?
How they do tracked the transactions of every bitcoin earners?
They consider how many people are using bitcoin? What blockchain they used to collect taxed from all bitcoin earners?
I do not think government can make a law in digital currency no one can regulates bitcoin, government only support bitcoin and they cant earn money for the people who earn bitcoin even it is fully adopted by their government.

Even if they would fully adopt bitcoin they cant still impose taxes directly or to itself maybe on exchanges or on other regulated services which have being used by bitcoiners but on other hidden transactions then its not possible this is somehow the reason why government wont really consider bitcoin to be adopted because of this taxation matter besides if people would able to earn some decent amount on bitcoin form they wontt really tend to disclose or declare because of tax deduction.

[Ompyon]

I think from every transaction we've been taxed, especially when the transaction of bitcoin withdrawal into currency, so we want to declare or not about bitcoin income, it is not so influentia

[Sithara007]

I think from every transaction we've been taxed, especially when the transaction of bitcoin withdrawal into currency, so we want to declare or not about bitcoin income, it is not so influentia

You are not paying any tax when you convert your coins to fiat cash. The exchange may be paying a part of the fees as tax, but you are not paying tax at that point of time. The tax needs to be paid later, after finding out whether the profits from such a trade is classified as ordinary income or as capital gains. If it is possible to classify the income as long-term capital gains, then you will be able to escape with a lower tax rate.

[metenjean]

Here in my country which is now an upcoming tiger economy (though we are still classified as a third-world country), we are free to participate in Bitcoin both buying and selling as the government is treating Bitcoin just like any other foreiign money.

However, I am sure that only a very, very small fraction of us are declaring our Bitcoin income. It seems to me that the government is not that interested to get strict with individuals as long as they can tax the Bitcoin exchange provider for the service rendered.

I am then wondering the situation with other countries. Can your government really be able to track if you never declared gains made from Bitcoin transactions?

I have already heard some rumors that my country would have the plan on regulating bitcoin and this would really be a bad thing for me since I'm a tax evader and I don't like to pay up taxes related on my bitcoin earnings knowing that government do impose 12% tax and that's too much. Imagine you do have 1 btc and they will get 0.12 on that one which is too much.

How did they imposed taxed in not physical money what is their basis?
How they do tracked the transactions of every bitcoin earners?
They consider how many people are using bitcoin? What blockchain they used to collect taxed from all bitcoin earners?
I do not think government can make a law in digital currency no one can regulates bitcoin, government only support bitcoin and they cant earn money for the people who earn bitcoin even it is fully adopted by their government.

Even if they would fully adopt bitcoin they cant still impose taxes directly or to itself maybe on exchanges or on other regulated services which have being used by bitcoiners but on other hidden transactions then its not possible this is somehow the reason why government wont really consider bitcoin to be adopted because of this taxation matter besides if people would able to earn some decent amount on bitcoin form they wontt really tend to disclose or declare because of tax deduction.

Income tax has been an issue recently since the price hike, nowadays government havent create any regulations about bitcoin taxes yet. So basically when we mining and gain bitcoin, thats not an issue because they dont have any regulations nor any capability to track every single transactions of the users. However when we converting the bitcoin into our own currency, some government will apply income tax based of how much money you gain from a single transaction, in my country as example i also struggling with bitcoin converting in every single transaction we made, it will be going through bank and government before going into our wallet. But there will always be a legal way to help us getting our own money, i suggest asking for tax accountant rather than asking in forum, because every country has their own tax regulations and there will always be ways to make money from that 

[frmracc]

Nope, my government here is really against bitcoin and bitcoin transaction. Fyi bitcoin is not very popular here, it's like only 0.5% of the total population in my country here know about bitcoin. 2 weeks ago the head of Stellar XLM come to indonesia and talk with our government though, it's a good news for bitcoin user here.

I think from every transaction we've been taxed, especially when the transaction of bitcoin withdrawal into currency, so we want to declare or not about bitcoin income, it is not so influentia

Lol no, that is not tax.

[jamiewu]

What does "3rd world countries" exactly mean? I have no idea at all

[splat44]

Here in my country which is now an upcoming tiger economy (though we are still classified as a third-world country), we are free to participate in Bitcoin both buying and selling as the government is treating Bitcoin just like any other foreiign money.

However, I am sure that only a very, very small fraction of us are declaring our Bitcoin income. It seems to me that the government is not that interested to get strict with individuals as long as they can tax the Bitcoin exchange provider for the service rendered.

I am then wondering the situation with other countries. Can your government really be able to track if you never declared gains made from Bitcoin transactions?

I belong to the 3rd world country. Governments are corrupt they scam peoples money by paying big taxes. That's why people are wise now they use bitcoin as commodity and a store of value. the problem here is we need to address our concern that we should show them our minimum income, we need a decentralization not centralize. i hate governments that are scamming people to pay them 20-30% tax income.

[ebay1990]

Here in my country which is now an upcoming tiger economy (though we are still classified as a third-world country), we are free to participate in Bitcoin both buying and selling as the government is treating Bitcoin just like any other foreiign money.

However, I am sure that only a very, very small fraction of us are declaring our Bitcoin income. It seems to me that the government is not that interested to get strict with individuals as long as they can tax the Bitcoin exchange provider for the service rendered.

I am then wondering the situation with other countries. Can your government really be able to track if you never declared gains made from Bitcoin transactions?

I have already heard some rumors that my country would have the plan on regulating bitcoin and this would really be a bad thing for me since I'm a tax evader and I don't like to pay up taxes related on my bitcoin earnings knowing that government do impose 12% tax and that's too much. Imagine you do have 1 btc and they will get 0.12 on that one which is too much.

How did they imposed taxed in not physical money what is their basis?
How they do tracked the transactions of every bitcoin earners?
They consider how many people are using bitcoin? What blockchain they used to collect taxed from all bitcoin earners?
I do not think government can make a law in digital currency no one can regulates bitcoin, government only support bitcoin and they cant earn money for the people who earn bitcoin even it is fully adopted by their government.

Even if they would fully adopt bitcoin they cant still impose taxes directly or to itself maybe on exchanges or on other regulated services which have being used by bitcoiners but on other hidden transactions then its not possible this is somehow the reason why government wont really consider bitcoin to be adopted because of this taxation matter besides if people would able to earn some decent amount on bitcoin form they wontt really tend to disclose or declare because of tax deduction.

If your country accepts bitcoin coins they will levy bitcoin. Many countries have banned the bitcoin trade in 2018, if they detect that your bitcoin deal will be fined

[dokie987]

Here in my country which is now an upcoming tiger economy (though we are still classified as a third-world country), we are free to participate in Bitcoin both buying and selling as the government is treating Bitcoin just like any other foreiign money.

However, I am sure that only a very, very small fraction of us are declaring our Bitcoin income. It seems to me that the government is not that interested to get strict with individuals as long as they can tax the Bitcoin exchange provider for the service rendered.

I am then wondering the situation with other countries. Can your government really be able to track if you never declared gains made from Bitcoin transactions?

Well maybe if the government is really want to track me if i will not declare my assets in bitcoin, then they can.

[RakknRoll]

No its not true, all earnings came from bitcoin is income. Bitcoin provides the easiest way on how to earn income without doing any effort to have it; which helps alot in the entire humanity.

[goaldigger]

Government can really track those bitcoin transactions using your service provider or wallet because it has your history. In here, we have this monopoly of the e-wallet which is i think the only wallet we can have. If they want to dig in on its customers, they can do it. I think we are both on the same country were government doesnt focused on the income tax on bitcoin for now. Im sure they will definitely do it if bitcoin continue to mainstream and get their attention.

[ecnalubma]

Its hard for the government to put tax on a very volatile commodity it needs deeper studies. Cryptocurrency is very young to be taxed at this stage, it just caught governments attention when its prices spiked hard and small investments made millions.

[yomarve]

Well, with the current development at Brisbane, one would expect that  people would soon be paying taxes like regular income.

another thing that would also propel this is the use of KYC by ICOs. this new trend is pitiably not cool.

[jorenpo]

Here in my country which is now an upcoming tiger economy (though we are still classified as a third-world country), we are free to participate in Bitcoin both buying and selling as the government is treating Bitcoin just like any other foreiign money.

However, I am sure that only a very, very small fraction of us are declaring our Bitcoin income. It seems to me that the government is not that interested to get strict with individuals as long as they can tax the Bitcoin exchange provider for the service rendered.

I am then wondering the situation with other countries. Can your government really be able to track if you never declared gains made from Bitcoin transactions?

they can never track you bitcoin transaction unless you gave it.
here in my country, Central bank requires a list of transaction where you earn your bitcoin before you can open a bank account. maybe that the way of goverment to track your income.

[carlfebz2]

Here in my country which is now an upcoming tiger economy (though we are still classified as a third-world country), we are free to participate in Bitcoin both buying and selling as the government is treating Bitcoin just like any other foreiign money.

However, I am sure that only a very, very small fraction of us are declaring our Bitcoin income. It seems to me that the government is not that interested to get strict with individuals as long as they can tax the Bitcoin exchange provider for the service rendered.

I am then wondering the situation with other countries. Can your government really be able to track if you never declared gains made from Bitcoin transactions?

I have already heard some rumors that my country would have the plan on regulating bitcoin and this would really be a bad thing for me since I'm a tax evader and I don't like to pay up taxes related on my bitcoin earnings knowing that government do impose 12% tax and that's too much. Imagine you do have 1 btc and they will get 0.12 on that one which is too much.

How did they imposed taxed in not physical money what is their basis?
How they do tracked the transactions of every bitcoin earners?
They consider how many people are using bitcoin? What blockchain they used to collect taxed from all bitcoin earners?
I do not think government can make a law in digital currency no one can regulates bitcoin, government only support bitcoin and they cant earn money for the people who earn bitcoin even it is fully adopted by their government.

Even if they would fully adopt bitcoin they cant still impose taxes directly or to itself maybe on exchanges or on other regulated services which have being used by bitcoiners but on other hidden transactions then its not possible this is somehow the reason why government wont really consider bitcoin to be adopted because of this taxation matter besides if people would able to earn some decent amount on bitcoin form they wontt really tend to disclose or declare because of tax deduction.

Income tax has been an issue recently since the price hike, nowadays government havent create any regulations about bitcoin taxes yet. So basically when we mining and gain bitcoin, thats not an issue because they dont have any regulations nor any capability to track every single transactions of the users. However when we converting the bitcoin into our own currency, some government will apply income tax based of how much money you gain from a single transaction, in my country as example i also struggling with bitcoin converting in every single transaction we made, it will be going through bank and government before going into our wallet. But there will always be a legal way to help us getting our own money, i suggest asking for tax accountant rather than asking in forum, because every country has their own tax regulations and there will always be ways to make money from that 

Going back in the past on where banks here on my place doesn't really care about those transactions but the time comes that people involve on crypto did able to cash out millions of local fiat currency which really alarms them and now they are imposing strict compliance and regulations about on those accounts specially on banks. If they do find out you are engaging on crypto you would really be questioned about it.

[mrcash02]

Here in my country which is now an upcoming tiger economy (though we are still classified as a third-world country), we are free to participate in Bitcoin both buying and selling as the government is treating Bitcoin just like any other foreiign money.

However, I am sure that only a very, very small fraction of us are declaring our Bitcoin income. It seems to me that the government is not that interested to get strict with individuals as long as they can tax the Bitcoin exchange provider for the service rendered.

I am then wondering the situation with other countries. Can your government really be able to track if you never declared gains made from Bitcoin transactions?

I have already heard some rumors that my country would have the plan on regulating bitcoin and this would really be a bad thing for me since I'm a tax evader and I don't like to pay up taxes related on my bitcoin earnings knowing that government do impose 12% tax and that's too much. Imagine you do have 1 btc and they will get 0.12 on that one which is too much.

How did they imposed taxed in not physical money what is their basis?
How they do tracked the transactions of every bitcoin earners?
They consider how many people are using bitcoin? What blockchain they used to collect taxed from all bitcoin earners?
I do not think government can make a law in digital currency no one can regulates bitcoin, government only support bitcoin and they cant earn money for the people who earn bitcoin even it is fully adopted by their government.

Even if they would fully adopt bitcoin they cant still impose taxes directly or to itself maybe on exchanges or on other regulated services which have being used by bitcoiners but on other hidden transactions then its not possible this is somehow the reason why government wont really consider bitcoin to be adopted because of this taxation matter besides if people would able to earn some decent amount on bitcoin form they wontt really tend to disclose or declare because of tax deduction.

Income tax has been an issue recently since the price hike, nowadays government havent create any regulations about bitcoin taxes yet. So basically when we mining and gain bitcoin, thats not an issue because they dont have any regulations nor any capability to track every single transactions of the users. However when we converting the bitcoin into our own currency, some government will apply income tax based of how much money you gain from a single transaction, in my country as example i also struggling with bitcoin converting in every single transaction we made, it will be going through bank and government before going into our wallet. But there will always be a legal way to help us getting our own money, i suggest asking for tax accountant rather than asking in forum, because every country has their own tax regulations and there will always be ways to make money from that 

Going back in the past on where banks here on my place doesn't really care about those transactions but the time comes that people involve on crypto did able to cash out millions of local fiat currency which really alarms them and now they are imposing strict compliance and regulations about on those accounts specially on banks. If they do find out you are engaging on crypto you would really be questioned about it.

While your money is in BTCs or any other AltCoin there isn't problem, the government will do nothing about it, but once you start converting large amounts to fiat their alarm will sound. I think it's very unfair to pay expensive taxes, especially if the services in our countries are poor and the corruption levels are high. So what you can do is to withdraw your profit in small amounts, to stay below the government's radar.

It's not illegal, and you are protecting your patrimony. The negative point is that you won't cashout large sums of money fast.

[thomasjonestaxman]

I'm actually hosting a Ask Me Anything right now and would love to get more questions.  A lot of the same questions that were asked are covered here as well.

https://cryptoama.amafeed.com/i-provide-strategic-tax-and-accounting-solutions-for-cryptocurrency-traders-and-479288

[sontoloyo177]

I think the government should immediately issue tax regulations in order to synergize between banks or financial institutions with bitcoin trading. Implementation rules ensure the security and convenience of the wider user community or bitcoin traders. Regulators may monitor or place bitcoin controls so that bitcoin usage will be taxed every conversion to the country's official currency. Thanks

[rhamzter]

We don't need to discuss our income daily monthly or anytime because bitcoin income is very critical. We just need to avoid scam together with hacking if account. Because if we discuss it into other maybe they trigger the other people to hacked our accounts.

[fuer44]

it should be better not to declare bitcoin income, besides banks also will never know about bitcoin transactions that we do and how much balance bicoin we have.