Korea To Tax Bitcoin Use

[Cxfan]

The beauty of Bitcoin is that they can avoid taxes, assuming that they keep transactions under the table. Large exchanges are the low-hanging fruit for tax authorities.

[reputation]

i think if this come true, it will be a badly strike to bitcoin in a short term, not only Korea has a huge trading volume but also other countries will follow it, but the good news is that according to the history, it may hardly come true or take a long time to push this regulate

[HonestSurfer]

Hey I read the article someone posted about this Korea tax thing. It actually doesn’t really say much apart from the fact that Korea is thinking about how to get taxes from crypto in general.
So one thing you should be aware is that there are several taxes possible and we need to be clear what are we talking about. I am no tax expert (would love a feedback of an expert though) but I think the most common ones are basically:

1.   Corporate gains tax: for business entities, which make money from their regular business
2.   Income from capital profit tax: for individuals, which make money by utilizing their capital

Practically people make money from crypto in 2 ways: mining and trading. Usually (depending on the jurisdiction) mining would fall under the 1. category. A miner will have to declare the “business” and pay a corporate gains tax. Trading could fall under 1. or 2. category, depending on who does it.

Another thing is the categorization of the cryptocurrency in question. For instance, in many EU countries BTC is still regarded as “asset” and not as capital, investment or currency. This means that (for the time being) a regular retail investor won’t have to pay any taxes on the grounds of earning money with BTC trading.
Would be great to hear some tax expert on this topic.

[ged00u]

How can they able to tax bitcoin without an exchange? I mean, people know how to avoid those rules. They can transfer their money to somewhere else, some other international banks to buy bitcoin without using their local exchange. Moreover, there are many places that provide us a chance to buy bitcoin anonymously with fiat. Maybe it is just a way to collect extra money from the people. They can not stop bitcoin

[fiulpro]

  Hey

Bitcoins are already taxable in many countries thus its.. not a big deal that korea had made it taxable, bitcoins were already taxable in India since 6 months or so , and the fact that bitcoins are taxable provides a very nice platform for them were they are acceptable as any other means to earn from a job.

Government is employing taxes on them means they are accepting it And its a very nice thing indeed .

So its not at all something to worry about because its providing us a medium to connect with goverment
In a Positive way offcourse.

[sukoon]

NTS Commissioner Han Seung-hee said we are currently monitoring the status of the [cryptocurrency] transactions and will move forward quickly. so yet to decide but sooner or later they will legalise and impose tax on btc.

[junoreactor]

It's possible. Then it's a step to legality. When government ask for taxes in the use of bitcoin, it means that they are accepting it for implementation. In the Philippines, there are taxes upon the use of bitcoins. Via banks, remittances and Philippine made wallets for digital currency.

My thoughts exactly. I would rather get taxed than living in a country that does not recognize Bitcoin.
This is actually the future I would like to see, in the whole world.

And yes no one likes to pay taxes, but taxes are also used to help the public communities, help building schools, etc. as long as the taxes are not over a reasonable % , I am fine with it.

[BrewMaster]

if they take the same route as the Japanese government and a couple of others like Australian (IIRC) took, then it is a very good news for bitcoin's future and its adoption.
there is even talk among the parliament members in US to do the same thing.

they first add taxes for trading bitcoin. then in order to do it only once not multiple times, they remove any taxes on bitcoin usage. meaning when you pay with bitcoin (use bitcoin as a currency) you don't have to pay any taxes. and that helps bitcoin's adoption a lot.
as i said a couple of countries have already done that.

[bitctrimor1]

It's part of any government's power to impose taxes on services and any thing of value actually; part of that is bitcoin. Since, its value kept on increasing and increasing, it's actually expected that governments, especially those that acknowledge and recognize its value, would sooner or later impose taxes on it as part of their revenue-producing means.

[Dava.Dina]

No big deal if Korea Bitcoin is taxed,
Bitcoin has been taxed in India for 6 months or more,
The government using taxes on it means they accept it. And very good indeed.

So there is nothing to worry about because it gives us the means to connect with the government,

So the fact that Bitcoin is taxable gives a very good platform for them. can be accepted as another means to earn income from a job.

[pereira4]

Only if you were to move in a country that claims no taxes on bitcoin usage you would be safe, and as far as I know there are plenty.

I think people should pay on capital gains once, but not on every use of it. Well, maybe when you purchase something that belongs to the country that held that particular law, but taxing on a transaction basis (even if you send BTC to someone for example) it's pretty stupid and I don't think they can ever charge you on that.

Just don't be delusional if you think you can avoid taxes when dealing with states and the legacy banking system.

[ss890]

South Korea is preparing to tax bitcoin use after the cryptocurrency’s trading volume skyrocketed past that of Kosdaq.

Death and taxes ... it seems that even bitcoins can't escape that

Why it's not possible. It's completely possible to tax bitcoin or any other crypto currencies because its being used in the world and don't forget that everything operates here under the regulation of laws. So it's government behind the tax implementation and they have full authority because they need to take care of the national economy which could be disturbed by investment of bitcoin. This is why china implemented ban on the bitcoin in first place and let the investments driven out of the country. This can happen in any country and that's why Korea might be doing that.

[btcprospecter]

I don't know how they would tax individuals using bitcoin but for big businesses and exchanges it would be a lot easier to to tax them. Atleast the government is getting on board this way. Government missing out on tax from bitcoin is one of the reasons they don't like bitcoin and other crypto currencies.

[Meepospammer]

They probably tax individuals by charging them everytime they use certain wallets. You might not feel it but the wallet companies definitely do since they are the ones with legality on this matter. Looking for individual owning bitcoin is kinda absurd, its so hard to prove someone's ownership with bitcoin.

[ClvrGmr]

South Korea is preparing to tax bitcoin use after the cryptocurrency’s trading volume skyrocketed past that of Kosdaq.
Death and taxes ... it seems that even bitcoins can't escape that

This is surely a bad thing to happen to bitcoins. Bitcoin's one advantage is that it is not affected by local taxes. This makes transactions cheaper than local transactions in banks. Bitcoin is so volatile and it can be transferred easily because it does not undergo any processes which banks and governments have. If this will happen and if many countries will be able to implement this surely bitcoin's price will go down gradually. I hope this won't get any further so bitcoin will remain and will constantly grow.

[Denamen]

There are no doubt that this is a nice news. I strongly believe after tax income Bitcoin, The government has no reason to refuse to accept Cryptocurrency and ICOs. Let buy Bitcoin right now. The bump will happen. lol

[dunfida]

South Korea is preparing to tax bitcoin use after the cryptocurrency’s trading volume skyrocketed past that of Kosdaq.
Death and taxes ... it seems that even bitcoins can't escape that

They are making a step already regarding on taxation on those services or things which are related on bitcoin earning. When we do talk about direct tax on it then its not possible that's why they would regulated instead into those services which they can able to see that they can sip out taxes on it which one is on trading exchanges which they can really impose or implement deductions on each trader to pay taxes on each profit that they would made.They can already see that its booming up and we are already talking huge money on here and its not good for their eyes to pass by those possible taxes that they would able to get.

[riskarcher]

Wow, it is true the government also took part in taking advantage bitcoin.luckily my country does not have such a rule, of course, it imposes for an unemployed person to bear a large tax. I bet sooner or later some countries will enact the system to get big profits

[rindo]

From the moment that the Bitcoin volume, of trading exchanges, overruled the Kosdaq volume, there was no other option than taxate the crypto-currency. The way to set, the method of taxation is still in discussion by the South Korean government. Possibly they will adopt Japan methods or even study what are countries are doing related to that and come with a beter improved solution for the problem. 

[Kprawn]

South Korea is preparing to tax bitcoin use after the cryptocurrency’s trading volume skyrocketed past that of Kosdaq.
Death and taxes ... it seems that even bitcoins can't escape that

If you think the idea behind Bitcoin is to avoid paying taxes, then you are wrong. You should always pay the taxes that are

due, because it is the law. If you use Bitcoin for tax evasion, you will be caught and you will face stiff penalties and/or some

jail time. Bitcoin is just a currency or some might say a speculative commodity.