Is Taxing Bitcoins Possible?

[b3llsf1l3s]

I have been thinking of this for long and the reason being that a lot of bitcoin transaction is going online everyday in many countries and i think government can generate IGR from this if possible. I am not a programmer and i have a little knowledge about bitcoin technologies but i just want to know if it is possible.

Yes it is possible if government will handle the cryptocurrency in different countries. It was a very bad idea if they will place tax on bitcoins since the tips on exchanger is very expensive today. Placing a tax on bitcoins is a very bad idea for the government it was like they will only milk the miners from getting taxes to them.

i think its a impossible thing, due a lot of bitcoin addresses, and people can make multiple bitcoin addresses i think that was impossible.
did government want to track a whole of bitcoin addresses ? i dont think so, it really need a lot of time

[Zab_O]

If exchanges are regulated by the Government - then yes. Also, if you withdraw fiat and the bank knows it's from selling cryptocurrency, it might be taxed (if the government decides so).

[UAE Seasider]

I think we are all aware of the regulations being imposed by the IRS in the United States of America, where the onus is on the individual to volunteer the information of their financial activities. They are planning to tax any capital gain on each and every crypto transaction. Sure other countries will try and do the same at some point so maybe think of relocating to somewhere more sympathetic with your philosophy  

[2gether]

I think we are all aware of the regulations being imposed by the IRS in the United States of America, where the onus is on the individual to volunteer the information of their financial activities. They are planning to tax any capital gain on each and every crypto transaction. Sure other countries will try and do the same at some point so maybe think of relocating to somewhere more sympathetic with your philosophy  

I suspect that this will increasingly become the rational for legislation. We will see taxes on cryptocurrency gains become normal. I don't think each move should be taxed but rather the eventual payout should be, if it has to be, the only thing subject to a countries taxation code.

[Asusnumbaone]

Im not an expert too, but in my point of view its almost imposible to do that. Cause is untracable right ? if you dont know who hold it can you tell that people to pay the tax, for example i live in the usa where tax is mandatory but goverment have no proof that i have bitcoin. can they taxing that ? Spoiler allert, if you not tell them that you had, they cant.

It is possible. Yes, because bitcoin can be ban in the country so it is possible. Government can collect the addresses of the bitcoin holders and ask them to register first their bitcoin address but it will takes a lots of process. The government will make a system so that they can compile the address and personal information of the user and also they have to make a law about the bitcoin. Unregistered bitcoin address will become illegal in that country and it will become a crime. Government can do that if the government is willing to put tax in the bitcoin. Also if they do that, they acknowledge the bitcoin to become the digital currency in that country.

[jkinit2125]

Bitcoin is a decentralized coin. That is the key asnwer for that question. What does decentralized means? It means BItcoin itself is nothing but independent. No one controls it. Even Governments of different countries. Or even what you known the powerful country ever existed. BEcause bitcoin is decentralized. You can obtain bitcoin through mining, faucets, but you cannot control it. So how does that correlate to the question? It means Bitcoin cannot be taxed directly. But in the world where the tax is the lifeblood of the Government, it can. Indirect taxes would be its name. Your earnings through bitcoin will be converted to fiats. That is the moment you are to be charged for taxes to your earnings. That means, even Bitcoin and cryptocurrency is in underground economy, it is still possible, earnings from it will go to the Government.

[daniweb]

I don't think this is possible because it's gard for the government to track it. The taxing is possible only when you withdraw it

[oppasong]

In my opinion, if bitcoin income is taxed then it is a good move. Income bitcoin is very reasonable to tax. Because most investors have very high profits. By paying taxes then we at least have helped the government in building this beloved country.

[BlackPanda]

I think we are all aware of the regulations being imposed by the IRS in the United States of America, where the onus is on the individual to volunteer the information of their financial activities. They are planning to tax any capital gain on each and every crypto transaction. Sure other countries will try and do the same at some point so maybe think of relocating to somewhere more sympathetic with your philosophy  

I suspect that this will increasingly become the rational for legislation. We will see taxes on cryptocurrency gains become normal. I don't think each move should be taxed but rather the eventual payout should be, if it has to be, the only thing subject to a countries taxation code.

Perhaps the rationale is the application of taxes and our honest sense of the amount of assets we have. If this is approved then most likely crypto could be a thing that can be used freely, with the regulation of the position of crypto will be stronger. Oh yes tax withdrawal is also very possible if applied to the exchange, by applying the amount of withdraw that we do then the exchanger company that will deposit the tax of its users. This can be an alternative because with so Crypto transaction flow can be more organized.

[mistanama]

I have been thinking of this for long and the reason being that a lot of bitcoin transaction is going online everyday in many countries and i think government can generate IGR from this if possible. I am not a programmer and i have a little knowledge about bitcoin technologies but i just want to know if it is possible.

It is possible to tax the bitcoin. When the government enters the bitcoin? we can not do anything. When the government is giving it, people can do nothing. We will just follow it because that's their law. But hopefully they would not, tax the bitcoin. Let's just have the bitcoin to benefit people who really need money. Bitcoin is the hope of people to rise to life.

[RealWren]

I personally don't find it essential to tax Bitcoin or any cryptocurrency on that matter. Why? Every country has different rules on taxation. If that's the case since Bitcoin is available in almost any countries if would be definitely a problem. Or perhaps, there will be a unified guidelines which is accpetable in every countries.Another point is, at the very beginning not many have given attention to this breakthrough. Now that it has been tested, people will burden us.

[think3214]

I have been thinking of this for long and the reason being that a lot of bitcoin transaction is going online everyday in many countries and i think government can generate IGR from this if possible. I am not a programmer and i have a little knowledge about bitcoin technologies but i just want to know if it is possible.

This is not possible, the government can not control all activities on the internet. And the more you can not test your bitcoin income. Even if you are a good programmer, you can not do this. Uncontrollable taxes, so many countries have banned bitcoin in their country. If you do this you will be famous in the world. Wish you success with your ideas.

[onnz423]

Taxing bitcoin is certainly possibly, and is currently how it is for most countries. Some countries consider it speculative gambling, others consider it a commodity when sold, but very few countries tax it how they do with foreign exchange, which is due to their refusal to recognise BTC as a valid currency. The ability for a government to determine how much tax you owe through your BTC transactions is likely extremely limited, most will rely on self-reporting systems to estimate tax.

[quocsi]

Probably in the future bitcoin will be taxed. I think this will affect the bitcoin user. But it is good for bitcoin as it is protected by law and bitcoin is more secure. it will become legal

[bug.lady]

Taxing bitcoin is certainly possibly, and is currently how it is for most countries. Some countries consider it speculative gambling, others consider it a commodity when sold, but very few countries tax it how they do with foreign exchange, which is due to their refusal to recognise BTC as a valid currency. The ability for a government to determine how much tax you owe through your BTC transactions is likely extremely limited, most will rely on self-reporting systems to estimate tax.

in the absence of clear rules and guidelines some people may decide that it is safer to go to the extreme: either stay under radar and report NO bitcoin-releated income nor capital gains, or pay full taxes (no deductions) on all the bulk sum resulted from selling the bitcoins.

[irienoodles]

Yes, it is possible, as.an example, government can impose tax on btc when you convert it into cash and have it deposited to your bank account. Also, other countries are already taxing it. It just depends on what they think of your coins.

[just_Alice]

I have been thinking of this for long and the reason being that a lot of bitcoin transaction is going online everyday in many countries and i think government can generate IGR from this if possible. I am not a programmer and i have a little knowledge about bitcoin technologies but i just want to know if it is possible.

I think taxes are possible when you cash your bitcoins, as long as it's the only stage that isn't complete anonymous, in other circumstances how can anyone know and proof that you even have bitcoin and that you accomplish transactions. And if somehow there will appear transaction taxes (apart from transaction fees) bitcoin might lose it's popularity, because the whole point of BTC was the ability to pay peanuts for transfer of money of any amount.

[WhaleSlayer]

Taxing of Bitcoin will become inevitable at some point, the only good news is that they didn't figure out yet how exactly to proceed on this issue.

[laravuemaster]

I have been thinking of this for long and the reason being that a lot of bitcoin transaction is going online everyday in many countries and i think government can generate IGR from this if possible. I am not a programmer and i have a little knowledge about bitcoin technologies but i just want to know if it is possible.

If government will place a tax on bitcoins then cryptocurrency will decrease its investors. Government can really manipulate the cryptocurrency in their country since they are the leaders, japan has really a very good decision to use bitcoins to improve their economy.

[investerS]

I have been thinking of this for long and the reason being that a lot of bitcoin transaction is going online everyday in many countries and i think government can generate IGR from this if possible. I am not a programmer and i have a little knowledge about bitcoin technologies but i just want to know if it is possible.

If government will place a tax on bitcoins then cryptocurrency will decrease its investors. Government can really manipulate the cryptocurrency in their country since they are the leaders, japan has really a very good decision to use bitcoins to improve their economy.

I will like to know how exactly Japan has been able to do this, probably it can be copied in my country thus improvingthe economy of my broke state.