Should we pay taxes on Bitcoin?

[BarryCrypto]

There is a lot of confusion surrounding Tax and it is different to every country. Overall I would say that BTC is not really anonymous and that the government is tracking its movement so don't be fooled that this is anonymous and safe and no one needs to pay taxes

[Lancusters]

Same question is being asked time and again on this forum. And I always have the same answer...why the hell not?!? If we are paying taxes on all the prescribed incomes in the law...then why not bitcoin income. But my question is does the bitcoin income fall under the purview of income stated under the Income Tax Act. In my country India, income tax is levied on incomes divided under 5 major heads: salary, house property, business or professional income, capital gains and income from other sources. So bitcoin income can be categorized into capital gain income only if it meets the definition of capital asset under the Income tax Act, 1961, which is:  http://yourfinancebook.com/capital-asset-defined-section-214/
It cannot be categorized into other heads like, salary, house property and business and professional income. So the question of tax ability of bitcoin is somehow dubious for us here, while some schools of thought it can be taxed under income from other sources. However there is no legal statement issued on this matter until now!

Why don't you consider income from commercial or professional activities? Where do you get bitcoins? Any way of earning can be attributed to this definition. It is not possible to get tax in bitcoins from you, but once you exchange it for Fiat this transaction will completely fall under this definition. If you're a proponent of paying fair taxes, pay.

[peacefulpeace]

Why not pay if we are required to do so? right? We should pay taxes not because we have to or we need to but because we want to help street children, and a children that cannot afford to go to school or old people that has a high maintenance of medicine. In that way, we are helping the government as well as our neighbor.

i dont subscribe to the school of thought that suggest we pay taxes from bitcoin, there is no taxing system that support it. yes it is good to help street children and give back to the society in terms of individual social responsibility, but that could be achievable without paying taxes from bitcoin, a visit to any ophanage home is a way of reaching out to the street kids.

[Coffee135]

Why not pay if we are required to do so? right? We should pay taxes not because we have to or we need to but because we want to help street children, and a children that cannot afford to go to school or old people that has a high maintenance of medicine. In that way, we are helping the government as well as our neighbor.

i dont subscribe to the school of thought that suggest we pay taxes from bitcoin, there is no taxing system that support it. yes it is good to help street children and give back to the society in terms of individual social responsibility, but that could be achievable without paying taxes from bitcoin, a visit to any ophanage home is a way of reaching out to the street kids.

Who knows how much of our taxes goes to good use? Why do people believe that taxes are the kids? It seems to me that most of the taxes go to the maintenance of the bureaucracy, no unnecessary receptions and flights of politicians, their pensions, etc. Maybe you need to reduce these costs and then the money will be enough for everyone?

[Girlsbit]

Why the state should receive taxes if they do not act as guarantor of the transaction.  No, we do not have to pay taxes until the state has adopted a crypto currency.

[satana_igor666]

Why pay taxes on operations on crypto currency if they go only to the pockets of officials.

[Andrew S]

Many will not want to pay taxes.  In principle, it is very difficult to do, but respectable citizens still pay taxes.

[richardsNY]

Why pay taxes on operations on crypto currency if they go only to the pockets of officials.

Better question -- why do people continue to pay tax on everything concerning their non crypto activities? It's exactly the same. Money ends up there where it shouldn't end up. People just need to understand that with everything they do they directly financially support a system that doesn't deserve to be supported. We pay for wars, we pay for corruption, we pay to have ourselves continue to be suppressed by a monster. If you don't pay tax on your crypto gains and whatnot, also try to find out how you can avoid paying tax on non crypto activities. There are always loopholes you can exploit.

[Sagitta_A]

Well. Perhaps, many are reluctant to pay the taxes, but it's a matter of conscience for everyone. Methinks, BTC wasn't invented for that purpose. It's rather some sort of investments.

[Palisills]

The answer will vary depending on the jurisdiction of each person.

[gogrowglow]

In my country the most rampant and a big problem for common people is our corrupt government. Poverty is abundant,  the poor become poorer while rich people who are usually  holding higher position in the government are enjoying all the luxuries in life.  Our  leader declares higher taxes in all commodities and government services.  People like me knows that it is not already fair and just but we have no other options but to follow because that is what the government declared.  Her in Bitcoin, I feel contended and relax because nobody can taxed my earnings.  I know that government cannot tracked or traced it and taxed it,  they have no control,  it is mine and mine alone.  For me, I do not want my income here in Bitcoin be taxed.  They can taxed other tangible income but not my income from Bitcoin.  This is my only escape from all corruptions they are always implementing without people's knowledge. In my own understanding,  Bitcoin was created to change the world and free people from corruption, tyranny, dictatorship, and etc. Bitcoin is the future of mankind minus corrupt government.

[maarx]

I would pay yes. If my country do accept bitcoin and i earn a lot of money from bitcoin which crosses my threshold income, then obviously i would pay the required tax amount. i am sure these tax amounts collected from every citizens are used for the welfare of the country. If these things happen, the respective country's economy will get developed. So with crypto a country can grow their wealth without depending on their citizens' employment.

[richminded]

I would pay yes. If my country do accept bitcoin and i earn a lot of money from bitcoin which crosses my threshold income, then obviously i would pay the required tax amount. i am sure these tax amounts collected from every citizens are used for the welfare of the country. If these things happen, the respective country's economy will get developed. So with crypto a country can grow their wealth without depending on their citizens' employment.

Only if the government is making this for a good purposes. I would also do the same thing because cryptocurrency changed my life financially and now its time to share some of my profit to the government so they can make projects to support for the needy. Tax on cryptocurrency may happen soon as some of the government are really making attention on this technology.

[jhongzjhong]

I would pay yes. If my country do accept bitcoin and i earn a lot of money from bitcoin which crosses my threshold income, then obviously i would pay the required tax amount. i am sure these tax amounts collected from every citizens are used for the welfare of the country. If these things happen, the respective country's economy will get developed. So with crypto a country can grow their wealth without depending on their citizens' employment.

Same in my situation if here our country required to pay tax then I would say yes, that's a small amount to pay tax and it will help your country to contribute a little amount just for the growth of the economy. It's better to obey the regulation to the government and did not bypass on it or if you caught you might be going to the jail.
Remember with your small amount that to contribute to your country as paying tax a big help to the improvement of the economic crisis.

[KrishaBitcoin]

Bitcoin was created to liberate us from corrupt governments and corporations that serve their own needs. The coinbase transaction in the genesis block, mined by Satoshi Nakamoto contained: "The Times 03/Jan/2009 Chancellor on brink of second bailout for bank". What is your opinion on paying taxes on Bitcoin? The government most likely doesn't know my bitcoin address. Even if they do find it, based on the transactions made from my bank account to exchanges, I could simply say someone stole the private key from me. Many of the posts here asking for help on filing taxes on their Bitcoin make no sense to me. We have a system that allows complete financial freedom and yet people choose to pay their taxes from it and support crooked governments.

I don't see any problem of paying Bitcoin tax as long as they will use it to serve the people thru basic services and emergencies. If we pay Bitcoin tax this mean that Bitcoin is legal in a certain country that the governments shoul protect us from scam projects, hackers and other crypto related issues that will need the support of government. Bitcoin tax will also help the economy to become stable that is why we are in favor that all countries shall support Bitcoin and not to declare it illegal.

[rachel_claismada]

Bitcoin was created to liberate us from corrupt governments and corporations that serve their own needs. The coinbase transaction in the genesis block, mined by Satoshi Nakamoto contained: "The Times 03/Jan/2009 Chancellor on brink of second bailout for bank". What is your opinion on paying taxes on Bitcoin? The government most likely doesn't know my bitcoin address. Even if they do find it, based on the transactions made from my bank account to exchanges, I could simply say someone stole the private key from me. Many of the posts here asking for help on filing taxes on their Bitcoin make no sense to me. We have a system that allows complete financial freedom and yet people choose to pay their taxes from it and support crooked governments.

[vakie1]

we should pay taxes to the Goverment but not on Bitcoin. BTC is a zero-profit -game.

[CoinEraser]

we should pay taxes to the Goverment but not on Bitcoin. BTC is a zero-profit -game.

I would recommend anyone to pay tax on crypto currencys, if the government demands. In the country where I live, crypto currencys are accepted and you have to pay taxes for it when you make profit through trading with it. But if I keep coins for over a year, they are tax-free afterwards. Everyone should check if they have to pay taxes on crypto currencys in the country where they live. The governments will catch up and the blockchains will keep track of everything. You should not forget that. But that is only my advice. 

[BlueMoonLight]

For me yes if our country will implemented the rules. We can't hide from the government because I assume that the country vwho asking for taxes are those who centralized the system of crypto. Whether we like it or not we are required.

[Ozero]

Bitcoin was created to liberate us from corrupt governments and corporations that serve their own needs. The coinbase transaction in the genesis block, mined by Satoshi Nakamoto contained: "The Times 03/Jan/2009 Chancellor on brink of second bailout for bank". What is your opinion on paying taxes on Bitcoin? The government most likely doesn't know my bitcoin address. Even if they do find it, based on the transactions made from my bank account to exchanges, I could simply say someone stole the private key from me. Many of the posts here asking for help on filing taxes on their Bitcoin make no sense to me. We have a system that allows complete financial freedom and yet people choose to pay their taxes from it and support crooked governments.

Paying or not paying taxes is the business of each individual person. However, it is necessary to take into account that criminal liability is usually established for non-payment of taxes, and the more the amount of non-payment, the higher the responsibility. If you do not want to sleep peacefully, you can take a chance and not pay tax. However, in my opinion, taxes still need to be paid. Of these, the state finances various social programs and salaries for people in budgetary specialties.