Tax on crypto?

[iram1011]

What if the government agree to use crypto as an payment gateway but with tax.

Is it possible?

Almost all of the major economies are taxing cryptocurrency income be it capital gain tax or special tax just for cryptocurrencies. Since, cryptocurrencies are pseudonymous, government is tackling this problem by getting the details by the crptocurrency exchanges. Today, cryptocurrencies are the market of $373 billion. The amount is huge enough that government can't neglect it. I see more regulations and taxing by more countries in future. Else, there will be a major shift of investors and traders to cryptocurrencies that governments all over the world don't want.

[jkinit2125]

Probably this question will still surely be having some debates in the future. In the sense that why taxed on cryptocurrency? Example why tax in Bitcoin? Bitcoin is somehow decentralized and it means nobody has control with it especially the government of any state or country. Then why tax it? We might should have this thinking that Satoshi might created Bitcoin to transfer peer-to-peer without paying any taxes at all. Because if taxes will be put into remittances, persons who transfers cash will suffer high fees. That might be the mindset of the one who creates bitcoin.

But to tackle this and even can be foreseen in the future, Bitcoin cannot be taxed but individuals having income through bitcoin can be taxed together with all their sources of income other than cryptocurrencies.

[ovcijisir]

In my country you must pay tax when you exchange crypto for fiat, because it is seen by the government as capital gain. But to pay the tax on transaction it would be impossible, or it would require brand new payment system different system based on cryptocurrencies.

[Shenzou]

What if the government agree to use crypto as an payment gateway but with tax.

Is it possible?

Well thats the only possible way that they can accept it, if we can use cryptocurrency directly to things from the supermarket or pay our bills with bitcoin or order food with it and pay like a small fee to the goverment it would be better for us to the through the process of exchanging it to cash which can be a pain in the ass and costs a lot, however recently germany has stated that they are accepting cryptocurrency and they will not taxes, so hopefull we will see other countries flow up.

[Beremat]

in my point of view, the governments in the world will accept  and tax in crypto in near future. the development of crypto is the truth, no one can deny and it will become the official currency.

[gantez]

Tax charge will be a natural thing that will happen if the government decides to openly accept crypto currency as a payment instrument. This is not to be debated at all if the government moves in. It will be another means of income for the government and they would never turn off their eyes.

[cosmoo]

I think it's OK. I don't mind if my country will totally support cryptocurrencies but will impose taxes. So I will not be unamployed officially.

[taiwww]

What if the government agree to use crypto as an payment gateway but with tax.

Is it possible?

Whether they accept it as payment mode or not it is sure that you have to pay all the taxes at your will. You can not hide your bitcoin income and if you do so then surely it will be your loss at all. Though they have not declared it officially but it does have to be on your own to pay the taxes. Payment gateway with tax would be just official declaration that you have to pay the taxes at any terms and thus making it mandatory.

[tee-rex]

What if the government agree to use crypto as an payment gateway but with tax.

Is it possible?

As a payment gateway to what exactly? Mind elaborating on this one? If you mean making business with bitcoin, that's what companies like BitPay and CoinGate are already doing. They receive payments in crypto and instantly convert coins to fiat (dollars, etc) which merchants accept as payment for their goods. If you mean accepting crypto for public services, it is unlikely to happen any time soon since this effectively means accepting cryptocurrencies as legal tender (with which you can pay your taxes). Well, at least not a very far cry from.

[roshanface123]

What if the government agree to use crypto as a payment gateway but with tax.

Is it possible?

I don't think it's fare.The government accept bitcoin as a payment for tax its okay but impose a tax on bitcoin is not an acceptable thing for everyone. I doubt that the transaction of a crypto if a crypto user are strictly confidential and secret for everyone,then how they find that one have crypto investment?

[Lodipetmalu]

If we want the bitcoin to be accepted worldwide, then it should be approved by the government first, the consequence of it is that it will be subjected to tax. It will less our income however, we will a long term benefit because in the long run, bitcoin will become stable.

[fokinlipat]

What if the government agree to use crypto as an payment gateway but with tax.

Is it possible?

You mean an additional tax after the mining fees. These things will affect the mass adoption of bitcoins as a payment system negatively. With so much tax on each transaction, people will simple move to alternative payment mediums that have less tax. Also, bitcoin transactions should not be taxed by government as government has played no role in the development of bitcoins. They do not have the right to collect tax on these transactions. However, I think that tax on bitcoin profit is fine otherwise we will see criminals and corrupt people spending all their money in crypto.

[artemyudin1994@yandex.ru]

I think that in any case, the tax will be, because the state will want to make money on it. Now only they do not particularly understand how to tax it, but in a year or two there will be a tax.

[jayhawk1]

What if the government agree to use crypto as an payment gateway but with tax.

Is it possible?

it is possible that crypto can be taxed, but i don't like the idea personally.
because they are already taxed us from our incomes. and they want to tax our digital currency too? Not cool.

But that would be a better way to legalize bitcoins. Actually somehow governments have justifications for bitcoins only for the reason that they can’t be controlled by them as bitcoins are decentralized. Taxes on bitcoins would cause a better impact on general public as it would help government to take positive steps for legalizing bitcoins. So if we want bitcoins, we have to accept taxes on them.

[barabut]

There should be a tax implication on bitcoin, it would also help to save our ecosystem from scammers mainly. If we make a profit it is fine to pay a tax on it, and the government can regulate not the market but the players.

[tee-rex]

in Arizona State ,government allow people to pay taxes using bitcoin,same as Gergia whos considering this to their state,so if government given as a chance to use our coin to pay taxes.then why not give government a chance to collect taxes on crypto,every profiteering that made by people requires tax,coz if not it will be considered as illegal

It is a recent news I had heard few weeks ago and I'm hoping that it could also spread out to more countries in USA and because of these taxes, rather than panicking due to regulations it could encourage more people to buy depending on how fair the taxes are inside the profit margin they get from investments and for the miners. Another is it shouldn't just be a tax because of approval of its legitimacy to the country but also consider supporting it by making platforms for traders to trade safely rather than depending on some different exchanges that could still be vulnerable to hacks.

Are they actually accepting bitcoins or using a payment processor like Bitpay, while effectively accepting only dollars as before? If the former, that would be an interesting development, though somehow I can't believe that. It would likely require making bitcoin into legal tender at the federal level first which is unlikely. Anyway, can you give a link where there's more info about this case?

[jhonjhon]

Bitcoin payments are accepted already in some countries but not in doing transactions with the governments, not unless they accept it.
Growing development of bitcoin and its widely used in different areas will encourage everyone to adopt these new generation of currency which really help to fasten and being productive.

[handsomes]

in a different countries it will tax on crypto but in the my country we do not have to pay tax but i don't know why are there no taxes given by bitcoiners here in the philippines.

[Kprawn]

The best way to tax Bitcoin would be VAT. Why?... Because with VAT, everyone pay. Even the prostitutes and the drug lords.

All the things you buy gets VAT added, so there is no way for you to escape paying taxes. What we have seen is countries like

Japan saying that they accept Bitcoin as a currency, but they are milking it for extra high taxes. The taxes is then used as a

punishment to discourage people to use it. 

[OhhaniMaria]

Yes. Because the only thing that our government has to function properly is to all its people who work for our country and their salary comes with the payments in the tax. So That really obvious that users of crypto should be pay a tax as a returned