Tax on the crypto currency! What do you think?

[Yusuf_Jay]

I think, the most suitable model for cryptocurrency tax purposes is the property, stock or real estate taxation model. You have to pay taxes if you have realized capital gains and you can lower your tax bill if you experience a loss.

[viananda2525]

I really hope that it will happen, people who have Bitcoin will be taxed, if it's applied then Bitcoin is automatically recognized by the state legally and it's very good for the price of Bitcoin  

that's rights dude.investor become more comfortable investing their money into cryptocurrency market.maybe they would put their money much more than before.

[LigwagGanern]

There are several tax options today, and all of them can be applied to crypto-currencies, depending on how the latter are defined in the state. Most often, the following taxes are introduced:

• Value Added Tax (VAT). It can be levied by trade operations made with the help of crypto currency as a means of payment, as well as currency exchange. Basically - the exchange of crypto currency for fiat money, but in theory VAT can be levied on the exchange of crypto currency between each other. It operates mainly in those countries where crypto-currencies are recognized as a payment instrument, for example, in Japan. When buying goods and services for cryptocurrensies, VAT will also have to be paid to the residents of the UK, but they can exchange the crypto-currencies for fiat without paying VAT.
• Tax on goods and services. A kind of analogue of VAT for those countries that have recognized crypto-currencies are not a means of payment, but a commodity. Acts on the same principle as VAT. Only in the case of VAT, the taxpayer is in fact a buyer, and in the case of a tax on goods and services, a supplier of goods and services, in this case a holder of a crypto currency. He has been working in Singapore for several years. At the beginning of this year, a similar system was adopted by Israel with respect to the mining, which was equated with the production of goods.
• Personal income tax. Personal incomes in crypto-currencies are taxed, for example, the salary paid by the employer in bitcoins. Implemented, for example, in the US.
• Profits tax. They are subject to any companies that make a profit. Also, they are subject to profits earned as a result of trading on the exchange and the performance of other currency transactions. In the cryptosphere, this system is used specifically to tax the crypto traders and various crypto-currency organizations (from the exchange of crypto-currencies to the pools for mining). Mining may also be subject to profit tax. In the US, for example, take into account the profit from crypto-activity in the tax declaration will have to be traders and miners, and all people who somehow earn on crypto-currencies as a result of speculation. The same tax is levied on all crypto-currency transactions made by legal entities in Australia and Japan.
• Capital gains tax. They are subject to income of individuals and legal entities obtained as a result of investing in shares, bonds, securities, valuable assets and so on. In the cryptosphere, it starts acting as soon as the crypto-currencies are equated to valuable assets. Not only investors fall in, but all holders are also crypto currency. This system is implemented in the US, where it matters how long the holders of crypto currency keep them and in what quantity. He also works in Australia, Brazil, Canada and in many EU countries - Bulgaria, Finland, Germany, Spain and others.
• Property tax. For the cryptosphere, it becomes important when the crypto-currencies are recognized as property, a valuable asset that is owned. As soon as such an amendment is made, the holder of the crypto currency is required to notify the tax service of all transactions concluded with this asset. Such an amendment was introduced in the US tax legislation, where the crypto-currencies in this case are presented as a valuable asset, and in Australia, where they are recognized as property.

What do you think about the taxation of cryptocurrencies? Which model fits best?

If the crypto currency will have tax, maybe the number of people who using this will decrease. One of the reason why there are people who want or choose to use crypto currency is because of its tax. And that is one of the advantage of digital currency. Having a tax of crypto currency is a bad idea or thing.

[kenel]

I think the moment when the cryptocurrency will begin to be taxed in large countries, can be considered the day of legalization. while I do not see

[pieppiep]

I really don't like taxes even for cryptocurrency because the main purpose of creating bitcoin is to avoid controlling circulation even the taxes requested from countries that are intended for bitcoin or other cryptocurrency are therefore not very good. the government should never be able to do that.

[Minh maluco]

I think taxes on profits from crypto trades is more i like. If we get profits from our trade and government collect taxes from thats profits, it seem fair to me. Government must be knowing our transaction on exchanger because many exchanger right now asking KYC.

[BitcoinCommodor]

There are several tax options today, and all of them can be applied to crypto-currencies, depending on how the latter are defined in the state. Most often, the following taxes are introduced:

• Value Added Tax (VAT). It can be levied by trade operations made with the help of crypto currency as a means of payment, as well as currency exchange. Basically - the exchange of crypto currency for fiat money, but in theory VAT can be levied on the exchange of crypto currency between each other. It operates mainly in those countries where crypto-currencies are recognized as a payment instrument, for example, in Japan. When buying goods and services for cryptocurrensies, VAT will also have to be paid to the residents of the UK, but they can exchange the crypto-currencies for fiat without paying VAT.
• Tax on goods and services. A kind of analogue of VAT for those countries that have recognized crypto-currencies are not a means of payment, but a commodity. Acts on the same principle as VAT. Only in the case of VAT, the taxpayer is in fact a buyer, and in the case of a tax on goods and services, a supplier of goods and services, in this case a holder of a crypto currency. He has been working in Singapore for several years. At the beginning of this year, a similar system was adopted by Israel with respect to the mining, which was equated with the production of goods.
• Personal income tax. Personal incomes in crypto-currencies are taxed, for example, the salary paid by the employer in bitcoins. Implemented, for example, in the US.
• Profits tax. They are subject to any companies that make a profit. Also, they are subject to profits earned as a result of trading on the exchange and the performance of other currency transactions. In the cryptosphere, this system is used specifically to tax the crypto traders and various crypto-currency organizations (from the exchange of crypto-currencies to the pools for mining). Mining may also be subject to profit tax. In the US, for example, take into account the profit from crypto-activity in the tax declaration will have to be traders and miners, and all people who somehow earn on crypto-currencies as a result of speculation. The same tax is levied on all crypto-currency transactions made by legal entities in Australia and Japan.
• Capital gains tax. They are subject to income of individuals and legal entities obtained as a result of investing in shares, bonds, securities, valuable assets and so on. In the cryptosphere, it starts acting as soon as the crypto-currencies are equated to valuable assets. Not only investors fall in, but all holders are also crypto currency. This system is implemented in the US, where it matters how long the holders of crypto currency keep them and in what quantity. He also works in Australia, Brazil, Canada and in many EU countries - Bulgaria, Finland, Germany, Spain and others.
• Property tax. For the cryptosphere, it becomes important when the crypto-currencies are recognized as property, a valuable asset that is owned. As soon as such an amendment is made, the holder of the crypto currency is required to notify the tax service of all transactions concluded with this asset. Such an amendment was introduced in the US tax legislation, where the crypto-currencies in this case are presented as a valuable asset, and in Australia, where they are recognized as property.

What do you think about the taxation of cryptocurrencies? Which model fits best?

Quite a good post, but I don’t think government should be charging tax on crypto users. First of all, cryptocurrency belongs to no one or a particular country, it is open to everyone and can be used regardless of where you are staying. The only time we should be charged tax is when we receive payment with the countries currency through banks and not when we are making use of Bitcoin and altcoins, because this one belongs to no one.

[slocker]

In some countries bitcoin investments are taxed as a capital asset. This dont apply for all countries in the world only in some. So basically you need to follow some rules off course if you are in the country that need to pay tax. This includes the basis for each amount of bitcoin you sold, the date you bought it, the date you sold it, and the price at which you sold it. This is also hard for those who are investing in short and long terms. Tax is something that is charged on year base but for those who invest in long term can be little tricky.

So basically it depending where you are resident. If you country is bitcoin tax free then you wont pay tax for but if not then you will need to pay tax for it.

[toolucky98]

Do you see government support for all participants in the cryptocurrency market? What to pay tax for?

Precisely, what to pay tax for even government did support bitcoin as a currency to use. Some reason why some countries are quite on cryptocurrency because they know that this is not controllable with someone else and having a forcing to tax those who have earned in bitcoin. Well, to make this long story short luckily in my country did not implement a tax on crypto we pay tax when we buy goods using our money from bitcoin.

we must know what tax has been collected in each transaction, there must be clear details about the tax and its use

[TooDumbForBitcoin]

I am supporter of position which states that you will pay taxes when you exit to fiat or vice verse. Taxation of operations inside any cryptocurrency ecosystem is crazy idea

[alex.ac.ab]

Taxes should be collected not by the state, but by those who created bitcoin.

[rasp]

Taxes collected by a country from various businesses and private persons are used for the provision of the countries' activities (building infrastructure, communication, paying governmental officials, helping socially disadvantaged groups, etc.).
I can think of no reason to pay taxes for using cryptocurrency - the only thing we crypto traders/investors/bounty hunters consume is electricity and Internet.
We do not use roads, buildings, parks, water resources, so in this way taxation of crypto reminds me of collecting charges for air..

[Caysinamires]

I think the government can easily to add some tax to the cryptocurrency and we cannot deny it and we can only obey the rule for our safety. I only hope that the tax is not too big so we can still take that money as our profit and we don't have to break any regulations.

[A L I E N]

I really hope that it will happen, people who have Bitcoin will be taxed, if it's applied then Bitcoin is automatically recognized by the state legally and it's very good for the price of Bitcoin  

Although it will be an extremely difficult task (to tax the cryptocurrencies), it can be done. I guess that some people avoid paying these taxes but I would better do it not to have the problems with the law.

[laracastvue]

Normally I am anti taxation agent. like in my country I do not know what our government is doing with the taxes that is being collected from the masses, they are in charge of the central bank. The money can be mint at anytime if they like. My country is so corrupt to the extent that the people in power mint the money and hide them in tanks in their houses. They should leave the poor masses with taxation. It will be difficult to tax all cryptocurrency transaction.

In my own opinion, those cryptocurrency investors are already paying a decent amount of transaction fees in order to send coins to other wallets so tax is not necessary.

[Jimitieu]

There are several tax options today, and all of them can be applied to crypto-currencies, depending on how the latter are defined in the state. Most often, the following taxes are introduced:

• Value Added Tax (VAT). It can be levied by trade operations made with the help of crypto currency as a means of payment, as well as currency exchange. Basically - the exchange of crypto currency for fiat money, but in theory VAT can be levied on the exchange of crypto currency between each other. It operates mainly in those countries where crypto-currencies are recognized as a payment instrument, for example, in Japan. When buying goods and services for cryptocurrensies, VAT will also have to be paid to the residents of the UK, but they can exchange the crypto-currencies for fiat without paying VAT.
• Tax on goods and services. A kind of analogue of VAT for those countries that have recognized crypto-currencies are not a means of payment, but a commodity. Acts on the same principle as VAT. Only in the case of VAT, the taxpayer is in fact a buyer, and in the case of a tax on goods and services, a supplier of goods and services, in this case a holder of a crypto currency. He has been working in Singapore for several years. At the beginning of this year, a similar system was adopted by Israel with respect to the mining, which was equated with the production of goods.
• Personal income tax. Personal incomes in crypto-currencies are taxed, for example, the salary paid by the employer in bitcoins. Implemented, for example, in the US.
• Profits tax. They are subject to any companies that make a profit. Also, they are subject to profits earned as a result of trading on the exchange and the performance of other currency transactions. In the cryptosphere, this system is used specifically to tax the crypto traders and various crypto-currency organizations (from the exchange of crypto-currencies to the pools for mining). Mining may also be subject to profit tax. In the US, for example, take into account the profit from crypto-activity in the tax declaration will have to be traders and miners, and all people who somehow earn on crypto-currencies as a result of speculation. The same tax is levied on all crypto-currency transactions made by legal entities in Australia and Japan.
• Capital gains tax. They are subject to income of individuals and legal entities obtained as a result of investing in shares, bonds, securities, valuable assets and so on. In the cryptosphere, it starts acting as soon as the crypto-currencies are equated to valuable assets. Not only investors fall in, but all holders are also crypto currency. This system is implemented in the US, where it matters how long the holders of crypto currency keep them and in what quantity. He also works in Australia, Brazil, Canada and in many EU countries - Bulgaria, Finland, Germany, Spain and others.
• Property tax. For the cryptosphere, it becomes important when the crypto-currencies are recognized as property, a valuable asset that is owned. As soon as such an amendment is made, the holder of the crypto currency is required to notify the tax service of all transactions concluded with this asset. Such an amendment was introduced in the US tax legislation, where the crypto-currencies in this case are presented as a valuable asset, and in Australia, where they are recognized as property.

What do you think about the taxation of cryptocurrencies? Which model fits best?

  I think will need a separate tax for cryptocurrency to match its features, with each activity of the individual account. Because cryptocurrency is being recognized by many countries and will become a valuable asset in the future, user anonymity will be one of the hardest for people to recognize it

[andika2018]

Normally I am anti taxation agent. like in my country I do not know what our government is doing with the taxes that is being collected from the masses, they are in charge of the central bank. The money can be mint at anytime if they like. My country is so corrupt to the extent that the people in power mint the money and hide them in tanks in their houses. They should leave the poor masses with taxation. It will be difficult to tax all cryptocurrency transaction.

In my own opinion, those cryptocurrency investors are already paying a decent amount of transaction fees in order to send coins to other wallets so tax is not necessary.

Transaction fees is not a tax and earned by government. Government need income to run their service and i think its acceptable if crypto transaction having taxes. Many taxes that government can collect and i think government should regulate cryptocurrency if government want to earn taxes from crypto transaction

[mornabo]

Normally I am anti taxation agent. like in my country I do not know what our government is doing with the taxes that is being collected from the masses, they are in charge of the central bank. The money can be mint at anytime if they like. My country is so corrupt to the extent that the people in power mint the money and hide them in tanks in their houses. They should leave the poor masses with taxation. It will be difficult to tax all cryptocurrency transaction.

In my own opinion, those cryptocurrency investors are already paying a decent amount of transaction fees in order to send coins to other wallets so tax is not necessary.

The fee is not a tax, fees are paid so that your transaction is confirmed, but in the future all circumstances can change, right? if the government wants, they can just apply the rules for all merchants and exchange to request data verification before using crypto transactions

[Coongcoongler]

It is also hard to take tabs on how much a person is earninng/spending with crypto as there are different wallets, which are again not controlled by the government. Imposing taxes on crypto somehow makes it centralized, which defeats the purpose of it.

[Harkorede]

Since two of most the important distinguishing features of Crypto currency are Anonymity and Decentralization, while Tax on the other hand needs to be imposed, regulated, monitored and centralized by an authority, these are two diverse phenomenon and doesn't complement each other. Taxes on crypto currency will bring about the crypto space losing the two afforementioned features which are its core intended and initial goals.