Bitcoin Taxation: Major Challenge

[Capt00]

Governments can monitor our source income or where it comes from they have the right to put a taxation into it because bitcoin is considered as an asset or you may be called the source of income. Why you are afraid of giving tax that is a small amount compared to what you have holding and besides you contributed a small amount to the economic growth in the country where you live.

[Andrew S]

It will never change.  People in power always want to get money and they will receive it by any means.

[satana_igor666]

With the help of taxes, the state, at least somehow, will be able to maintain communication between users and crypto currency.

[Popov_popov]

I do not understand why they generally require payment of tax on Bitcoin.

[stomachgrowls]

In order for the crypto currency to be accepted by the state, we will have to do it. Otherwise, the state will introduce various restrictions on the crypto currency. It will be even worse.

We shouldn't want crypto to be accepted by the state, and we don't even need it.

Bitcoin's glory days were <2013 years where the majority of the people were actual admirers and users of the utility. The speculative aspect was just an unwanted side effect. Now it's the complete opposite; people want banks, governments, institutions, hedge funds to start welcoming Bitcoin. Why? Just so they can sell high and then exit the market.

Let governments suppress Bitcoin as hard as they can, it will help Bitcoin's utility shine again, which is that decentralized local economies start to emerge and we can focus on that what really matters. Less mass use = less need for scaling solutions = great for everyone.

For those people who do engage with bitcoin on earliest years then most of them do really believe on its usage rather than on its capability on making money unlike on what we are seeing now a lot has change.It do really contributed on making it popular but we know government would really interfere if they do know on whats happening on the crypto market. They do like for anything to be taxed but we us users can really evade if we wanted to.

[audaciousbeing]

The most important challenge of taxation to government is not really the rate to levy but the collection and ways to discourage evasion which in the case of crypto currency in general, I don't see any issue coming up at all because what would happen is that there won't be way to convert to fiat without going through a platform and its that platform that government would mandate to withheld the right amount of tax before getting to the hands of the individual that might be tempted to evade tax payment.

Every government tax laws is always a thought out process that always take into account virtually every level of earners in the society and I believe for a new area which is bitcoin, it won't be different. In the few tax laws I know, most Company income tax ranges from 25% to 40% depending on the country but a deep look at the law it would show that not all companies must pay that huge percentage of tax for example small companies by definition of the law, companies in the first few years of commencing operations,  companies that have consistently made losses etc. The same thing is applicable to personal income taxes, the lower category earners are mostly exempted or allowed to pay the minimum tax as defined by the Act.

[KorakPawon]

I generally agree that taxes should be paid.
But as long as governments keep wasting tax money by giving it to organisations that literally do nothing to contibrute to anything at all, I pay as little tax as possible.

Paying taxes is an obligation of a citizen wherever the citizen is, so it is appropriate that bitcoin be taxed for its users and there is no reason for those who do not pay taxes,

[qwerty12]

Bitcoin is now considered by the government as a property, not an income . This is the reason why they want to put taxes. I guess it is fair enough for those who earned hundreds of thousands here in the crypto world. But for those who are just starting to earn, the government should not. Still, I am in favor of the taxation. But the government should also consider the status of the bitcoin's market price.

But, what I know about taxation regulations is, big and small the amount of tax that must be paid by a company or individual will be different, depending on the big the small profits that be obtained if the tax regulation on bitcoin will also be applied as income tax.

[Tapyaks72]

Bitcoin is now considered by the government as a property, not an income . This is the reason why they want to put taxes. I guess it is fair enough for those who earned hundreds of thousands here in the crypto world. But for those who are just starting to earn, the government should not. Still, I am in favor of the taxation. But the government should also consider the status of the bitcoin's market price.

But, what I know about taxation regulations is, big and small the amount of tax that must be paid by a company or individual will be different, depending on the big the small profits that be obtained if the tax regulation on bitcoin will also be applied as income tax.

Taxation is very basic duty of a citizen in the country, that make a nation building, and the obligation of the government is to protect their citizens at all cost, that is why taxation is very essential to a nation building, if you earn something from bitcoin it is just and reasonable  to pay tax.

[Leyss]

Bitcoin is now considered by the government as a property, not an income . This is the reason why they want to put taxes. I guess it is fair enough for those who earned hundreds of thousands here in the crypto world. But for those who are just starting to earn, the government should not. Still, I am in favor of the taxation. But the government should also consider the status of the bitcoin's market price.

In very few countries, the crypto currency is classified as property. In addition to the United States, I can not even say in a country that they did it. In Japan and Europe they recognize or are going to recognize the crypto currency as a means of payment. In South Korea and most other countries, crypto currency is recognized as a financial asset.
In some countries, taxation on the profit from a crypto-currency begins with a certain minimum amount to be taxed. Probably, it would be correct in this case.

[Indrawan77]

I think it's fair that we need to pay tax for bitcoin income, if we pay tax then it will increase the chance of the government to accept bitcoin, the government acceptance of crypto also can increase the price, which will benefit us, so I think the tax regulation is going to benefit the users and the country

[vladmamedov657]

By the way, it seems that there is no tax on mining, buying and selling cryptocurrency in Belarus. But perhaps in the future, cryptocurrency will be taxed

[primejia]

They will eventually tie your name to your Bitcoin address.  Before you tell me hell no it wont work look at all the fools signing up for KYC for a few pennies.  Now imagine the government threatening violence and jail time if you try to get around the system.  99% OBEY.  Now your stuck in the perfect tax trap with every transaction being recorded and public.  

Is the tax system so scary, I think it's just the opinion of a small number of people, especially people who have tax problems, for taxpayers I think this program really supports government revenue and of course we can participate in developing government

to record every transaction I think that also does not become a serious problem as long as we move in a field that does not violate the law. So about bitcoin users who will be recognized as taxpayers, we consider something normal.

[Popov_popov]

I wonder how they will reveal this property if they find out about it only when you need to withdraw the currency.

[ulhaq]

If no taxes are paid or collected how would health, education, social services and emergency services
be funded? if you are not willing to pay tax should you be given access to any of the above services
which are funded by tax payers?

It's easy, they can be individually paid for like any other product or service. There are rural communities that don't have a fire department. You have to pay for fire service. Someone's house caught on fire and he didn't pay for fire service. The fire department did not put out his fire.

Bitcoin is very good for world taxation because countries are encouraged to make more efficient taxes. The more people in a country use cryptocurrency, the lower the cost of moving money, the more commerce gets done, and the more the economy grows, which benefits the country. A country that taxes cryptocurrency too much will find that people start doing business elsewhere, which benefits those countries.

[Zalura]

I generally agree that taxes should be paid.
But as long as governments keep wasting tax money by giving it to organisations that literally do nothing to contibrute to anything at all, I pay as little tax as possible.

I think that the use of money from tax revenues has been regulated in the state budget law, so to give a budget to non-productive organizations it seems impossible, and if that happens it is likely that only a small portion of the money from the tax is generated, because most of the results tax is usually for infrastructure, health education and civil servant salaries, do not worry about the use of taxes because at the end of each year there is the name of accountability for the use of state money, we as taxpayers should obey the law.

[ulhaq]

I think that the use of money from tax revenues has been regulated in the state budget law, so to give a budget to non-productive organizations it seems impossible, and if that happens it is likely that only a small portion of the money from the tax is generated, because most of the results tax is usually for infrastructure, health education and civil servant salaries, do not worry about the use of taxes because at the end of each year there is the name of accountability for the use of state money, we as taxpayers should obey the law.

Is this some kind of a joke? I do not know which country you are familiar with, but take the United States as an example. Trillions of dollars have been spent on wars. For each member of Congress, there are hundreds of civil servants. Most persons in Congress have done worse than nothing, because they pass legislation that makes things worse. That's hundreds of workers' salaries, per Congressperson, that is wasted. There are reports everywhere of government workers sleeping on the job, not showing up, and still getting paid.

[marcbitcoins]

Bitcoin is now considered by the government as a property, not an income . This is the reason why they want to put taxes. I guess it is fair enough for those who earned hundreds of thousands here in the crypto world. But for those who are just starting to earn, the government should not. Still, I am in favor of the taxation. But the government should also consider the status of the bitcoin's market price.

We are oblige to pay the taxes from our income so it is right to pay taxes for the government specially when they declare Bitcoin is legal.The formula of the tax collection should be the same formula that used when we are earning fiat in which it will always depend on our income and our capabilty to pay because of our family. Therefore i think the government is always fair enough for all tax payers that it will always depend of their capability to pay.

[Entratish]

Taxation of bitcoin is simple as tough also because entire thing is digital so calculation part and monitoring easy but different country, their user, their individual tax laws, putting in same platform is very tough. 

[Metall303]

The government appropriated the status of ownership to Bitcoin in order to ensure that most of the money did not leave the country. In this way, the country's economy will grow and develop.