IRS is going to tax Bitcoin

[solarfan]

Hi,

Well, Bitcoin has gained a bit more status, the IRS considers it like trading in property. 

CNN:  "The Internal Revenue Service has issued a formal notice saying it can tax Bitcoin transactions, calling it a property -- not a currency."
<http://money.cnn.com/2014/03/25/technology/innovation/irs-bitcoin/index.html?iid=HP_LN>

IRS Notice 2014-21:  <http://i.cdn.turner.com/money/2014/images/03/25/IRS_Notice_2014_21.pdf?iid=EL>

cya,

[leopard2]

So will Charlie Shrem be fine then? He sold property, much like a realtor.

Same with the Florida guys

US Bureaucrats are a hoot ...

[Bit_Happy]

So will Charlie Shrem be fine then? He sold property, much like a realtor.

Same with the Florida guys

US Bureaucrats are a hoot ...

So Charlie Shrem wasn't money laundering he was property laundering?   
Yes, US Bureaucrats are a hoot and more.

[BTCBlade]

God i hate my mother for bringing me to this NWO USA land, its the heaviest tax on its slaves by far

[BTCBlade]

Any Tax Lawyers on here that sees this please give me a call..... i have 6 digit/year income from online gambling and now some BTC exposure.

The IRS definitely wants to go after me imo even though ive had a professional tax preparer since 2006....

Seriously i wish i wasnt a USA citizen ......... this is so ridiculous and an infringement upon our freedom, too bad the rest of the dumb ass USA herd dont even know what is about to happen to them/their value bits

[Jcw188]

Wow this is ridiculous.  Now I guess people on localbitcoins, etc. will have to record every single cost basis and sale they've made?  What if they mined coins and then sold them?  I guess they'd want to put their expenses incurred while mining in the cost basis.

[snarlpill]

Fuck paying taxes on my BTC transactions.

[itsunderstood]

The IRS is a piece of shit, fully non-Constitutional, run from the UK/Zio everlasting debt cadre of lawyers, the scum of the Earth.  The 16th Amendment should be destroyed forever, along with the Non-American Internal Revenue Service and the BAR association, which should be broken up and its members made to spend the rest of their lives in labor camps doing real work like digging.

[designfail]

But I think them had to start with at least something.. Maybe big investors are smelling bug money and they started to lobby legalization of bitcoin. It is better than been accused of money laundering or something like that. I think they will loose the requirement to pay capital gain taxes on day-to-day purchases as well as taxing amateur miners. We'll see.

[zolace]

Thanks to Mtgox,many people lost bitcoins,that is why IRS are trying to find ways to tax it,and government to control it,but from talking to actually doing it is a long way.I don't think IRS will find the legal way to tax it..........but lets see.

[pabloangello]

They always want to tax everything to squeeze the money from us like water from the sponge.
So in opposition to tax everything -> we should DECENTRALIZE EVERYTHING!

We already have some good ideas existing and developing like:

- cryptocoins of course

- Namecoin with its decentralized domain names (.bit)

- http://twister.net.co/ fully decentralized P2P microblogging platform

- BitTorrent is working on decentralized web browser - BitTorrent Sync/SyncNet can view it peer-to-peer without the need to access a traditional server-based website.
  http://torrentfreak.com/bittorrent-sync-used-to-create-decentralized-web-browser-140204/


And probably few more I didn't remember right now or don't even know about.

[ThirdRenaissance]

- Namecoin with its decentralized domain names (.bit)

- http://twister.net.co/ fully decentralized P2P microblogging platform

- BitTorrent is working on decentralized web browser - BitTorrent Sync/SyncNet can view it peer-to-peer without the need to access a traditional server-based website.
  http://torrentfreak.com/bittorrent-sync-used-to-create-decentralized-web-browser-140204/
[/b]

And probably few more I didn't remember right now or don't even know about.

I wish we had a fully developed, mass adoption ready, decentralized e-mail replacement. Bitmessage is a nice idea, but I don't think it will scale gracefully and nobody seems to care about I2P Bote.

[pabloangello]

- Namecoin with its decentralized domain names (.bit)

- http://twister.net.co/ fully decentralized P2P microblogging platform

- BitTorrent is working on decentralized web browser - BitTorrent Sync/SyncNet can view it peer-to-peer without the need to access a traditional server-based website.
  http://torrentfreak.com/bittorrent-sync-used-to-create-decentralized-web-browser-140204/
[/b]

And probably few more I didn't remember right now or don't even know about.

I wish we had a fully developed, mass adoption ready, decentralized e-mail replacement. Bitmessage is a nice idea, but I don't think it will scale gracefully and nobody seems to care about I2P Bote.

I'm sure many interesting ideas like this are on the way.

[dotcom]

Hi,

Well, Bitcoin has gained a bit more status, the IRS considers it like trading in property.  

CNN:  "The Internal Revenue Service has issued a formal notice saying it can tax Bitcoin transactions, calling it a property -- not a currency."
<http://money.cnn.com/2014/03/25/technology/innovation/irs-bitcoin/index.html?iid=HP_LN>

IRS Notice 2014-21:  <http://i.cdn.turner.com/money/2014/images/03/25/IRS_Notice_2014_21.pdf?iid=EL>

cya,

No one except people who are trying to run publicly-seen legitimate businesses that accept btc will be affected by this. Obv, no one else will bother reporting their day-to-day bitcoin trades.

They're hurting the one group we want to grow. If anything, this will just push trading btc for goods back down to the black market.

[johnyj]

They will find out that it is impossible to tax bitcoin since it can be moved to oversea before cashing out

Then people will find out another great property of bitcoin --- immune of taxation

Rally ...

[zzojar]

So does that mean trading bitcoin will be like trading stock? I wonder when it'll take effect.

[ShroomGod]

I don't see the IRS being able to pull this off. I don't see it being very workable with the daily fluctuations in price & all the other cryptocurrencies out there. They'll probably go after a handful of people just to make examples of them. It'll be like the whole file-sharing fiasco. If anything, it will probably kill off a lot of the smaller alt-coins, which is unfortunate.
Also... how would one claim black market purchases? It's impossible!

[bgmc]

Of course they want to tax it. They are greedy and want more money.

[Bit_Happy]

Hi,

Well, Bitcoin has gained a bit more status, the IRS considers it like trading in property.  

CNN:  "The Internal Revenue Service has issued a formal notice saying it can tax Bitcoin transactions, calling it a property -- not a currency."
<http://money.cnn.com/2014/03/25/technology/innovation/irs-bitcoin/index.html?iid=HP_LN>

IRS Notice 2014-21:  <http://i.cdn.turner.com/money/2014/images/03/25/IRS_Notice_2014_21.pdf?iid=EL>

cya,

No one except people who are trying to run publicly-seen legitimate businesses that accept btc will be affected by this. Obv, no one else will bother reporting their day-to-day bitcoin trades.

They're hurting the one group we want to grow. If anything, this will just push trading btc for goods back down to the black market.

It might hurt growth with smaller companies who cannot afford the hassle.
Large companies can afford the cost of figuring out how much taxes to pay.

[dotcom]

Hi,

Well, Bitcoin has gained a bit more status, the IRS considers it like trading in property.  

CNN:  "The Internal Revenue Service has issued a formal notice saying it can tax Bitcoin transactions, calling it a property -- not a currency."
<http://money.cnn.com/2014/03/25/technology/innovation/irs-bitcoin/index.html?iid=HP_LN>

IRS Notice 2014-21:  <http://i.cdn.turner.com/money/2014/images/03/25/IRS_Notice_2014_21.pdf?iid=EL>

cya,

No one except people who are trying to run publicly-seen legitimate businesses that accept btc will be affected by this. Obv, no one else will bother reporting their day-to-day bitcoin trades.

They're hurting the one group we want to grow. If anything, this will just push trading btc for goods back down to the black market.

It might hurt growth with smaller companies who cannot afford the hassle.
Large companies can afford the cost of figuring out how much taxes to pay.

Yes but even large companies will lose a percent of their consumer pool that don't want to risk a loss on the transaction. It's still easy as hell to get the good/services you want illegitimately with btc.

Ofcourse, who this whole thing really fucks is miners. Especially considering it's becoming less and less profitable as is.