Bitcoin is "NOT" Legal Tender According to IRS

[RodeoX]

What is legal tender in the U.S.? To my knowledge only U.S. Dollars are legal tender. It should come as no surprise that bitcoin can't be used to pay taxes. 

[ryanmnercer]

I doubt the US will ever recognise it as legal tender, but it's not going to stop them from trying to take their cut.

Some used to say cannabis would never be legal in America and alcohol was once illegal.  So I wonder if things get bad enough or mass adoption becomes very popular there could be a paradigm shift.

Cannabis isn't legal in the United States. It's very much illegal at a federal level. SOME states have decriminalized it, inside their states, but that doesn't protect anyone from federal prosecution.

[crocko]

I found something: https://www.youtube.com/watch?v=fvqkQvOWgeo

[Cryptopher]

I doubt the US will ever recognise it as legal tender, but it's not going to stop them from trying to take their cut.

Some used to say cannabis would never be legal in America and alcohol was once illegal.  So I wonder if things get bad enough or mass adoption becomes very popular there could be a paradigm shift.

Cannabis isn't legal in the United States. It's very much illegal at a federal level. SOME states have decriminalized it, inside their states, but that doesn't protect anyone from federal prosecution.

Perhaps some states will give Bitcoin significantly more recognition and adoption than others. I'm sure that's already happening though.

[gustav]

they said both - it is money and it is not money - they said it is an asset and it is not an asset.
So whenever they can tax it it will be what they need it to be in order for them to be able to tax it.
If they could tax it five times they would.

[hilariousandco]

they said both - it is money and it is not money - they said it is an asset and it is not an asset.
So whenever they can tax it it will be what they need it to be in order for them to be able to tax it.
If they could tax it five times they would.

Maybe it's both and they might tax it as both. I'm sure they'll keep changing their stance on it to what's beneficial to them.

[gustav]

they said both - it is money and it is not money - they said it is an asset and it is not an asset.
So whenever they can tax it it will be what they need it to be in order for them to be able to tax it.
If they could tax it five times they would.

Maybe it's both and they might tax it as both. I'm sure they'll keep changing their stance on it to what's beneficial to them.

but wait when in goes to court - will you also be able to claim it is both? that is called 'doublestandard' and it is outside of the rule of law since it is a breach in logic.

One thing that is  'x' and not 'y' can not be another thing 'y' and not 'x' at the same time.

This is the logic proof.  So either they decide it is x or y and stick to that or they can just abandon the rule of law. If they want to decide it is both x and y it needs to be x and y all the time

[hilariousandco]

they said both - it is money and it is not money - they said it is an asset and it is not an asset.
So whenever they can tax it it will be what they need it to be in order for them to be able to tax it.
If they could tax it five times they would.

Maybe it's both and they might tax it as both. I'm sure they'll keep changing their stance on it to what's beneficial to them.

but wait when in goes to court - will you also be able to claim it is both? that is called 'doublestandard' and it is outside of the rule of law since it is a breach in logic.

One thing that is  'x' and not 'y' can not be another thing 'y' and not 'x' at the same time.

This is the logic proof.  

Courts operate logically?  I think governments regularly use double-standards.

[gustav]

they said both - it is money and it is not money - they said it is an asset and it is not an asset.
So whenever they can tax it it will be what they need it to be in order for them to be able to tax it.
If they could tax it five times they would.

Maybe it's both and they might tax it as both. I'm sure they'll keep changing their stance on it to what's beneficial to them.

but wait when in goes to court - will you also be able to claim it is both? that is called 'doublestandard' and it is outside of the rule of law since it is a breach in logic.

One thing that is  'x' and not 'y' can not be another thing 'y' and not 'x' at the same time.

This is the logic proof.  

Courts operate logically?   I think governments regularly use double-standards.

then that is not a state that operates under the rule of law and therefore is a regime like in northkorea or like any african monarchy. They could abandon courts, congress and all at any second and make someone king for lifetime. Just around the corner ... when there is no law we can follow then there is also no tax we can pay to be honest

[hilariousandco]

they said both - it is money and it is not money - they said it is an asset and it is not an asset.
So whenever they can tax it it will be what they need it to be in order for them to be able to tax it.
If they could tax it five times they would.

Maybe it's both and they might tax it as both. I'm sure they'll keep changing their stance on it to what's beneficial to them.

but wait when in goes to court - will you also be able to claim it is both? that is called 'doublestandard' and it is outside of the rule of law since it is a breach in logic.

One thing that is  'x' and not 'y' can not be another thing 'y' and not 'x' at the same time.

This is the logic proof.  

Courts operate logically?   I think governments regularly use double-standards.

then that is not a state that operates under the rule of law and therefore is a regime like in northkorea or like any african monarchy. They could abandon courts, congress and all at any second and make someone king for lifetime. Just around the corner ... when there is no law we can follow then there is also no tax we can pay to be honest

Places like the US and UK like to give the impression that they're better and less corrupt than these nations, but they're not. They continually use these double standards whilst pretending to be morally superior and civilised.

[gustav]

Places like the US and UK like to give the impression that they're better and less corrupt than these nations, but they're not. They continually use these double standards whilst pretending to be morally superior and civilised.

very obvious now. we need some kind of protection from tyrannical psychopaths and their blackmailing i would say. But let's wait and see and give them one last chance to make it right and apply same standards before we start rebellion. They may come up with another law after all in case their thinktanks get fed this forums information what i would think is the case.

[hilariousandco]

Places like the US and UK like to give the impression that they're better and less corrupt than these nations, but they're not. They continually use these double standards whilst pretending to be morally superior and civilised.

very obvious now. we need some kind of protection from tyrannical psychopaths and their blackmailing i would say. But let's wait and see and give them one last chance to make it right and apply same standards before we start rebellion. They may come up with another law after all in case their thinktanks get fed this forums information what i would think is the case.

Unfortunately people aren’t that smart nor do they really care. If they did we would've already had a revolution/rebellion.

I like this quote:

[gustav]

Places like the US and UK like to give the impression that they're better and less corrupt than these nations, but they're not. They continually use these double standards whilst pretending to be morally superior and civilised.

very obvious now. we need some kind of protection from tyrannical psychopaths and their blackmailing i would say. But let's wait and see and give them one last chance to make it right and apply same standards before we start rebellion. They may come up with another law after all in case their thinktanks get fed this forums information what i would think is the case.

Unfortunately people aren’t that smart nor do they really care. If they did we would've already had a revolution/rebellion.

I like this quote:

so what role plays bitcoin here? 

[hilariousandco]

Places like the US and UK like to give the impression that they're better and less corrupt than these nations, but they're not. They continually use these double standards whilst pretending to be morally superior and civilised.

very obvious now. we need some kind of protection from tyrannical psychopaths and their blackmailing i would say. But let's wait and see and give them one last chance to make it right and apply same standards before we start rebellion. They may come up with another law after all in case their thinktanks get fed this forums information what i would think is the case.

Unfortunately people aren’t that smart nor do they really care. If they did we would've already had a revolution/rebellion.

I like this quote:

so what role plays bitcoin here? 

Because Bitcoin is decentralised, Fiat banking systems aren't.

[RodeoX]

So if i withdrawl $10,000 cash worth of bitcoins is there anyway the IRS could tax it? would this be possible? lets say i wanted to spend most of it on a vehicle? new car?

I believe the answer is Yes and Yes. You may choose to not report it, but you may also have to convince the seller to be your accomplice in breaking the law.

http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/FAQs-Regarding-Reporting-Cash-Payments-of-Over-10000-Form-8300

http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Report-of-Cash-Payments-Over-10000-Received-in-a-Trade-or-Business-Motor-Vehicle-Dealership-QAs

And if it comes out in an audit you may face fines, and penalties, as well as interest on the principal; perhaps even jail time. At that point capitol gains will seem small.

[NewLiberty]

I doubt the US will ever recognise it as legal tender, but it's not going to stop them from trying to take their cut.

Legal tender law means that other people are forced to accept it.
Such laws are made for worthless unbacked paper currencies, that you would otherwise not want, but are forced by law to take.
If legal tender law were to apply to bitcoin, that would be an epic fail for bitcoin.  It should never need force to pay, it should be taken eagerly by those that understand it.

[fitinplace]

Finally Laissez-faire is helping out the people!!!

[NewLiberty]

it is better to be taxed than being banned

Ban is simply 100% tax if/when they seize it.

[cbeast]

Legal tender is only for paying debts. Simply demand payment in bitcoins up front and refuse dollars. Then dollars will go away because there will be nowhere to spend them.

[NewLiberty]

What is legal tender in the U.S.? To my knowledge only U.S. Dollars are legal tender. It should come as no surprise that bitcoin can't be used to pay taxes. 

Some US states also include gold and silver as Legal Tender.
https://statelegaltender.com/

I am not a fan of legal tender laws generally.