Bitcoin allows tax evaders, Please pay attention....

[so98nn]

Why even evade the taxes on bitcoin? We live in a century where we are free to do anything under human rights. You can live the way you want with only leaving behind the illegal stuff.

At least we are in the kingly rule where we have to pay taxes above our income or above our property evaluations. Plus you are free to regain the taxes at your retirement through pension schemes offered by government.

So why even bother paying taxes on the bitcoin income? If you are in bitcoin then most of them are here to earn profits, make some handsome money and live a dreamy life. It is not a tool to evade the taxes! Its a way to transact with unlimited amount of money, more or less in real time. If you are buying or selling then you should not be worried if it is legal. Just pay the nominal taxes and be happy.

[Silberman]

There is some constant discussion about the possibility that tax evaders may really like bitcoin but in reality it is still difficult for most users to do because of the influence of lifestyle and desires. On average we want to have a luxurious life, have a car, have a house, and something expensive if we have a lot of bitcoin. This is a natural human instinct so it becomes an advantage on the part of the government in detecting abuse. The reported treasures may not match one's lifestyle so this suspicion will only end in an in-depth investigation to reveal the motive behind it.

It "allows" you to avoid if you want to, keep it in bitcoin for example and never take it out, and even while buying, you should try to be as hidden as possible, P2P is the best for that. However, it is a very bad thing to do and if nobody pays taxes then the whole world will be in chaos. Maybe you could think that government is inefficient and you are right, 100 bucks of tax usually ends up being 20 bucks efficient and 80 bucks corruption, and I would not be against saying that. This doesn't mean that we should avoid paying taxes because that 20% which is used properly is something that is very valuable and the world would be in big trouble if we did not pay that.

While there are some people that have a problem with paying taxes I think the majority agree that something like it is necessary to keep our society running, the problem they have is that the taxes are so high that you are effectively a slave to the government for months each year of your life just to pay the government, and what is worse is that the governments are never happy and always want more taxes, so I think that there will be some people that will use bitcoin in that way denying governments from resources they need, forcing them to reduce their size.

[Ozero]

I think the final decision on whether or not to pay taxes on profits in cryptocurrency depends on how high the tax rate is and how difficult it is to practically determine the amount to be paid. In my country, it is planned to adopt a law that provides that individuals will be charged a tax of five percent, which is calculated as the difference between the sold cryptocurrency and the cost of purchasing it. With such a law, it makes no sense to evade taxes. But in some states the tax can be 20-40 percent and here, of course, there is something to think about.

[Gyfts]

The next thing you see are a bunch of people rocking up at your house to investigate suspicious criminal behavior (Finding probable cause like you selling drugs or for things like money laundering) and then they do a life style audit. If you cannot explain where the money come from to fund your life style.... then you are fuc$%ed.  

It's not easy to avoid taxes, if that's the concept.  But we can learn from Jeff Bezos who became an entrepreneur and did not pay taxes even though everyone knew how rich he was.  Whether it's fiat or crypto, as long as the intention is to avoid taxes, there must be a way. For example, when you have a company that has to pay taxes but you can avoid it by giving CSR to our foundation by covering up the management behind it.  This is often done by large companies, even state-owned companies.

It is not immoral to take advantage of the deductions given to you by the traditional tax system. Anyone that decides to pay more taxes than they're owed is a fool and deserves to lose their money. You pay taxes to the government, tell me -- do you view the governmental body as being capable of fiscal responsibility? When has any modern government ever been able to manage their financial system?No, that's why Bitcoin exists in the first place. Corporations avoid taxes because they generally reinvest their profits into the business.

Government targets crypto for tax purposes more than they target billionaires though, so if that isn't an indictment at how cozy politicians are with the elites, I don't know what is.

[ajanwalker]

One of the biggest problems of Bitcoin and all other crypto currencies is the problem of tax evasion. All countries know about the person's assets, but this is not possible when crypto money is involved. If there were no such situations, states would not stay away from bitcoin or other crypto currencies. I don't know how to overcome this.

[Welsh]

Cash is, and will forever be the tool for tax evaders. Even if Bitcoin became the dominant currency, cash if still in existence would be used by criminals since there's no recorded record of it exchanging hands, unlike Bitcoin.

One of the biggest problems of Bitcoin and all other crypto currencies is the problem of tax evasion. All countries know about the person's assets, but this is not possible when crypto money is involved. If there were no such situations, states would not stay away from bitcoin or other crypto currencies. I don't know how to overcome this.

This isn't true in the slightest. If the governments wanted to brush up on their tax evasion detection via cryptocurrency it would be much easier for them than cash. Cash is literally the way to tax evade if you really wanted too since there's no public ledger. If you tax evade via cryptocurrnecy you're doing it knowingly leaving a trace. The criticism that Bitcoin gets for tax evasion is unjust. Its the people who use it, and cash that are tax evading, not Bitcoin or cash. I declare what I earn with Bitcoin just as I do with fiat, there's no difference since tax has to be declared by the person with the assets or via an accountant of theirs. The government expects that the individual declares it, Bitcoin or cash is not responsible for an individuals actions.

Cryptocurrency while sometimes being a little confusing, and adds a little more complexity to declaring the tax, well at least in the earlier days. Still, is expected to be declared by the government. It's the person who decides to declare it or not.

I've never really understood the need to tax evade especially when your stinking rich already, although I must say the tax over here in the UK at least goes to something I'm quite passionate about e.g the National Health Service (NHS which I like that my tax contributes to keeping it running.

[BernyJB]

Can anybody please explain to me why cryptocurrency should be taxed?

I know this sounds ridiculous, but for the life of me I couldn't find anybody to give me an answer that would make sense to that question.
I'm not talking about adding "creative tags" for it, with the sole purpose of stealing people's money. I'm talking about a real, legally plausible explanation for it.
As I understand it, taxes are, pretty much, the price citizens have to pay for the "privilege" ( ) of having a "state", or a bunch of people working at providing services for them and whatnot. So how is investing or trading in cryptocurrencies, that are mostly unregulated and offer no protection whatsoever to the investor/trader, a taxable activity?
I mean, if you buy an orange, there's a number of laws, and a whole apparatus destined to make sure you get an orange. If you trade in bonds, or etf's. the SEC is there to regulate the market. What's the excuse, in the case of cryptocurrencies?

[Ultegra134]

Can anybody please explain to me why cryptocurrency should be taxed?

I know this sounds ridiculous, but for the life of me I couldn't find anybody to give me an answer that would make sense to that question.
I'm not talking about adding "creative tags" for it, with the sole purpose of stealing people's money. I'm talking about a real, legally plausible explanation for it.
As I understand it, taxes are, pretty much, the price citizens have to pay for the "privilege" ( ) of having a "state", or a bunch of people working at providing services for them and whatnot. So how is investing or trading in cryptocurrencies, that are mostly unregulated and offer no protection whatsoever to the investor/trader, a taxable activity?
I mean, if you buy an orange, there's a number of laws, and a whole apparatus destined to make sure you get an orange. If you trade in bonds, or etf's. the SEC is there to regulate the market. What's the excuse, in the case of cryptocurrencies?

Why shouldn't cryptocurrency be taxed? It's still money, that can be brought to the "offline world" and be used. I also own a decent amount of money in crypto, which I'd rather not have it taxed and will try to avoid it if possible. While I get the point of cryptocurrencies being decentralised and the freedom that comes with them, but we simply can't directly avoid it. We're living under a government with laws, which require you to declare any earnings you have.

[wxa7115]

One of the biggest problems of Bitcoin and all other crypto currencies is the problem of tax evasion. All countries know about the person's assets, but this is not possible when crypto money is involved. If there were no such situations, states would not stay away from bitcoin or other crypto currencies. I don't know how to overcome this.

You are making this way bigger than what it actually is, are there some people out there using cryptocurrencies that are not paying their due taxes? Of course, but the number of those people is very small compared to the number of people avoiding taxes by the use of cash or by using complex business structures and offshore banking.

The main issue that governments have with bitcoin is that it breaks the monopoly they had to print their own currencies, people finally have an option, and if given the chance they will select the best alternative out of the two, and with governments printing as much money as they want then it is obvious something like bitcoin in which this is not possible becomes more and more attractive as time passes.

[carlfebz2]

Can anybody please explain to me why cryptocurrency should be taxed?

I know this sounds ridiculous, but for the life of me I couldn't find anybody to give me an answer that would make sense to that question.
I'm not talking about adding "creative tags" for it, with the sole purpose of stealing people's money. I'm talking about a real, legally plausible explanation for it.
As I understand it, taxes are, pretty much, the price citizens have to pay for the "privilege" ( ) of having a "state", or a bunch of people working at providing services for them and whatnot. So how is investing or trading in cryptocurrencies, that are mostly unregulated and offer no protection whatsoever to the investor/trader, a taxable activity?
I mean, if you buy an orange, there's a number of laws, and a whole apparatus destined to make sure you get an orange. If you trade in bonds, or etf's. the SEC is there to regulate the market. What's the excuse, in the case of cryptocurrencies?

Why shouldn't cryptocurrency be taxed? It's still money, that can be brought to the "offline world" and be used. I also own a decent amount of money in crypto, which I'd rather not have it taxed and will try to avoid it if possible. While I get the point of cryptocurrencies being decentralised and the freedom that comes with them, but we simply can't directly avoid it. We're living under a government with laws, which require you to declare any earnings you have.

But cant really be denied that we are here mostly just because of being anonymous or being decentralized and non paying of taxes is someones choice and thats why government do really hate up that much on crypto
because they couldnt able to trace up into those people who do try to avoid taxes thats why they do focused out on centralized platform instead.

Im heavily agreeing on that cant directly be avoided because once we do deal up with this then expect that you could really get that kind of benefit or thing on letting yourself hide into the shadows.

If you are really that mindful in terms of paying tax then you could do it voluntarily or doesnt need for you to hide out.

[Ultegra134]

Can anybody please explain to me why cryptocurrency should be taxed?

I know this sounds ridiculous, but for the life of me I couldn't find anybody to give me an answer that would make sense to that question.
I'm not talking about adding "creative tags" for it, with the sole purpose of stealing people's money. I'm talking about a real, legally plausible explanation for it.
As I understand it, taxes are, pretty much, the price citizens have to pay for the "privilege" ( ) of having a "state", or a bunch of people working at providing services for them and whatnot. So how is investing or trading in cryptocurrencies, that are mostly unregulated and offer no protection whatsoever to the investor/trader, a taxable activity?
I mean, if you buy an orange, there's a number of laws, and a whole apparatus destined to make sure you get an orange. If you trade in bonds, or etf's. the SEC is there to regulate the market. What's the excuse, in the case of cryptocurrencies?

Why shouldn't cryptocurrency be taxed? It's still money, that can be brought to the "offline world" and be used. I also own a decent amount of money in crypto, which I'd rather not have it taxed and will try to avoid it if possible. While I get the point of cryptocurrencies being decentralised and the freedom that comes with them, but we simply can't directly avoid it. We're living under a government with laws, which require you to declare any earnings you have.

But cant really be denied that we are here mostly just because of being anonymous or being decentralized and non paying of taxes is someones choice and thats why government do really hate up that much on crypto
because they couldnt able to trace up into those people who do try to avoid taxes thats why they do focused out on centralized platform instead.

Im heavily agreeing on that cant directly be avoided because once we do deal up with this then expect that you could really get that kind of benefit or thing on letting yourself hide into the shadows.

If you are really that mindful in terms of paying tax then you could do it voluntarily or doesnt need for you to hide out.

Definitely true, if it wasn't for the anonymity cryptocurrencies offer, I'd have them deposited in a bank. The truth is, you're provided with immense capabilities in terms of what options you have for your money, without needing to declare that to anyone.

For instance, I've deposited most of my crypto on staking platforms, achieving an APY of 30% on average, while a bank , would provide you with 1-2% at most.

[dunfida]

Can anybody please explain to me why cryptocurrency should be taxed?

I know this sounds ridiculous, but for the life of me I couldn't find anybody to give me an answer that would make sense to that question.
I'm not talking about adding "creative tags" for it, with the sole purpose of stealing people's money. I'm talking about a real, legally plausible explanation for it.
As I understand it, taxes are, pretty much, the price citizens have to pay for the "privilege" ( ) of having a "state", or a bunch of people working at providing services for them and whatnot. So how is investing or trading in cryptocurrencies, that are mostly unregulated and offer no protection whatsoever to the investor/trader, a taxable activity?
I mean, if you buy an orange, there's a number of laws, and a whole apparatus destined to make sure you get an orange. If you trade in bonds, or etf's. the SEC is there to regulate the market. What's the excuse, in the case of cryptocurrencies?

Why shouldn't cryptocurrency be taxed? It's still money, that can be brought to the "offline world" and be used. I also own a decent amount of money in crypto, which I'd rather not have it taxed and will try to avoid it if possible. While I get the point of cryptocurrencies being decentralised and the freedom that comes with them, but we simply can't directly avoid it. We're living under a government with laws, which require you to declare any earnings you have.

But cant really be denied that we are here mostly just because of being anonymous or being decentralized and non paying of taxes is someones choice and thats why government do really hate up that much on crypto
because they couldnt able to trace up into those people who do try to avoid taxes thats why they do focused out on centralized platform instead.

Im heavily agreeing on that cant directly be avoided because once we do deal up with this then expect that you could really get that kind of benefit or thing on letting yourself hide into the shadows.

If you are really that mindful in terms of paying tax then you could do it voluntarily or doesnt need for you to hide out.

Definitely true, if it wasn't for the anonymity cryptocurrencies offer, I'd have them deposited in a bank. The truth is, you're provided with immense capabilities in terms of what options you have for your money, without needing to declare that to anyone.

For instance, I've deposited most of my crypto on staking platforms, achieving an APY of 30% on average, while a bank , would provide you with 1-2% at most.

1. Anonymity
2. Decentralized
3. Investment returns

These are the most basic stuffs on why people do really mind off on dealing or recognizing bitcoins existence.No matter what we do
it cant really be avoided for us to get those benefits but of course there would be always some cons to that.
Doesnt matter though as long it could give us gains then this is where people matter the most.

[bitterguy28]

The main problem with tax evaders is lifestyle, so I think this is a unique reason why tax evaders really didn't make it with bitcoin in the end. In the end I truly believe that if we still desperately want to live lavishly on bitcoin and other assets to avoid taxes, then this is really not going to work because sooner or later the government will smell it. After all governments can still get evidence from blockchain if they want to conduct an investigation into this matter, so consequences are always there if someone wants to use bitcoin to evade taxes.


If you want to avoid taxes with bitcoin, then never live in luxury and minimize your lifestyle. This a Jokes. 

Tax evaders are mostly the people that has greedy behavior meaning they will not pay taxes for them to have something to spend for their desires, meaning it is only few of them knows how to treat it right.
They will Evade and then they will spend, bringing them to worst scenario .. that is the same thing for me that why need to evade taxes when this is just small part of your income? and at least you are not violating anything .

[xSkylarx]

The main problem with tax evaders is lifestyle, so I think this is a unique reason why tax evaders really didn't make it with bitcoin in the end. In the end I truly believe that if we still desperately want to live lavishly on bitcoin and other assets to avoid taxes, then this is really not going to work because sooner or later the government will smell it. After all governments can still get evidence from blockchain if they want to conduct an investigation into this matter, so consequences are always there if someone wants to use bitcoin to evade taxes.


If you want to avoid taxes with bitcoin, then never live in luxury and minimize your lifestyle. This a Jokes. 

Tax evaders are mostly the people that has greedy behavior meaning they will not pay taxes for them to have something to spend for their desires, meaning it is only few of them knows how to treat it right.
They will Evade and then they will spend, bringing them to worst scenario .. that is the same thing for me that why need to evade taxes when this is just small part of your income? and at least you are not violating anything .

This has a point, but how about those employees who are paid a minimum wage? Consider that they are devoting nearly a day of their wage to paying taxes. Yes, as citizens, we should pay taxes, but what if the government is corrupt and we have no idea where our money is going? Now, the current administration, I can honestly say that there are no corruptions and that I have seen the government's projects, unlike in the past. But, whether we like it or not, we must pay taxes.

[RealMalatesta]

This has a point, but how about those employees who are paid a minimum wage? Consider that they are devoting nearly a day of their wage to paying taxes. Yes, as citizens, we should pay taxes, but what if the government is corrupt and we have no idea where our money is going? Now, the current administration, I can honestly say that there are no corruptions and that I have seen the government's projects, unlike in the past. But, whether we like it or not, we must pay taxes.

This is the situation most of us are in right now but if "I do not want to pay my taxes because I believe my government is corrupt" would be an acceptable reason to not pay taxes, then nobody in the world would ever pay taxes, even if they believe it is not corrupt, they will just say it is corrupt and they will avoid it. What you should do when you believe that your government is corrupt is not stop paying taxes but start being more active in the world of politics.

I did that once upon a time 2+ years ago, I joined a party and both gave feedback on how to get better and how to root out corruption within my own party but also showed resistance towards ruling party and basically worked on trying to end corruption. Obviously me alone is not enough, but if ALL good people around the world got into politics all at once suddenly, we would have a lot less worrisome corruption. That's how you stop corruption, not by stop paying taxes.

[skarais]

There has been talk of imposing crypto taxes in my country recently, but I haven't read any further about how that decision was formulated in recent days. So I think this is going to be an important thing for us to think about in the future.

Almost all countries seem to have corrupt governments and it's the same with me. It is true that taxes are a huge income in many countries where taxes allow certain individuals to commit corruption while they are working in the department. Every citizen must comply with tax regulation regardless of whether there are cases of corruption or not because it is an obligation that we must pay to the state. Sometimes it seems unfair, and this has allowed tax evasion to be practiced by some.

[doomloop]

If you want to avoid taxes with bitcoin, then never live in luxury and minimize your lifestyle.

I believe that sometimes it is the amount of tax that the government wants people to pay that leads to people trying to evade paying their taxes. In places where the government has required the people to pay an insanely high tax, the people would always try to steer from it completely.

Although I do know that there are people who would always avoid paying their tax no matter how small or big it is. And doing so with Bitcoin made it seem like it is quite possible but at the end of the day, most of the people who tries to do it ends up being caught by the government and also has to pay the taxes. And like you have said, lavishing to the extent that makes the government question their sources is part of what makes them get caught.

[BernyJB]

Why shouldn't cryptocurrency be taxed? It's still money, that can be brought to the "offline world" and be used.

That's exactly my point: money is not taxable. which is why the IRS typified cryptocurrency as "property", to be able to basically steal from American taxpayers. Any half witted attorney should have a field day with that.
Even in the US (which, as far as I know, has a very "stiff" tax policy), money is not taxed. Income is, and so is value added, but if you have the money and don't move it, nobody bothers you. And even then, you only pay taxes on your in country activity, which cryptocurrency is not. I do agree you should pay taxes if you use cryptocurrency to purchase something in the US, because, again, there's a whole apparatus set up to protect you. But in the case of crypto you're on your own.

I mean, don't get me wrong: I'm in Argentina, and we don't pay cryptocurrency taxes in here, so that stuff doesn't affect me. But it kinda sucks seeing people getting robbed like that by their own government.

[cheezcarls]

Bitcoin is not a new phenomenon in this century because after bitcoin was launched there were quite a number of other altcoin following it and competing to this day. Bitcoin's decentralization has so far always been the reason why many governments of the world dislike it because of its potential to be anonymous and can be transacted pseudonymically. These things are always used as reasons why the government issues regulation for bitcoin users to comply with the law so that there are not many cases of abuse.

There is some constant discussion about the possibility that tax evaders may really like bitcoin but in reality it is still difficult for most users to do because of the influence of lifestyle and desires. On average we want to have a luxurious life, have a car, have a house, and something expensive if we have a lot of bitcoin. This is a natural human instinct so it becomes an advantage on the part of the government in detecting abuse. The reported treasures may not match one's lifestyle so this suspicion will only end in an in-depth investigation to reveal the motive behind it.

The main problem with tax evaders is lifestyle, so I think this is a unique reason why tax evaders really didn't make it with bitcoin in the end. In the end I truly believe that if we still desperately want to live lavishly on bitcoin and other assets to avoid taxes, then this is really not going to work because sooner or later the government will smell it. After all governments can still get evidence from blockchain if they want to conduct an investigation into this matter, so consequences are always there if someone wants to use bitcoin to evade taxes.


If you want to avoid taxes with bitcoin, then never live in luxury and minimize your lifestyle. This a Jokes. 

The Bureau of Internal Revenue (or whatever you call that in your respective country) will likely target and audit individuals who are living the luxurious life. Like here in the Philippines, there’s one guy who was featured by a TV news network that he bought two houses because of Axie Infinity, so he was being paid attention to pay his correct taxes.

There are influencer couples like JaMill who also bragged their riches on Youtube. And when the BIR is announcing about influencers who needs to pay taxes, they immediately shut off their Youtube account, but it wasn’t enough for the tax collectors to chase after them. So they have no choice but to pay taxes and eventually restored their Youtube account.

So yes if we had BTC and other cryptocurrencies with big value, it’s better to stay low key and be humble. Just don’t be a luxurious person. At least a decent looking person would do but with big crypto portfolio.

[philipma1957]

Why even evade the taxes on bitcoin? We live in a century where we are free to do anything under human rights. You can live the way you want with only leaving behind the illegal stuff.

At least we are in the kingly rule where we have to pay taxes above our income or above our property evaluations. Plus you are free to regain the taxes at your retirement through pension schemes offered by government.

So why even bother paying taxes on the bitcoin income? If you are in bitcoin then most of them are here to earn profits, make some handsome money and live a dreamy life. It is not a tool to evade the taxes! Its a way to transact with unlimited amount of money, more or less in real time. If you are buying or selling then you should not be worried if it is legal. Just pay the nominal taxes and be happy.

I gave you 15 merits for this. I almost never give that many merits. But I like what you are saying.