Concerns About Bitcoin and Tax Reporting

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shard_2013Full Member
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#1Apr 7, 2017, 10:50 PM
Nobody can say for sure right now, but tomorrow could be a whole different story. The bad guys aren't just out there; sometimes they wear uniforms. If you report your taxes, someone from the government could verify it and who knows what could happen next.
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shard777Full Member
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#2Apr 8, 2017, 04:36 AM
Use Bitcoin but don’t let tax reporting invade your privacy. Sure, pay in BTC but if KYC is involved, it might be better to stick with fiat for tax stuff, then keep buying and selling BTC without giving up your info.
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0xGuruNewbie
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#3Apr 8, 2017, 07:33 AM
I've seen law enforcement misuse their power a lot. People end up in jail for nonsense while they can go through all your stuff. They don’t even need a wrench; they can just claim they need to inspect your bitcoins.
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sat_2018Full Member
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#4Apr 8, 2017, 09:31 PM
I haven’t filed taxes yet, but it seems they want all sources of income to tax you properly. I get that they vet tax officers, but let's be real, people with clean records can flip if the money's right. A tax officer could definitely sell your info.
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sat_s4geFull Member
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#5Apr 8, 2017, 11:20 PM
It's reported as income, not specifically as bitcoin, right? If you’re investing and make gains, that goes on the report.
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#6Apr 10, 2017, 08:17 AM
Governments do whatever they want, especially in places where power is super centralized. Good thing with Bitcoin is if you hold it in your own wallet, they can’t freeze it easily. They have to actually catch you first.
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sat_s4geFull Member
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#7Apr 10, 2017, 11:17 AM
Not sure if you can write off gambling losses. Maybe check?
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WildNovaSenior Member
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#8Apr 10, 2017, 08:39 PM
What if the official isn’t malicious but just careless with your info? If someone does come after you and it's tied back to a government source, can you actually sue?
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mark.viperFull Member
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#9Apr 10, 2017, 10:02 PM
Is it just reported as income? Isn’t there supposed to be a source listed too?
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wagmiNewbie
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#10Apr 10, 2017, 11:23 PM
True, sometimes the risk comes from within. That’s why keeping your stuff private and practicing good self-custody is essential.
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stacksatsHero Member
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#11Apr 11, 2017, 12:05 AM
Honestly, not that I’m promoting tax evasion, but a lot of rich folks skip out on filing. Government workers probably do the same. Regular jobs have taxes taken right off the bat but everyone pays late or not at all sometimes.
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sat_s4geFull Member
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#12Apr 11, 2017, 05:11 AM
When I do my taxes, it’s just an extra field for local currency. I haven’t seen anything linking it directly to crypto.
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0xN1njaSenior Member
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#13Apr 11, 2017, 07:25 AM
Makes sense since they want their cut. That’s why it’s reported as income. But in my country, small local businesses have an exemption. If the government wants a bite of crypto earnings, they better define it clearly.
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CalmMinerFull Member
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#14Apr 11, 2017, 01:18 PM
I wouldn’t bet on government leaks. Often it's insiders abusing access. That's why we value our privacy. Can we label bitcoin as a current or fixed asset with taxes?
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GrimHawkMember
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#15Apr 13, 2017, 04:39 PM
This is a big concern, especially in places with weak rule of law. Corruption is real, and those who know your crypto holdings could misuse that info. Privacy is key.
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SwiftForkMember
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#16Apr 13, 2017, 06:59 PM
What’s your point? This convo is about how officials know who’s trading crypto and how that info can be used against them.
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stacksatsHero Member
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#17Apr 13, 2017, 10:57 PM
In tax reports, will bitcoin earnings be seen as income? I think it’s more of an asset. Why expose your holdings unless necessary?
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#18Apr 15, 2017, 01:52 AM
Corruption in government jobs is a real problem. Data leaks happen all the time. Why would I trust tax data related to my bitcoin? The KYC process is a joke; it’s a bigger risk disclosing everything to the government.
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greg1337Member
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#19Apr 15, 2017, 07:05 AM
It all depends on how the regulations are set regarding BTC.
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Ba5edGuruFull Member
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#20Apr 15, 2017, 10:08 AM
So you mean it’s an intangible asset? It might be classified as current or fixed, but in the US, it’s recognized as property.
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