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As a point of order, tax avoidance is perfectly legal and encouraged by the IRS. Tax evasion is illegal. There are many legitimate and ethical reasons why some
by BitwiseFool 6y ago
As a point of order, tax avoidance is perfectly legal and encouraged by the IRS. Tax evasion is illegal.
There are many legitimate and ethical reasons why someone would want to avoid taxes they're not obligated to pay.
To your second point about calculating and tracking these expenses, it gets messy really quickly. Certainly do-able, but messy nonetheless. Imagine having a 1099 that is dozens of pages long because it's basically your yearly credit card statement. Imagine having to pay a capital gains tax of like 5 cents on a starbucks purchase. Interestingly enough, this isn't a requirement when paying for things using foreign exchange. You don't have to track gains if you take a vacation to Europe and pay for things using Euros. So I think the goal is to have crypto transaction treated like a Forex purchase.