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But like other commodities can it go to negative 0?

by chews 5y ago

hirako2000 5y ago
It's actually possible. If taxes due get assigned and tracked to particular bitcoin fractions, and since taxes incur interest, we could be in a situation one day where you would get paid to accept ownership of btc. It would be surreal, but if the IRS is given hope that it's a way to get people scared of btc, and that the KYC data all these exchanges have allow accurate enough accounting and tracking, they would do it, givin all sort of explanation as to why the new taxation rules are needed.
- tomp 5y ago
  Hm.. if BTC is negative, then you’d be paying negative taxes on it (IRS paying you, or equivalently you paying less tax on e.g. income). A lot of people want that, so they’d want BTC, bringing it back into positive.
  - HeyZuess 5y ago
    > if BTC is negative, then you’d be paying negative taxes on it Nouriel Roubini implies that carbon tax could mean a negative value. Contrary to income tax, a carbon tax wouldn't be a "negative" tax.
  - hirako2000 5y ago
    afaik the IRS doesn't pay you on losses. It does balance your revenue and business expenses, but interestingly regulations on crypto investments make them a category on their own. So if you have 0 overall revenue in a year, but earned say 100k from salaried/contract labor employment, but lost 100k on BTC because it reached zero, you still owe the IRS taxes on your 100k revenue. Taxes are so absurd when looking a them more closely. Corporate entities get to offset expenses, only the net profit incur corporate tax on profit; but human entities have all their expenses ignored from the equation. So, buy BTC, and that's the same as gambling or have a serious drug addiction in term of expenses, make a profit and you end up having to pay the crypto tax, and also having to cover the cost of tracking all the transactions that may have occurred between btc and other tokens if you were adventurous and loved experimenting with the overall digital token market.
HeyZuess 5y ago
> But like other commodities can it go to negative 0? If it went to near 0 it could be out paced by inflation. I guess also if fees outpaced it's extrinsic value could mean an overall negative valuation. But a actual value below 0 would be rather difficult.

But like other commodities can it go to negative 0?

by chews 5y ago

But like other commodities can it go to negative 0?

hirako2000 5y ago

It's actually possible. If taxes due get assigned and tracked to particular bitcoin fractions, and since taxes incur interest, we could be in a situation one day where you would get paid to accept ownership of btc. It would be surreal, but if the IRS is given hope that it's a way to get people scared of btc, and that the KYC data all these exchanges have allow accurate enough accounting and tracking, they would do it, givin all sort of explanation as to why the new taxation rules are needed.

tomp 5y ago
Hm.. if BTC is negative, then you’d be paying negative taxes on it (IRS paying you, or equivalently you paying less tax on e.g. income). A lot of people want that, so they’d want BTC, bringing it back into positive.
- HeyZuess 5y ago
  > if BTC is negative, then you’d be paying negative taxes on it Nouriel Roubini implies that carbon tax could mean a negative value. Contrary to income tax, a carbon tax wouldn't be a "negative" tax.
- hirako2000 5y ago
  afaik the IRS doesn't pay you on losses. It does balance your revenue and business expenses, but interestingly regulations on crypto investments make them a category on their own. So if you have 0 overall revenue in a year, but earned say 100k from salaried/contract labor employment, but lost 100k on BTC because it reached zero, you still owe the IRS taxes on your 100k revenue. Taxes are so absurd when looking a them more closely. Corporate entities get to offset expenses, only the net profit incur corporate tax on profit; but human entities have all their expenses ignored from the equation. So, buy BTC, and that's the same as gambling or have a serious drug addiction in term of expenses, make a profit and you end up having to pay the crypto tax, and also having to cover the cost of tracking all the transactions that may have occurred between btc and other tokens if you were adventurous and loved experimenting with the overall digital token market.

HeyZuess 5y ago

> But like other commodities can it go to negative 0? If it went to near 0 it could be out paced by inflation. I guess also if fees outpaced it's extrinsic value could mean an overall negative valuation. But a actual value below 0 would be rather difficult.