3 ms·

How does the government decide what to tax if the government currency is not used for transactions, and paid full salary with btc but at least minimum wage in c

• tzs 15y ago
  They would treat it as a trade of goods, and tax it the way those are handled. For instance, suppose I trade a cow for your tractor. It would be taxed by treating it as two transactions: I sell my cow to you for cash, and then you sell your tractor to me for cash. There are exceptions when what we are trading are "like kind" goods. For example, if we were both farmers growing the same kind of crop, and we swapped some land to make the shape of both of our farms more convenient that would be a like kind exchange and would not be taxed.