5 ms·
Interesting to know how the tax on these bitcoins would work. Would this count as a taxable perk? If so, would that count as the government counting their exist
by HyprMusic 14y ago
Interesting to know how the tax on these bitcoins would work. Would this count as a taxable perk? If so, would that count as the government counting their existence and value?
- RobAley 14y agoI can't talk for the IA, but in the UK the situation is absolutely yes, they would be taxed. Any payment of any kind, or any benefit in kind, is taxable (and the tax paid in cash, not bitcoins!), apart from a few specified exemptions.
- celticninja 14y agothey would be taxable, how they would be taxed though is an entirely differnt question. Would they be considered the same as being paid you usual wages and therefore taxed as income? Or taxed like gold, i.e.not taxed until you sell? or perhaps like a stock, a capital gains tax is charged so you pay for any gain they have made since you reeived them? Willing to bet that HMRC has not even considerd it yet.
- travisp 14y agoIn the US, if you are paid in gold, it's still taxed as income. Then you are taxed when you sell the gold on capital gains on the difference between the market value when you received it and when you sold it. There's no loophole that allows avoiding paying income tax just because you are paid differently.
- brown9-2 14y agoI imagine they would be taxed the same as any American paid wages in a non-US currency (i.e. Americans working overseas). This wouldn't be a groundbreaking situation.
- travisp 14y agoI think the taxes would be fairly easy to figure out, no different than if you paid in gold or beanie babies or Euros. It doesn't really give bitcoins any special status or legitimacy for the IRS to do this.