Re: Capital Gains Taxes (USA)

if you want to avoid taxes at all, just pay in bitcoin directly, and never exchange them, even if they track you, they can't do shit, because bitcoin it self isn't taxable, is just the gain in fiat that it is

This is very bad advice that can get you in trouble if you follow it.

how so? something like this could only help adoption(as long as everyone will do it, merchants too), because it prevent dumping btc for fiat

Because bartering is a taxable event per IRS http://www.irs.gov/taxtopics/tc420.html ... and not paying your taxes for your bartering will get your assets seized and forfeited, with additional penalties, fines, costs and imprisonment for nonpayment of taxes and criminal charges of tax evasion.

ok, the problem here is not the illegality of the thing, but how they can track me back if , for example i use bitcoin to buy directly second hand stuff...there is no way they can this

i find really hard for them following all those kind of private selling/buying..

also taxing a second hand thing sound not right at all, because you know...that thing had already been taxed

Quote from: bgibso01 on April 18, 2015, 10:18:23 PM

Quote from: bitcointaxes on April 18, 2015, 10:15:06 PM

Quote from: Amph on April 18, 2015, 10:58:13 AM

can you point me that rules? because i know that bitcoin itself are not taxable, but only their conversion in fiat

http://www.irs.gov/uac/Newsroom/IRS-Virtual-Currency-Guidance

Bitcoin itself isn't taxable, no, but exchanging for fiat isn't the only taxable event. Bartering is also a tax event, which includes spending or trading altcoins, for example.

Quote from: Amph on April 18, 2015, 10:58:13 AM

i can use bitcoin to buying used thing or food, and they won't track back something like this it's purely impossible...

The US tax system is an honor system. If you generate gains from spending Bitcoins that have increased in value, you are supposed to declare it. Poor recordkeeping is not an excuse if you were audited.

Quote from: Amph on April 18, 2015, 10:58:13 AM

how so? something like this could only help adoption(as long as everyone will do it, merchants too), because it prevent dumping btc for fiat

It's bad advice because it's wrong.

This is probably the same link in pdf form : http://www.irs.gov/pub/irs-drop/n-14-21.pdf

But yes, the advice goes against published IRS guidance.

if you read carefully my first quote, you notice that there isn't any advice, i just said that you won't be tracked back, not that you should'n declare your income