I don't think bitcoins are taxable....and that's kind of the point, isn't it? Besides... Its an international system. Who would have authority to tax it?
I have no illusions there, there might be (temporary) technical loopholes but you have to be prepared to defend them in court and lose badly etc.
In theory you are responsible for truthfully declaring your holdings, in whatever form they may be. I guess for tax purposes that would be the BTC/USD spot price at purchase/sale or the given tax date, or whatever your locality's rule on this is.
But I'm not a financial advisor either, that's why I'm asking
Quote from: honeybadger
If you cash out your BTC holdings into your local national currency, however, that would count as capital gain and you would be required by legislation to declare it and pay the tax. (in N.america, anyway....not too sure about international tax law)
Right, no problem there. I'm not a hardcore libertarian opposed to any kind of government or taxation