What is better than goverment taxing bitcoin transaction? Is not this equal to giving recognition of certain value to bitcoin itself as a currency? Just want to state I would be willing to be tax for bitcoin earning (if I do earn anything in future). But it may also mean goverment will get 20%(rough estimate) of our mined bitcoins?
guess you dont know much about law or about searching old threads.
so one last time
when you cash out your bitcoin to FIAT. the government will then want a slice of your FIAT income.
imagine it another way. your american and you go to spain for 6 months and work.
the american IRS will not be tracking your EURO income, so you wont be taxed on euros. but when you return back home and it shows you have more USD then 6 months ago once you cashed back into USD. they will want a slice of that profit