Here in my country which is now an upcoming tiger economy (though we are still classified as a third-world country), we are free to participate in Bitcoin both buying and selling as the government is treating Bitcoin just like any other foreiign money.
However, I am sure that only a very, very small fraction of us are declaring our Bitcoin income. It seems to me that the government is not that interested to get strict with individuals as long as they can tax the Bitcoin exchange provider for the service rendered.
I am then wondering the situation with other countries. Can your government really be able to track if you never declared gains made from Bitcoin transactions?
I belong to the 3rd world country. Governments are corrupt they scam peoples money by paying big taxes. That's why people are wise now they use bitcoin as commodity and a store of value. the problem here is we need to address our concern that we should show them our minimum income, we need a decentralization not centralize. i hate governments that are scamming people to pay them 20-30% tax income.