Quote from: The Avenger on February 13, 2014, 04:58:19 PM

Quote from: DPoS on February 13, 2014, 04:49:57 PM

Quote from: The Avenger on February 13, 2014, 04:44:03 PM

The major question in my mind is whether KNC are paying tax on their mining profits? If they aren't and they get audited by the Swedish taxman - that'll be the end of the bitcoin empire in the arctic circle.

I think the whole miner world would like to know how they will report (expenses, deductions... cost basis...)

Did any major mining farm from last year post their own guidance? It is still an area of much debate and specualtion

Googled. Funnily enough, this seemed to coincide quite neatly with when KNC suddenly decided to stop selling hardware to us:

http://www.bloomberg.com/news/2014-01-21/bitcoin-becomes-art-as-swedish-taxman-rejects-creative-currency.html

Swedish tax authority are treating bitcoin as assets.

So the tens if not hundreds of thousands of bitcoin KNC have mined already are to be taxed as assets, they probably owe multi-millions in tax. Hmm... another use for the Neptune pre-order money? Wink

and the miner question still looms large up there as well ...

"Swedish tax authorities are also looking into how to treat Bitcoin miners -- programmers who unlock new Bitcoins by using ever-faster computers to solve complex mathematical problems. Wallin said the question is whether they should be taxed as businesses, a classification that would allow them to deduct some equipment from taxes.

The challenge remains tracking a new market whose size and scope can be hard to gauge, even for regulators.

I dont think there are that many, Wallin said. But they have been calling us for answers.