Quote from: teukon on April 21, 2014, 02:29:59 PM

Quote from: SlipperySlope on April 21, 2014, 05:06:13 AM

Note that I am for fair taxation

I think everyone is for "fair" taxation. The problem is that people disagree as to what is fair.

For some, no taxes at all is the only fair system.
For some, Fair taxes are where everyone pays in the same amount.
For some, flat taxes (everyone pays in the same percentage of their wealth) are ideal.
Some hold that progressive taxes (where the rich pay not only more than the poor, but a larger percentage of what they have) are best.
Some say that the more even the wealth distribution is, the fairer it is, with communism being the only truly fair system.

My own idea of balancing social ideals and long term economic growth for everyone, is to favor consumption taxes, not taxes on capital.

Alas, despite the popular belief in the USA that the rich escape taxation, the burden of local, state and federal taxation progressively falls upon the wealthy. Almost half of US citizens pay no federal income tax, and the poor, disabled and elderly especially profit from government transfer payments.

Although capital gains and estate taxes will gain revenue from the sudden new bitcoin $billionaires and $trillionaires, that tax revenue will be realized only when they sell or die. I have a belief, growing stronger, that holders will regard bitcoin as precious to the extent that many large holders will be loath to sell. An analogy would be medieval land estates - never sold, only inherited.

That is why I believe taxes on bitcoin holdings will follow the precedent set by taxes on land property here in the USA.