“There is confusion whether transactions in Bitcoin should be treated as property, barter, foreign currency, or a financial instrument. How you see it can determine the tax treatment. Barter transactions may be the most logical treatment, but not everyone agrees. Besides, even without Bitcoins or other exotica, bartering transactions are inherently under-reported. And then there is tax basis. If you sell something for less than you paid, you shouldn’t have gain. That’s true in U.S. dollars or in Bitcoin. If you sell something at a garage sale, you may or may not have income. Brave new world? GAO and IRS don’t think so.”
http://www.forbes.com/sites/robertwood/2013/06/18/bitcoin-in-irs-crosshairs-says-government-report/
Did you like this?
Tip Freedomwat.ch Staff with Bitcoin
Tip Freedomwat.ch Staff with Bitcoin
Related posts:
Why Ron Paul’s presidential campaign may be the last of its kind
U.S. officers in Israel for military exercise
UK 'Google tax' will target inter-company payments
From North Korea, With Dread
Youngest Bitcoin businessmen
Kyle Bass Tells 'Nominal' Stock Market Cheerleaders: Remember Zimbabwe
Exclusive: Dozens of CIA operatives on the ground during Benghazi attack
Wells Fargo Presents Virtual Currency: Viability, Compliance, & Direction
World on the verge of a new industrial revolution: Mass 3D printing
Europe takes on Apple, Facebook, Google and Amazon
Companies cut hours of full-time employees to avoid providing health care under new rules
Attorney for Whistleblower: 400 U.S. Missiles Stolen in Benghazi
How To Make A Quick $1,944,000
China Tests Japan on Senkaku Island Claims After Philippine Success
Pentagon Confirms Court Martial Threat To Soldiers Who Share Christian Faith