Georgia Becomes the Latest to Propose Accepting Cryptocurrencies for Taxes

in #bitcoin7 years ago

Cryptos and taxes have been in the news cycle quite a bit in recent weeks. At least here in the US.

As a refresher, the [IRS] https://www.irs.gov/newsroom/irs-virtual-currency-guidance) treats cryptos, which it calls virtual currencies, as property. Which means the general rules for property transactions apply.

That was almost a good thing until the recent tax bill amended like-kind exchanges to “real” property. Meaning, going from BTC to ETH or any other crypto is a taxable event. Onerous.

But we are seeing some states take actions on their own. Let’s see what’s going on.

On February 8 Arizona passed Senate Bill 1091 which lets residents pay their taxes in bitcoin and other approved cryptocurrencies. The bill is now with the House of Representatives.

If passed we could see more states follow suit and other legislators warm up to cryptocurrencies.

There also another piece of legislation in motion in Arizona, House Bill 2602. This one would protect cryptocurrency node operators.

More recently Wyoming’s Senate passed Senate File Number 0111 which would exempt virtual currencies from property taxation. Like Arizona, it now has to go before the House.

Wyoming also has HB0019 which exempts virtual currency from the Wyoming Money Transmitter Act. And HB0070 which removes cryptocurrency utility tokens from under the umbrella of security tokens. Both unanimously passed the House and are being introduced in the Senate.

Colorado has Senate Bill 86 which proposes using the blockchain to governmental data security.

And now a bill has been proposed in Georgia to consider bitcoin for use in tax payments as well.

What we really need is for the Crptocurrency Fairness Act to get passed, which would exempt bitcoin transactions from IRS reporting if they are below $600.

Best I can tell it was introduced to the House back on September 7, but it didn’t make it into the tax bill in November. Hopefully it can be introduced again.

What do you think, will we ever get some sensible crypto tax legislation?


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This is extremely bullish to me. I think people are underestimating how important this is for the adoption of bitcoin. I'll be following this closely to see how it unfolds. Exciting times ahead for crypto!

Agree, gives legitimacy to the whole space

very good post sir... keep posting.. God bless you

We all knew that there would be attacks on crypto as it threatens the status quo... for every story like this, it makes crypto more and more bulletproof from these attacks.

That's the irony, the more they attach crypto the stronger it gets ;-p

This sounds like really useful legislation being passed in these states. Remove low value transactions from reporting and it will make taxes a lot easier and make people more likely to report properly.

If it's onerous for us it'll be onerous for the IRS too... hopefully they'll change to sensible rules.

Governments talking about crypto... uh... make me sick!
This has started offroad and will grow offroad :)) just like the media got out of their hands, manipulation and control with social medias

They're walking into the lion's den ;-p

I think that this is very important. One of the main sources of value for fiat currencies is that governments accept them for taxes. If cryptos start being accepted, then this is a major step to be real mainstream money!

It's the same argument they use for fiat... they might actually have to call crypto money!

this is good news, where we have not allowed the cripto currency

Cheers!

let's continue to develop virtual money

Thanks for the post.
The issue as I see it is that there are so many of these politicians that are crooked and very deceptive and they need to watched and call them out when they are up to their shenanigans.
Thanks
dubloon135

Agree, we need smaller government!

good postt

cheers!

good post, thank you

Thanks!

I Really Don't understand What is the problem with the Government?
Why tax?
They should not put Tax on Crypto.
If They can't give us happiness, They Don't have right to steal the happiness :(

Yeah true... @abdulmanan

Thanks brother :)

Yea we don't want to give tax. Cause we thinking only about ourselves. But look at your country motherland.. Government giving you so much faculties and security. For the whole country running government need so much money. It's our duty to pay taxes. Bitcoin does not have any control of government so if every person put money in bitcoin. Whole country will face a great danger in iconomic system. Our main vision should be improvements of our iconomic system. Thus we will be rich also country will be good.. Just sharing thoughs

They should get 10% at most and not be able to print money... then we'll see the whole facade crumble

If it is good for the state, Then I'm ok with that.

They are running the country from the tax we pay them.

you are right

Lol they can't help themselves... everyone likes OPM... other people's money!

Fuck Them!

ditto

haha, What that's mean?

It means I agree w you !

It's a grey area right now whether or not cryptos are a currency or a share and if they should be taxed as such. There are a lot of companies using ICO's to fund their startups so investing in them is kind of like having a share in that company. Other cryptos like Bitcoin are purely a currency and I don't think currencies get taxed as capital gains but whats stopping someone from taking their investment from said ICO and putting it into a cryptocurrency and into FIAT to avoid paying the tax? I think all cryptos should be taxed as a capital gains tax. Where I am from that means only half gets taxed as income and I am okay with that.

Governments are welcome to add transparency and accountability to those who offer ICO’s and exchanges for the protection of the investing public.

image

Agreed, but can govts accept accountability of their own budgets?

Somehow I still believe that a few government in some few countries can be as transparent and accountable to the people to protect them, tru enactment of laws and honest implementation of it.

There are a lot of countries that should have the awareness on the power of this currency, there is no limit to cryptocurrency

Venezuela!

I'm surprised California or Nevada aren't leading this trend..

I think they could be next... maybe tie it into the pot trend as well.

Thats some good news.Few days back every body was worried about crypto market,but now situation has changed a lot.Hope more good news is going to come.Thank's for the post.

I think it's a positive too, thanks!

Corporations and countries have realized the importance of crypto currency they will soon do something about it hopefully

Yea they'll have to buy some first ;-p

it is slow process but somehow it will prosper, I loved crypto currencies because it has given everyone the chance to earn.

I'm a crypto maximalist. I'm never paying taxes again and neither should any of you. Stop giving your money over like docile indolent slaves and transfer all your wealth into crypto and say nothing about it to anyone. Government is about to die. And I'm going off-grid.

Good idea... I am headed in that direction.

essential and useful information about crypto-currency. thanks for sharing.

Cheers!

i like bitcoins.
DQmVxonYfPYQXMXBpJR49wV524XeQUPWgizzrKNC4DTxTXz.jpg

Me too!
sweet shirt

Wow. I hope Goverment of Indonesia can reading this post. Thanks for giving information to us.

You never know ;-p

It's a very unusual journey if Cryptocurrencies can be made for taxes!

Lol that's true... crazy!

Good new!
Now it's is easier to pay taxes just sitting at home.

Cheers!

A very good development if Cryptocurrencies can be made for Taxes @g-dubs

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@g-dubs.. I'd love same for my country

Cheers!

I think friend after these downs of the value of btc good times come for the cryptos falata that countries accept this reality and take advantage to use them in their economy that strictly and legally here in my country the government launched the market the crypto the petro wait to see how it develops in the market greetings from Venezuela

tell Maduro not to sell his BTC

No friend nor did he have the chance not to talk to that murderous dictator

What do you think, will we ever get some sensible crypto tax legislation?

Say tax and sensible in the same sentence is a bit contradictory, no?

It would really be good news if they accept cryptos for taxes, although I am sure that if they do it is simply to try, somehow, they charge taxes to the cryptos, and that if it would be definitely bad, but it would not be surprising, it is basically what we can expect from the government.

It's an oxymoron for sure!

Thanks for telling about bittoine. It can cost at least the price.

cheers!

Amazing news. This opens the doors towards greater public acceptance of crypto.

thanks also @g-dubs
I always upvote you.
maybe my upvote is not useful for legendary steemit ..
hehe :)

Cheers!

your drawing companion is nice interesting and interested. please vote yes

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@g-dubs thank you for a comprehensive review of what has already happened in so many states in the USA along with the exciting news about Georgia working on accepting cryptocurrency because this is a huge market in favor of currency quality!

This is so helpful to me that I will be resteeming today!

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thanks also @g,-dubs
I always upvote you.
maybe my upvote is not useful for legendary steemit ..
hehe :)

This sounds like really useful legislation being passed in these states. Remove low value transactions from reporting and it will make taxes a lot easier and make people more likely to report properly.