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[AudraMiller]

Mining is the main way in order to introduce new crypto currency in circulation and increase the supply of any specific coin. However in a recent news article it seems that a cryptocurrency enthusiastic couple has actually gone as far as to tell the IRS in the United States of America that they have no obligation to tax the newly mined cryptocurrency coins. Do you think that this is fair? And do you think the cryptocurrency that is being mined by any specific user should be taxed in any way?

 

[Wisdom01]

Yeah I agree with your submission but I doubt it will work this way as everyone will want to have their own cut either through tax or. High fees. But the amount should be lesser for miners to avoid bickering

They already gain a lot of tax , if they start taxing crypto currency what would be the profit of those miners , so I don't really support the move

 

[Razor1911]

No matter.. if miners will be taxed then it will be adjusted based on their revenue anyways so i guess it will be fine.. it's just too bad though

It is bad for us but also we should understand the other way. If the government does not allow using of cryptocurrency, that is worse than allowing cryptocurrency having nominal tax.

 

[BullyMaguire]

It is bad for us but also we should understand the other way. If the government does not allow using of cryptocurrency, that is worse than allowing cryptocurrency having nominal tax.

That's what i thought. If the only way Cryptocurrency will be accepted is by governments is by regulating em.. then it's fine as long as we can still use it and own it

 

[Razor1911]

That's what i thought. If the only way Cryptocurrency will be accepted is by governments is by regulating em.. then it's fine as long as we can still use it and own it

It is far better than government banning currencies. obviously if government will regulate they will apply the tax regime on the crypto market also. That is what all investors to take note.

 

[BullyMaguire]

It is far better than government banning currencies. obviously if government will regulate they will apply the tax regime on the crypto market also. That is what all investors to take note.

Can't do anything about it since if they wish to they can just ban crypto currency completely which is bad for the market so we should just comply

 

[Brain]

Or big mining companies can be taxed.. but small ones just like for own consumption should be okay. But people who specifically earn from mining can be taxed

This is angle to it which I believe will be a good idea if it is adopted. For personal consumption should be what it is and no tax added to it at all. The government should buy this

 

[BullyMaguire]

This is angle to it which I believe will be a good idea if it is adopted. For personal consumption should be what it is and no tax added to it at all. The government should buy this

Yeah just like how business works.. if it's just a small one they can be not taxed but if it's an actual decent size business they can enforce tax law.

 

[Razor1911]

Yeah just like how business works.. if it's just a small one they can be not taxed but if it's an actual decent size business they can enforce tax law.

You mean some amount of subsidy to be provided for small businesses. I guess even if the cryptocurrency is legalized and regularized, the existing law for the small businesses will stay.

 

[a_jerobon]

It is far better than government banning currencies. obviously if government will regulate they will apply the tax regime on the crypto market also. That is what all investors to take note.

I also prefer that they tax them rather than banning the cryptocurrencies. In fact regulating them will allow them to trace the transactions hence reduce the crimes carried out using cryptocurrencies.

 

[Razor1911]

I also prefer that they tax them rather than banning the cryptocurrencies. In fact regulating them will allow them to trace the transactions hence reduce the crimes carried out using cryptocurrencies.

I think that most of the countries will merge the cryptocurrency market to their existing financial laws. in that way that will also help the small businesses to grow with cryptocurrency having less tax percentage.

 

[AudraMiller]

Exactly and excessive tax would only Chase away those miners , because many miners would relocate to another country if the tax system is not favourable

I don't think that they would relocate, because not many would be able to afford and deal with a relocation like that. However, i think that the number of miners will reduce significantly.

 

[Wisdom01]

I don't think that they would relocate, because not many would be able to afford and deal with a relocation like that. However, i think that the number of miners will reduce significantly.

Yeah some might change to another occupation ,but the big investors and mining companies might relocate and move to another country

 

[SCAMEXPOSER]

Government will definitely tax mining activities if the country support the activities of cryptocurrencies though the percentage won't be high as to encourage them

 

[AudraMiller]

Yeah some might change to another occupation ,but the big investors and mining companies might relocate and move to another country

In this way i do agree with you. Thank you for clearing that up. This is actually very similar to what we saw when it comes to China and how mining companies moved out of that country to South and North America.

 

[ElPaule]

Mining is the main way in order to introduce new crypto currency in circulation and increase the supply of any specific coin. However in a recent news article it seems that a cryptocurrency enthusiastic couple has actually gone as far as to tell the IRS in the United States of America that they have no obligation to tax the newly mined cryptocurrency coins. Do you think that this is fair? And do you think the cryptocurrency that is being mined by any specific user should be taxed in any way?

No the tax should be when selling the crypto. If you have a garden, should you be taxed on tomatoes growing there or on tomato's you sell?
If you are a car manufacturer, would you prefer to taxed on cars produced or cars sold?

 

[SCAMEXPOSER]

No the tax should be when selling the crypto. If you have a garden, should you be taxed on tomatoes growing there or on tomato's you sell?
If you are a car manufacturer, would you prefer to taxed on cars produced or cars sold?

you have a point but I also understand the fact that these people are using energy and they are directly or indirectly emitting certain gases to the environment so governments have justification to tax miners

 

[AudraMiller]

No the tax should be when selling the crypto. If you have a garden, should you be taxed on tomatoes growing there or on tomato's you sell?
If you are a car manufacturer, would you prefer to taxed on cars produced or cars sold?

This is an interesting point. I agree with you. so therefore you would be saying that you should be taxed only when you are selling or converting your crypto to another coin.

 

[ElPaule]

This is an interesting point. I agree with you. so therefore you would be saying that you should be taxed only when you are selling or converting your crypto to another coin.

On the last point I'm not sure. If exchange from one crypto to other should be taxed… there are arguments for and against.
but for converting to fiat, or purchase none crypto products there should be a tax for capital gains.

 

[AudraMiller]

On the last point I'm not sure. If exchange from one crypto to other should be taxed… there are arguments for and against.
but for converting to fiat, or purchase none crypto products there should be a tax for capital gains.

With regards to converting crypto, think about it this way. Some people mine dogecoin for example, however if a business accepts bitcoin then a person can use an exchange to convert what they mined and then pay with bitcoin without tax implications.

 

[CyberPreNurse]

It does not make sense for the government to tax newly mined cryptocurrencies. The only time they can charge cryptocurrencies users is when they're buying or selling.