Click to be Added / Removed.
Because unlike Federal reserve notes, virtual currency is worth something!
Trying to attach a cost to BC use both to dissuade and because it’s the future.
This is not good news for Bitcoin.
If it were a “Currency” than its increased Buying power would NOT be taxable.
It may now be that Bitcoins that appreciate and a traded for Goods become a “Taxable” event.
Compared to our Dollar for example. An increase in its buying power is not a taxable event.
This is a record keeping killer. Every transaction would require a paper trail and a determination of capital gain or loss. If sustained, this ruling would kill bitcoins for everyday use in the US.
They don’t dare call it currency - yet.
Gives it credibility.
Like it or not, what the IRS rules is the way it’s gonna be. Now people can begin to accumulate some, and make plans for it.
Does this make it subject to sales tax? The whores in Sacramento need money.
Well... Sure. Currencies are property, too. Currency just means it’s a form of property that everybody has, so it is useful as a medium of exchange. Bowling balls could be currency too except we’d all need really big pockets.
Oh sure... But NorFed warehouse receipts and physical gold coins were “counterfeit currency” subject to seizure...
If it is not a currency then why do need a money transmitters license to transmit bitcoins?
I don’t know. The currency model seems to me to make more sense than, say, a precious metal analog.
All your everything are belong to us!
I think if they are going to tax Bitcoin, it should be taxed by weight... :)