Author: rob.golding at astutium.com 2013-09-28 20:15:34
Published on: 2013-09-28T20:15:34+00:00
The regulatory environment in many geographic regions for Bitcoin is uncertain, causing confusion on issues such as capital gains and sales tax. However, in most regions, Bitcoin is considered "just another currency" and taxed the same way as any other currency. A suggestion has been made to voluntarily pre-empt legislation by giving donations to the government (aka taxation) for Bitcoin service providers. While this might seem like a good idea, the problem with voluntary donations is that most people are not satisfied with how their money is spent.In the UK, only 18% of people think that tax money is wisely spent; however, tax isn't voluntary or a donation, and the 18% who think UK tax is well spent are typically those who receive the tax money, not those who pay it. To fix these issues, some suggest donating directly to the cause you want to support, such as the fire department. This way, everyone wins: the business person gets to make a contribution, the government receives more revenue, and the fire department has revenue to do its work. It's a democratic way of ensuring that donations go to the right place, rather than getting lost in administrative costs.
Updated on: 2023-06-07T17:06:13.490692+00:00