So... this was a tax raid?
Quite a harsh response, considering the rules were drafted 12months ago...
What are the money laundering measures that caused Aussie banks to disown Bitcoin? Maybe that could shed light on the motivations behind the raid?
Reported Bitcoin 'founder' Craig Wright's home raided by Australian police
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Re: Reported Bitcoin 'founder' Craig Wright's home raided by Australian police
#72Earlier, extensive discussion here: https://news.ycombinator.com/item?id=10699846.
Since this story contains significant new information, it doesn't count as a duplicate.
Re: Reported Bitcoin 'founder' Craig Wright's home raided by Australian police
#73Earlier quoted context omitted.
Yep, there are all sorts of forms about material representations and liabilities for false statements. It seems like a well-run program, our contacts with the ATO were very sharp and knew which questions to ask. You could tell they've ferreted out fraudulent applications before.
Sounds like something most companies won't touch with a nine foot pole.
They do, but hire big accounting firms to do so. This was my mother's job at KPMG, and where I work is going through the process at the moment.
Re: Reported Bitcoin 'founder' Craig Wright's home raided by Australian police
#74Earlier quoted context omitted.
Sounds like something most companies won't touch with a nine foot pole.
They do, but hire big accounting firms to do so. This was my mother's job at KPMG, and where I work is going through the process at the moment.
Yep, we had Deloitte AU helping with ours.
Re: Reported Bitcoin 'founder' Craig Wright's home raided by Australian police
#75Earlier quoted context omitted.
> wouldn't Wright have a huge income tax debt? Yes, but presumably he can pay it out of his Bitcoin fortune. He has to deal with that at some point anyway, and by going public now, he gains additional leverage on his VAT or tax credit or whatever the ATO has decided to get him for this time.
Bitcoin is still volatile. Typically tax on volatile income is paid when you "cash out" to a more stable currency.
I wonder if capital-gains tax applies to Bitcoin? I'd think it would. And it's quite large, too.
Re: Reported Bitcoin 'founder' Craig Wright's home raided by Australian police
#76I don't understand - why would they raid his house? Is he suspected of dodging taxes? But as far as I understand, most tax evaders don't get their houses raided at first. It makes sense to first contact the person and/or send a letter.
From what I read on other sources, he is under investigation for tax issues by the ATO for a number of years now.
Perhaps the ATO felt they need to move quickly when news broke out (suggesting he is the BitCoin creator), to secure his assets before they are transferred / moved.
Re: Reported Bitcoin 'founder' Craig Wright's home raided by Australian police
#77Earlier quoted context omitted.
Bitcoin is still volatile. Typically tax on volatile income is paid when you "cash out" to a more stable currency.
I wonder if capital-gains tax applies to Bitcoin? I'd think it would. And it's quite large, too.
Yep, the Australian Tax Office recognizes it as a commodity that's subject to capital gains taxes.
Re: Reported Bitcoin 'founder' Craig Wright's home raided by Australian police
#78http://www.businessinsider.com.au/the-australian-who-may-hav... "Under the scheme, a company which turns over less than $20 million is eligible to apply for a cash rebate of 45 cents for every dollar spent on research and development activity. According to a press release in May, 2015, DeMorgan Ltd succeeded in its application for the rebate. That means DeMorgan were able to prove to AusIndustry that it had spent $12…
I'm a consultant in the R&D Tax space. The press release relates to an advanced finding, which is an advanced approval of R&D activities. It does not however guarantee approval for the amount of expenditure they would be claiming. A tax refund of that size would naturally attract the attention of the Australian Tax Office(ATO). The press release is also dated before they could submit their tax return to obtain a 14/1…
Fellow Australian here (albeit currently living in Tokyo).
The "We create tax refunds" part of your homepage says that a company can get a tax refund even if there is no sales.
Does this mean that if I establish a company tomorrow, invest $100k of capital, and spent $100k of capital on R&D, then the ATO will give my company $45k?
Re: Reported Bitcoin 'founder' Craig Wright's home raided by Australian police
#79I don't understand - why would they raid his house? Is he suspected of dodging taxes? But as far as I understand, most tax evaders don't get their houses raided at first. It makes sense to first contact the person and/or send a letter.
From what I read on other sources, he is under investigation for tax issues by the ATO for a number of years now. Perhaps the ATO felt they need to move quickly when news broke out (suggesting he is the BitCoin creator), to secure his assets before they are transferred / moved.
I doubt that this [very] clever person would put his bitcoins at risk of a seizure at his/her home
Re: Reported Bitcoin 'founder' Craig Wright's home raided by Australian police
#80The guy introducing himself - seems quite plausible https://www.youtube.com/watch?v=LdvQTwjVmrE&feature=youtu.be...
I don't imagine Satoshi bragging like this douche does.