Earlier quoted context omitted.
Only if Satoshi is American. And if he's still alive.
Or if he hasnt renounced his citizenship
Renouncing citizenship wouldn’t prevent you from owing uncollected or misfiled back taxes.
US Senate Bill S.1241 to Criminalize Concealed Ownership of Bitcoin
101–110 of 187 posts
Re: US Senate Bill S.1241 to Criminalize Concealed Ownership of Bitcoin
#102Good, finally some concrete step by senate to stop block craze. Meh typical HN commenters "Taxes are great, except when its us who get taxed". The way I see its time to throw book at bitcoin holders, lets start putting Coinbase execs in prison.
People must declare their income from cryptos, but they like to be in gray area. Many many people has generated massive taxable events as they moved their cryptocoins into other cryptocoins as a means of diversification, for example. They just like to think of it as an "invisible" event that's not government's business.
But then, the same people complain about quality of public education, or why 101 sucks, or something along those lines that require tax money.
Currently, cryptocoins are seen as "have your cake and eat it too".
Re: US Senate Bill S.1241 to Criminalize Concealed Ownership of Bitcoin
#103With the NSA permeating so much, how sure can we be a bitcoin was ever truly anonymous ?
It never was. Anonymity a property bitcoin never had nor tried to have.
Re: US Senate Bill S.1241 to Criminalize Concealed Ownership of Bitcoin
#104Earlier quoted context omitted.
> Income from investments is supposed to be reported to the IRS. Bitcoin income has required disclosure since 2013, this bill seems to say that even bitcoin just sitting idle in an account need to be disclosed somehow, which is a MAJOR breach of privacy. This is like saying to someone "If you own a nice painting in your house you need to let us know about it" even if it generates no income. They are basically saying…
Ish. it's not that different from status quo. 1. Government already knows all of your US bank accounts. 2. They ask you to declare foreign bank accounts. 3. Majority of countries have deals with US to inform them of US residents/citizens accounts, and many banks for this reason do not accept new accounts from us citizens. 4. US asks you to declare any monetary instrument as you enter country (above 10K) or so. So if…
Bitcoin is more analogous to cash. The government does not mandate people reveal how much cash they have in their possession.
Re: US Senate Bill S.1241 to Criminalize Concealed Ownership of Bitcoin
#105Monero still ok?
Treated the same as bitcoin in this law.
Re: US Senate Bill S.1241 to Criminalize Concealed Ownership of Bitcoin
#106Earlier quoted context omitted.
You don’t disclose assets to the IRS, only income. If you disclose your income and pay tax on it then convert it to BTC today you aren’t obliged to disclose it. In theory after you sell it you’d have a capital gain to disclose.
Not true. There are reporting requirements for certain foreign assets, including cash in overseas accounts.
Didn’t know, can you elaborate on that?
Re: US Senate Bill S.1241 to Criminalize Concealed Ownership of Bitcoin
#107The text doesn't sound so much to me like it's criminalizing intentionally concealed ownership of cryptocurrency, as ownership of accounts at exchanges...say, by signing up for an exchange with a fake ID.
This link gives a little more background: https://news.bitcoin.com/proposed-u-s-legislation-may-crimin... > A ‘prepaid access device’ means an electronic device or vehicle, such as a card, plate, code, number, electronic serial number, mobile identification number, personal identification number, or other instrument, that provides a portal to funds or the value of funds that have been paid in advance and can be retri…
That description covers literally every thing that has ever been sold to a buyer.
The act of buying something makes it "prepaid access device" since it may possibly in the future be used to retrieve funds, e.g. via a sale, and may be transferred at some point in the future.
Re: US Senate Bill S.1241 to Criminalize Concealed Ownership of Bitcoin
#108Earlier quoted context omitted.
You don’t disclose assets to the IRS, only income. If you disclose your income and pay tax on it then convert it to BTC today you aren’t obliged to disclose it. In theory after you sell it you’d have a capital gain to disclose.
Not true. There are reporting requirements for certain foreign assets, including cash in overseas accounts.
Doesn't apply to crypto. Only have to report if the crypto is sold.
Re: US Senate Bill S.1241 to Criminalize Concealed Ownership of Bitcoin
#109Re: US Senate Bill S.1241 to Criminalize Concealed Ownership of Bitcoin
#110Earlier quoted context omitted.
Not true. There are reporting requirements for certain foreign assets, including cash in overseas accounts.
Doesn't apply to crypto. Only have to report if the crypto is sold.
I guess the implication is that you have to report foreign assets specifically because it’s not easy for the IRS to obtain records from foreign financial institutions. Since it’s also not easy for them to obtain records from a decentralized crypto-currency then the same justification exists for adding these to a list of things you must report.