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Finnish HTML5 house SC5 pays salary and accepts payments as Bitcoins

blog.sc5.fi

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Re: Finnish HTML5 house SC5 pays salary and accepts payments as Bitcoins

#11

Post by paavo »

jerguismi wrote: post #9
iwwr wrote: post #8

Earlier quoted context omitted.

They're still paid in EUR, just getting some of that converted to BTC. If selling the BTC later on makes them a profit, it becomes the responsibility of the employee to report any profits. The greater problem is how the employer manages to get a hold of larger amounts of BTC needed.

> The greater problem is how the employer manages to get a hold of larger amounts of BTC needed. They are using external service for that AFAIK. The company itself does not manage the bitcoin purchases.

That's true. They're using the Finnish exchanger (Bittiraha) which also provides payment services for world's first Bitcoin-accepting dental clinic (MeidänKlinikka) as well as Finland's first Bitcoin-accepting restaurant (Vegemesta).

Re: Finnish HTML5 house SC5 pays salary and accepts payments as Bitcoins

#12

Post by Cthulhu_ »

iwwr wrote: post #8
ISL wrote: post #4

Good luck doing your taxes! Seriously. Is there any simple guidance on how to figure your income if paid in BTC?

They're still paid in EUR, just getting some of that converted to BTC. If selling the BTC later on makes them a profit, it becomes the responsibility of the employee to report any profits. The greater problem is how the employer manages to get a hold of larger amounts of BTC needed.

> The greater problem is how the employer manages to get a hold of larger amounts of BTC needed.

If I were the employer, I'd be wringing my hands; for all I know they could've gotten a small fortune in BTC when they were still cheap to generate / purchase, and since then the value of BTC has sixtupled (or more). So, pay their employees without having to spend real money. I'm probably not understanding BTC though.

Re: Finnish HTML5 house SC5 pays salary and accepts payments as Bitcoins

#13

Post by jerguismi »

brittohalloran wrote: post #10
jerguismi wrote: post #7

Earlier quoted context omitted.

Automatic dollar-averaged investment done by the company. I would like that service if I were a regular worker.

In the most volatile stock ever

And the best-performing asset for the last 2-3 years or so? Also pretty natural for high-tech IT company to allow this kind of thing.

Re: Finnish HTML5 house SC5 pays salary and accepts payments as Bitcoins

#14

Post by hatu »

Cthulhu_ wrote: post #12
iwwr wrote: post #8

Earlier quoted context omitted.

They're still paid in EUR, just getting some of that converted to BTC. If selling the BTC later on makes them a profit, it becomes the responsibility of the employee to report any profits. The greater problem is how the employer manages to get a hold of larger amounts of BTC needed.

> The greater problem is how the employer manages to get a hold of larger amounts of BTC needed. If I were the employer, I'd be wringing my hands; for all I know they could've gotten a small fortune in BTC when they were still cheap to generate / purchase, and since then the value of BTC has sixtupled (or more). So, pay their employees without having to spend real money. I'm probably not understanding BTC though.

I'm not sure how the taxes work but wouldn't it be kind of like buying shares as a company that made good profits. It's not free money in the eyes of the tax office.

Re: Finnish HTML5 house SC5 pays salary and accepts payments as Bitcoins

#15

Post by lukifer »

arethuza wrote: post #5
piokoch wrote: post #3

Earlier quoted context omitted.

Unless you don't need to pay taxes if you get your salary in bitcoins :)

If all it took to avoid income tax was to be paid in a different currency then I would assume someone would have noticed that by now. Personally, I find tax returns are bad enough without including multiple currencies! :-)

AFAIK, it's ambiguous if governments consider BitCoin to be currency. I thought that's why BTC theft is problematic: as far as the law is concerned, nothing of value was taken, and at best you'd have to prosecute under hacking laws, not theft.

(I'm a BitCoin noob, tell me if I'm wrong.) :)

Re: Finnish HTML5 house SC5 pays salary and accepts payments as Bitcoins

#17

Post by analog »

lukifer wrote: post #15
arethuza wrote: post #5

Earlier quoted context omitted.

If all it took to avoid income tax was to be paid in a different currency then I would assume someone would have noticed that by now. Personally, I find tax returns are bad enough without including multiple currencies! :-)

AFAIK, it's ambiguous if governments consider BitCoin to be currency. I thought that's why BTC theft is problematic: as far as the law is concerned, nothing of value was taken, and at best you'd have to prosecute under hacking laws, not theft. (I'm a BitCoin noob, tell me if I'm wrong.) :)

I'd be very surprised if that were true. BTC theft is problematic because the thieves don't get caught surely?

Re: Finnish HTML5 house SC5 pays salary and accepts payments as Bitcoins

#19

Post by Karunamon »

Yver wrote: post #6

That seems about as notable as being paid in Turkish lira or in watermelons. Anyone can take their salary in local currency and exchange it for something else. There's little incentive to lock part of your salary in a foreign(?) currency when they "use the daily exchange rate of the payday."

Turkish lira or watermelons aren't relevant to technology professionals.

Re: Finnish HTML5 house SC5 pays salary and accepts payments as Bitcoins

#20

Post by arethuza »

lukifer wrote: post #15
arethuza wrote: post #5

Earlier quoted context omitted.

If all it took to avoid income tax was to be paid in a different currency then I would assume someone would have noticed that by now. Personally, I find tax returns are bad enough without including multiple currencies! :-)

AFAIK, it's ambiguous if governments consider BitCoin to be currency. I thought that's why BTC theft is problematic: as far as the law is concerned, nothing of value was taken, and at best you'd have to prosecute under hacking laws, not theft. (I'm a BitCoin noob, tell me if I'm wrong.) :)

In the UK at least it doesn't matter if you are paid in a currency or not (i.e. "payment in kind") - you'll still have to pay tax on it.
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