wry Posted July 26, 2019 #1 Posted July 26, 2019 Well it looks like Libra has really woken up the bear that is US regulatory agencies. Today reports started emerging about "educational" letters being sent to 10,000 US taxpayers "educating" them about their responsibilities to pay taxes on their crypto holdings. This just seems a little heavy handed to me, sort of like a fishing expedition, like, "Hey, let's send out 10,000 vaguely threatening letters and see if we can scrounge up some more money!" Anyway, for those of you with friends in the so called, "land of the free", tell them to look out and be careful! Link: https://www.coindesk.com/irs-says-it-is-sending-warning-letters-to-us-cryptocurrency-owners Update! Link to reddit post:
jamesbond Posted July 26, 2019 #2 Posted July 26, 2019 Also yesterday US Govt fines FB with $5 Billion for privacy case and now Govt will earn $5B because FB shared users' privacy. US Govt should give these $5 Billion to all the users who suffered their privacy lose, why govt should earn this massive amount due to loss of others. https://www.forbes.com/sites/mnunez/2019/07/24/ftcs-unprecedented-slap-fines-facebook-5-billion-forces-new-privacy-controls/#8e3c3af5668a
barbaris Posted July 26, 2019 #3 Posted July 26, 2019 There’s a lot of noise because of Libra. Facebook can ruin the whole crypto industry with its stupid coin. Or is it done on purpose to crush competitors and be the only allowed coin in the country.
BLXN Posted July 26, 2019 #4 Posted July 26, 2019 2 hours ago, jamesbond said: Also yesterday US Govt fines FB with $5 Billion for privacy case and now Govt will earn $5B because FB shared users' privacy. US Govt should give these $5 Billion to all the users who suffered their privacy lose, why govt should earn this massive amount due to loss of others. https://www.forbes.com/sites/mnunez/2019/07/24/ftcs-unprecedented-slap-fines-facebook-5-billion-forces-new-privacy-controls/#8e3c3af5668a well, that just tells you who owns the rights to those people's privacy... the government owns everything you do, america. sorry. y'all is slaves.
CntryBoy Posted July 26, 2019 #5 Posted July 26, 2019 3 hours ago, wry said: This just seems a little heavy handed to me, sort of like a fishing expedition, like, "Hey, let's send out 10,000 vaguely threatening letters and see if we can scrounge up some more money!" This is exactly what this sounds like to me as well. It will be interesting to see what comes of this and what exactly the letters entail.
peel1 Posted July 26, 2019 #6 Posted July 26, 2019 O shit it really is hitting the fan (KYC is a bad idea lol) wonder how they know you have crypto. is it only exchanges or what? Also 6173 seems scary af lol
williamshennie9 Posted July 27, 2019 #7 Posted July 27, 2019 I guess they should have opened their eyes two years ago when everyone started talking about crypto and realised, let's tell people now so that we don't have everyone owning bitcoin in the future where we don't have clear policies on them.
polor12 Posted July 27, 2019 #8 Posted July 27, 2019 This is just a ploy. The IRS cannot prove those people have crypto.. and second there is no file that relates any digital currency again I repeat no paper works in filing digital currency.. foreign and domestic currency yes there are files for those gambling or prize winnings there are files for those as well..but for digital currency all of a sudden need files for those.. come on.. is intangibles. . They can't based wealth in digital currency.. and for those putting crypto as a type of funds for their living expenses .. where does anonymous part do people don't understand...
wry Posted July 27, 2019 Author #9 Posted July 27, 2019 9 hours ago, polor12 said: This is just a ploy. The IRS cannot prove those people have crypto.. and second there is no file that relates any digital currency again I repeat no paper works in filing digital currency.. foreign and domestic currency yes there are files for those gambling or prize winnings there are files for those as well..but for digital currency all of a sudden need files for those.. come on.. is intangibles. . They can't based wealth in digital currency.. and for those putting crypto as a type of funds for their living expenses .. where does anonymous part do people don't understand... While the IRS cannot know if US citizens own crytpo, they can subpoena exchanges and get lists of their clients and then send them letters. Coinbase had to turn over trading information for a lot of its users between 2014 and 2015 awhile back. That could be a source of the list the IRS used to send out the letters. I do know that Coinbase fought the subpoena and so only turned over those who had traded 20K USD or more, but they could have gone back for other sources or hit other exchanges.
nattekut Posted July 27, 2019 #10 Posted July 27, 2019 lots of people were thrilled about the libra announcement but in my opinion it will only cause damage to the crypto industry. As far as I am concerned threy could shoot libra in to the ass of zuckenberg
nuuuitsjdragon Posted July 27, 2019 #11 Posted July 27, 2019 That is crazy... I hope all hell doesn’t break loose with the IRS now being involved in this. But then again, I hope those affected don’t get scared and decide to just give up Crypto altogether! Damn if they aren’t just making use of the law to demand ridiculous taxes...
skywallkee Posted July 28, 2019 #12 Posted July 28, 2019 This thing is more of a way the country will know who does and who doesn't own cryptos and charge them or even arrest them for not declaring their income. If one of those 10.000 will do something like notifying the state about their holdings, then they'll be doomed by taxes and fees and bad things. It is known that countries do want to gain more control over people and gaining control over cryptos can be one of those ways. Right now they can't do much, but as it is done in India, countries can simply ban cryptos and punish with years of jail for holding any, but they also launched a crypto on their own and encourage people using it so that they can have total control on their ownings. It is not fair at all and I don't think that there will be a winner with this thing, not the cryptos for sure, but nor the countries will benefit from fighting against crypto and crypto holders.
Enzo Posted July 28, 2019 #13 Posted July 28, 2019 Ok...That's very fucked. I might have some trouble coming my way I haven't received a letter yet but this could be bad. I had heard about this but never went to the trouble of reading into it. Glad I read this topic so I can at least be prepared for something like that to come. I'm actually not %100 sure if I had any crypto transactions that I didn't report. I guess all my selling on LBC could be the only issue. Hmmm.
wry Posted July 28, 2019 Author #14 Posted July 28, 2019 13 hours ago, Enzo said: I guess all my selling on LBC could be the only issue. Hmmm. As I understand it, LBC is most a peer to peer matchmaking so unless they actually track your trades you would be safe from them turning over your data. Now the IRS would still claim you owed taxes on your trades, but there is no way they would know about them, so while they might suspect you they probably couldn't prove it. Also no report that LBC had gotten hit but if you didn't turn over your dox to them I think you are mostly safe. Apparently one version of the letter does include a statement for you to swear that you are in compliance and then return to them. I guess the thinking is that then they can get people for perjury as well. They are supposed to be done sending out letters by the end of August. So awhile yet for this to unfold.
Kate Posted August 2, 2019 #15 Posted August 2, 2019 So taxing we all know this term and hate it a lot because it takes out most of our income away and if you own a business you might end up paying taxes with your profits so bitcoin cannot be taxed you all might think right ? Well nope according to this thread on the forum it seems like 10000 people were given tax letters for their bitcoins and they are somehow aware that they use bitcoins lol. So there are three parts of the letters and each part has a role of its own . Seems like i guess bitcoin wont be a good way to get around the tax barrier after all. After all this time thinking bitcoin being tax free its not. Article or Thread : https://bitcointalk.org/index.php?topic=5169310.0
tae40127 Posted August 2, 2019 #16 Posted August 2, 2019 i thike it the responsibilities that need to pay it like a if someone are useing your space in your area to make a profit what would you do in your mind , you will collect them a fees for using right. nothing free in the world include the air that you breath so it should be paid i think , tax are using for develop the country although the truth is not but a little think possitive that when you go old you will receive that if you will die by nature you will have time to use that tax the thing that you had paid. but If my country collect me i will act like broke and i have no income 555 and i dont know it before what is bitcoin smt like that
blueprints Posted August 12, 2019 #17 Posted August 12, 2019 oh yeah i read about this! Alot of us peoples lives are going bad because not only have they not paid taxes on their earnings from bitcoin but have also already suffered a lot of losses due to bitcoin droping in price. They cant afford to pay taxes but the IRS is setting dates for them being paid. sucks for them idk what their gonan do but i think i heard of some people contemplating suicide.
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