3

If we say, hypothetically, the future has a society that runs solely on Bitcoin as its currency. Because of its anonymity how would tax and government revenue be enforced in this society? At this point, naturally, Bitcoin will no longer be considered a commodity but rather a currency. I know that this may be speculative but it must be on a lot of minds with regard to the future of Bitcoin.

Improve this question
5
  • Bitcoin is far less anonymous than cash is. How was tax and government revenue enforced in a cash society? By investigating people whose tax claims don't match reality.
    – Pieter Wuille
    Jan 10, 2017 at 18:11
  • A remarkable answer from John McAfee
    – Sven Williamson
    Jan 10, 2017 at 19:44
  • 3
    @SvenWilliamson: I don't think that John McAfee is right on that. Companies would still have contracts with employees. Governments would still be able to investigate income reports of companies and regular tax payers. Sure, it would become easier to evade taxes, but it seems phantasmal that taxes would disappear over night.
    – Murch ♦
    Jan 10, 2017 at 23:18
  • @Murch: yes I agree, civil servants and those working for companies which can be shutdown by governments will continue to pay taxes.
    – Sven Williamson
    Jan 11, 2017 at 7:25
  • I would lean more towards McAfee. Right now whatever transaction you make (save cash but cash becomes extremely inconvenient in large numbers) go through a third party i.e. bank. This essentially renders that record available to others which may be used for audits. Regardless of what account you use there will be a record of it somehow. With bitcoin and regular new addresses "Audits" may become extremely difficult to follow through...
    – Josh
    Jan 11, 2017 at 10:59

2 Answers 2

Reset to default
1

It is a PUBLIC LEDGER - anyone can follow an address trail, and the governments of the world already know how to do that - and that is why so many are looking to adopt Bitcoin and make their own digital currencies. See especially https://secure.caseyresearch.com/chain?cid=MKT336710&eid=MKT337276&encryptedSnaid=&snaid=&step=start

Improve this answer
0

Just read an article on an interesting proposal to tax bitcoin transactions via the blockchain. Sounds feasible -> https://cointelegraph.com/news/blockchain-for-taxation

Improve this answer

Your Answer

By clicking “Post Your Answer”, you agree to our terms of service and acknowledge that you have read and understand our privacy policy and code of conduct.

Not the answer you're looking for? Browse other questions tagged or ask your own question.