SARS wants to track and tax Bitcoin trades

[Newsfeed]

SARS wants to track and tax Bitcoin trades

 

[Ho3n3r]

This is gonna end well.

 

[ISP cash cow]

Yeah good luck on that SARS

 

[Adrianax]

If you are on an exchange, you are f**ed!

 

[PhireSide]

Oink oink

 

[K3NS31]

Didn't bother to read because aren't they missing the whole point? Bitcoin was made to be untrackable. That's the main reason it exists.

 

[The_Librarian]

this govt want to tax everything.

they'll start to tax breathing, eating, fapping, sitting on the loo, etc etc....

 

[Adrianax]

Didn't bother to read because aren't they missing the whole point? Bitcoin was made to be untrackable. That's the main reason it exists.

From what I know, they are first going to target exchanges to get personal information and wallet ID's. From here they will be approaching a couple of services that keep track of hundreds of billions of BC transactions. Using your information, they can instantaneously identify all your transactions whether you cash out or not.

Best way to overcome this, sign up for a new account at blockchain.info using an alias. Do not link this to any exchange or make payments to or from your current account, which is linked to an exchange. Then, let your old account die a slow and painful death.

 

[SilverCode]

Didn't bother to read because aren't they missing the whole point? Bitcoin was made to be untrackable. That's the main reason it exists.

Bitcoin was made to be decentralised. It is HIGHLY trackable.

 

[MrGray]

Didn't bother to read because aren't they missing the whole point? Bitcoin was made to be untrackable. That's the main reason it exists.

It's easily trackable, actually. The blockchain is a matter of public record.

But it's not possible to identify who belongs to the addresses unless, of course, they have access to the exchange's records. So in theory, they can track what goes into and out of an exchange as well as between bank accounts and exchanges, assuming they will eventually co-erce the exchanges into providing that info, but outside of the exchanges it's another story.

 

[Archer]

Didn't bother to read because aren't they missing the whole point? Bitcoin was made to be untrackable. That's the main reason it exists.

Explain to me how a fully open book blockchain that keeps its ledger public forever is untraceable?

 

[Arthur]

Didn't bother to read because aren't they missing the whole point? Bitcoin was made to be untrackable. That's the main reason it exists.

Suggest you read up a little on software. It can do anything. Anything.

 

[Vrotappel]

Easy. If you trade through an exchange it's easy for tax authorities to get info.

CbC reporting and automatic exchange of information between revenue authorities.

 

[K3NS31]

Bitcoin was made to be decentralised. It is HIGHLY trackable.

Ah, ok got it. Decentralised but trackable.

 

[EtienneK]

Is MyBroadband now in the business of Tax avoidance? Nice.

The law is the law. If you make money on your Bitcoins, you must pay Tax. End of story.

I am sure SARS have already started integrating with Luno and the likes to see exactly what you are trading and when.

 

[Tman*]

Is MyBroadband now in the business of Tax avoidance? Nice.

The law is the law. If you make money on your Bitcoins, you must pay Tax. End of story.

I am sure SARS have already started integrating with Luno and the likes to see exactly what you are trading and when.

Tax avoidance is 100% legal.

Tax evasion is not.

 

[hj007]

I don't see the problem. You'd be paying tax on profits from Crypto trading anyway, Luno should in fact be providing this information so you can submit it to the tax authorities just like any other bank/stock broker.

The only issue is tax evasion, and SARS seems to think there will be quite a bit at this stage. They're probably right, although I'm guessing it's likely ignorance, as opposed to malicious. For those people, SARS will get your information easily, public blockchain all easily available, then build up info on wallets using exchanges and send a tax notice.

 

[MrGray]

Using your information, they can instantaneously identify all your transactions whether you cash out or not.

But what would be the point for SARS of identifying transactions that are not "cashing out"? As I understand it, the liability is only incurred when you convert to FIAT, either by withdrawing to a back account from an exchange or purchasing something with crypto. Why would they care where I transfer it or what I do with it in the interim?

 

[2024]

Is MyBroadband now in the business of Tax avoidance? Nice.

The law is the law. If you make money on your Bitcoins, you must pay Tax. End of story.

I am sure SARS have already started integrating with Luno and the likes to see exactly what you are trading and when.

Yip, we all come here to get MASSIVE advice on how to dodge taxes.

The name itself comes from the cryptic meaning in the words, abroad - meaning far away
and band, meaning to create a ring around. The core principles of keeping your money within the ring, and far far away from from the tax man.

 

[Adrianax]

But what would be the point for SARS of identifying transactions that are not "cashing out"? As I understand it, the liability is only incurred when you convert to FIAT, either by withdrawing to a back account from an exchange or purchasing something with crypto. Why would they care where I transfer it or what I do with it in the interim?

Tax evasion.