SARS wants to track and tax Bitcoin trades

hj007 said:
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.
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Ignorance? I think those are the minority, rather than the majority.
People are actively advocating not placing any funds you cash out, in your bank account, but rather an overseas card account of some form, which they think SARS has no sight on. That's outright tax evasion. Even in this thread as well as the Bitcoin thread, the sentiment is very clear.
 
hj007 said:
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.
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So they can see I hold a few BTC in a wallet or on an exchange - what would they send me a tax notice for? Merely owning BTC? As with any asset (if that's what they consider it to be), there is no tax implication until you sell it so I would imagine their main aim would be to track both purchases for goods, and withdrawals to cash with crypto which are relatively easy to do without needing to track every address and crypto transaction.
 
Bunch of fcking bloodsuckers. Sars nor this government deserve a cent from my btc trades. Up your fat a$s SARS.
 
Adrianax said:
Tax evasion.
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So they're concerned that people will start paying each other for goods and services in BTC to avoid tax? This might be a valid concern, and they would be able to track this easily if people just stayed in BTC and used the same addresses, but in practice it will not be that easy to track anyone with a modicum of sophistication. I'm not endorsing tax evasion at all, nor trying to give advice, just saying that it will not necessarily be as easy as they seem to assume. You can create new addresses on the fly, change into other cryptos, convert on far flung exchanges, use blenders, etc etc.

And what happens if a user gets hacked or loses their wallet? How do you even begin to prove this?
 
So how would tax work on crypto you mined? Do you get to offset the hardware input costs?
 
The_Librarian said:
this govt want to tax everything.

they'll start to tax breathing, eating, fapping, sitting on the loo, etc etc.... :rolleyes:
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They're already doing that.
Breathing -> If you're breating you're alive, if you're alive you're being taxed in one way or the other
Eating -> No need to point out how much tax we're paying on food (and government f**ups relating to food)
fapping -> You're gonna want to fap indoors, say hello to municipal taxes
Sitting on the loo -> Wanna flush? Have fun paying for water and taxes etc. on it.
 
EtienneK said:
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.
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Right - Law is the law:
As if they pay tax stealing power cables and selling. Not paying water/elect at all.
Your Zuma's Nkandla and over 780 counts of fraud/corruption. E-toll
Pay your tax -
 
morkhans said:
So how would tax work on crypto you mined? Do you get to offset the hardware input costs?
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Yes, those are costs directly related to being able to produce the income. I hope you've kept records of electricity costs as well.

At least this is what I'll be trying come tax season next year
 
So...hypothetically, will a VPN server help avoid this, BC wallets to BC wallets? :D
 
Hasie6 said:
Right - Law is the law:
As if they pay tax stealing power cables and selling. Not paying water/elect at all.
Your Zuma's Nkandla and over 780 counts of fraud/corruption. E-toll
Pay your tax -
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Live the example you want others to live by. Just because there are crooks out there does not mean it is right for you to do the same.
 
Money that gets transferred from an exchange like Luno into your bank account is easily traceable.
 
EtienneK said:
Live the example you want others to live by. Just because there are crooks out there does not mean it is right for you to do the same.
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Good. Tax is theft, and if no one pays it even better. :D
 
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