Originally Posted by L-Pink

Unless you are a US citizen that doesn't want to commit tax fraud ….

To be IRS compliant with a bitcoin transaction you would have to state the value of the bitcoin when acquired, the value when sold, pay tax on the appreciation.

In a bitcoin transaction almost every transaction will be for a different amount value wise than the bitcoin was acquired for. This variance on a first in/first out value basis will need to be accounted for to be IRS compliant.

For a US citizen to comply with bookkeeping requirements on a small transaction would be a major waste of time.

I'm not saying bitcoins are a bad investment, some have made a killing, I'm saying using them for minor everyday transactions isn't the same as spending a dollar bill.


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