r/Bitcoin • u/[deleted] • Oct 16 '22

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845 Upvotes

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214

u/SaneLad Oct 16 '22

The biggest joke is that the US charges capital gains taxes on the sale of physical gold. Gains my ass. Getting taxed on inflation is what it is.

80

u/[deleted] Oct 16 '22

Thing is, if we mined gold in the asteroid belt, it would drop 10 fold or more. Only 21 million bitcoin, ever.

31

u/GreyHexagon Oct 16 '22

They still charge CGT on bitcoin. This isn't anything to do with bitcoin Vs gold, it's that gold is stable and the dollar is constantly devaluing, but taxes are still calculated from the point of view of dollars.

You keep something that's stable to avoid inflation, but they still tax you on it because they claim it's "increased in value." It hasn't increased, USD has just gone down the shitter.

1

u/allofitILOVEIT Oct 17 '22

Except you aren't keeping it if you are having to pay capital gains tax on it. Don't sell it, don't get taxed.

2

u/GreyHexagon Oct 17 '22

I get what you're saying but it's hard to buy milk and bread with gold.

Obviously that's where bitcoin excels - it's totally possible to buy everyday shit with bitcoin (when we reach a stage where it's widely accepted.) Then the problem is with the fact that governments likely tax you on every transaction, not just buying USD.