How will taxes work for merchants using this? I want to ask because I don't want new businesses mad at me for accepting Bitcoin. đ #Asknostr
Discussion
Ive been using it for 6 weeks now and the sales tax is all taken care of - employees treat it like any other. I added a coinos address for employees tips that i put on our tip jar so emplyeees wonât want to avoid accepting BTC nostr:nevent1qqszggwlx85hhf7t4e27r0nc7dnl3ma2j56zcum74a63s83cxvs7slcpz3mhxue69uhhyetvv9ujuerpd46hxtnfducgmg50
Well that's interesting. So does accepting Bitcoin as payment tax you twice, as in you receive Bitcoin and sell Bitcoin or does converting automatically protect you from getting taxed twice?
The BTC transaction is tracked by square as income in US dollars and will be reported to IRS on end of year tax statement for income tax payment. But there is no conversion to fiat in the transaction so no tax there since the payment goes directly into my wallet as Bitcoin. If it grows Iâd need to pay tax on the increase as normal income if I sell it in the year I got it, or cap gains if held longer than a year which is what I plan to do đ¤
That sounds good, I'm going to try to orange pill merchants using square in my area then.
Did you have to manually apply to accept Bitcoin or was it just automatic?
Square has to âturn it onâ then it shows up under âcash and other optionsâ screen - I heard they might be âTurning it onâ nationally in Nov 10 so het your favorite merchants on the BTC !!