Australia officially ends double Bitcoin taxation

Australian parliament passes bill to officially remove double taxation of cryptocurrency
20 October 2017   966

From next year, Australians will no longer have to pay goods and services tax on cryptocurrency purchases.

Thus, this week, both houses of the Australian Parliament passed a Treasury Laws Amendment (2017 Measures No. 6) Bill 2017, that is to eliminate the double taxation of digital currency. The bill now awaits Royal Assent by Australia’s Governor-General, at which time it will become an Act of Parliament.

As detailed, the bill will amend Australia’s tax system, ensuring that digital currency transactions are not subject to two instances of goods and services tax. Previously, Australian users were subject to taxation on both the purchase of digital currency and the use of digital currency for goods and services subject to GST.

The amendments provide that supplies and acquisitions of digital currency are generally disregarded for the purposes of GST. Consistent with supplies of money, supplies of digital currency are only recognized for the purposes of GST if the supply is made in exchange for money or digital currency.
 

The bill’s accompanying explanatory memorandum

Basically, in Australia, digital currency is to receive the same tax treatment as foreign currency in order to "decrease reporting burden on businesses that use digital currency".

HashFlare Users to Face Withdrawal Issues

Looks like Bitcoin cloud mining is not super profitable
18 July 2018   117

Users of HashFlare mining pool can't withdraw their funds, while their contracts are threatened with a temporary ban. Even lower restrictions on withdrawal of funds in the amount of 0.03 BTC caused problems for users, but the service raised the threshold to 0.05 BTC and 0.1 ETH . This is reported by Cryptovest.

In addition, financial pyramids are often promoted under the guise of mining contracts for cloud mining. For last few months, there was a big jump in mining difficulty of many cryptocurrencies, so, old contacts had become unprofitable.

As reported, the reason for the locked funds dates back further - at the beginning of June, so much hashing power was flowing into the Bitcoin network that contracts saw all the mined coins go toward their maintenance fee.

Currently, more and more users who have purchased contracts at earlier stages are facing the fact that they can not withdraw their funds. One of them managed to return the money spent through the bank card operator after filing a corresponding complaint.

To anybody that purchased a Hashflare cloud mining contract with a credit card, it might be possible to get a refund with that credit card as one of my followers tipped me. He bought his contracts at the end of 2017.
 

bccponzi at Twitter

The hash rate of bitcoin increased from 13 EHash / s at the beginning of the year to more than 40 EHash / s in recent months. The difficulty of mining in the present conditions depends on the circumstances of the specific miner. The cost of bitcoin mining for some of them is $ 4,400, while others spend about $ 5,800. However, in 2018, cloudy mining is called an even more dubious occupation than before, especially when it comes to mining bitcoin.