Finland Classifies Bitcoin as VAT-Exempt Financial Service
Finnish regulators have classified bitcoin as a financial service, thus granting it VAT-exempt status. The Finnish Central Board of Taxes (CBT) judged bitcoin to be a financial service in ruling 034/2014, which states that bitcoin purchases qualify as "banking services" under the EU Value Added Tax (VAT) Directive. The ruling was issued after a court classified bitcoin as a payment instrument and sets Finland's approach to the cryptocurrency apart from most European jurisdictions, which generally treat bitcoin as a commodity. However, the nation is not completely alone in taking this....
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The nation of Finland has ruled that Bitcoin services will be exempt of Value Added Tax. While many in the Bitcoin community dread the thought of regulation and taxes, the fact is that if Bitcoin is ever going to become mainstream, both might become a necessary evil in some countries. But of outmost importance is the question of how those regulations and taxes are or will be applied. Countries around the world have been struggling with exactly how to address virtual currencies and the nations of the European Union are no exception. But now the Scandinavian nation of Finland ruled that....
Bitcoin transactions are exempt from value-added-tax (VAT) in Spain, says Spanish tax lawyer Alejandro Gómez, The General Directorate of Taxes, a subsidiary of the Spanish taxing authorities, made the statement in a response to a request from Gómez. According to Gómez, the consultation found that Bitcoin payments were a form of financial service and thus exempt from VAT under the Council Directive 2006/112/EC of 28 November 2006. A translated version of the consultation concludes, "Therefore, we can conclude from the Granton Advertisingjudgment, that of the concept "other negotiable....
Finland has sold 1,889 bitcoins seized in narcotic cases for 46.5 million euros ($47.4 million). The country’s finance minister previously said that the bitcoin sale proceeds will go to Ukraine for humanitarian aid and reconstruction as its war with Russia continues. Finland Sells Bitcoin Seized From Narcotic Offenses Finnish Customs (aka Tulli), the customs service of the government of Finland, announced Thursday that it has sold “legally forfeited” bitcoins. “During the summer, Finnish Customs has realized its cryptocurrencies that had been legally forfeited....
Digital currency lobby group the Chamber of Digital Commerce receives approval from the Internal Revenue Service as a tax-exempt non-profit organization. On September 30, the Chamber of Digital Commerce announced it had received recognition from the U.S tax authority the IRS as a tax-exempt non-profit organization under the IRS Code Section 501 (c)(6) that classifies business leagues, chambers of commerce, real estate boards, boards of trade, and professional football leagues, which are not organized for profit, from paying taxes. In a press release, the Digital Chamber's President and....
The General Directorate of Taxes (DGT), has considered that Bitcoin and other digital currencies will be classified as financial services. Consequently, transactions with Bitcoin are considered exempt from VAT under the Council Directive 2006/112/EC of 28 November 2006 on the common system of Value added Tax approved by the Spanish government. The Spanish DGT concludes that Bitcoin is closely linked to payment instruments, which allows the transfer of money and, as such, this kind of transactions will be VAT exempt. The consultation ends stating that virtual currencies, such as Bitcoin,....