EU Court Rules Against VAT for Bitcoin Exchanges
The European Union's Court of Justice Advocate reached a decision today on the validity of value-added taxation for Bitcoin trading. After careful consideration of arguments from Estonia, Germany, Sweden, and members of the European Bitcoin industry including David Hedqvist, the court decided that the acquisition of Bitcoin was not a taxable event in the eyes of the VAT. Also read: European Union to Rule on Bitcoin VAT Today. While there is currently no English translation of the ruling, the Google translate edition does it enough justice to decipher the reasoning behind it. The conversion....
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A recent legal referral in the EU may be inching the region a little closer to more unity on one small element of bitcoin taxation, but it won't do much to help global confusion on the matter. In June, Sweden asked Europe's highest court, the European Court of Justice (ECJ), whether cryptocurrency exchanges are liable for value-added tax on the fees that they charge for their services. The result could have far-reaching implications for tax in the region. In Europe, there is a directive on VAT that explains how it should be levied. EU directives are powerful documents, designed as....