Crypto currency

Community Coin is a crypto currency designed for network communities, which features a mechanism of rewards based on the contribution and participation of community members.Tax incidences and stamp duty

Crypto currency is more powerful in future. it future as work as gold

Cryptocurrency is a currency and hence it is an asset. Therefore, cryptocurrency transactions are subject to tax like any other asset or currency. Cryptocurrency transaction may attract capital gain tax, income tax, transaction tax, and wealth tax. Even if cryptocurrency transaction is void and illegal, the tax law is empowered to charge taxes on such transactions. In March 2014, the Internal Revenue Service in the United States ruled that Bitcoin will be treated as property for tax purposes as opposed to currency. This means Bitcoin will be subject to capital gains tax. It makes the income generated through transaction using cryptocurrency taxable but it does not make income or transaction legal. Any illegal income equally attracts tax. Indian income tax and wealth tax definitions are wide and liberal when an income or asset is to be taxed, but the tax incidence does not give legality to that income or asset. The deal of cryptocurrency may be charged with transaction tax.

Cryptocurrency may be considered as medium of exchange, negotiable instrument, property, and subject of the contract. Depending upon the transaction and power of legislation to tax such transaction, tax incidences are pertinent for cryptocurrency. Some of the taxes that can be charged include income tax, gift tax, wealth tax, value-added tax, service tax, inheritance tax, transaction tax, capital gain tax, property tax, and many more.

Cryptocurrencies like Bitcoin have matured from being associated exclusively with techies and radicals to being considered by central banks as a technology to implement digital money. Cryptocurrencies exist only in digital form and can be transferred completely between digital addresses. This is both unlike conventional electronic money as understood by laypersons which acts as a debt claim on a deposit with a trusted financial institution such as a private bank and unlike conventional corporeal money which may be physically possessed. This means that any legal rights associated with holding cryptocurrencies must be different despite it being remaining open to interpretation. In this chapter, we look at the various treatments of money in the legal sense and discuss the risks associated with each by drawing on real life examples. We conclude that fraud through hacking could potentially pose a problem to widespread adoption of cryptocurrencies as the absence of recourse against a third party such as a bank concentrates risk in holders of cryptocurrencies. Users should thus exercise caution and understand the risks before investing in cryptocurrencies. This warning requires emphasis as many parties misapprehend the cryptography within