Income tax, right--but may not this be correct about excise taxes? MacN On Thu, 24 Aug 1995, Michael Froomkin wrote:
On Wed, 23 Aug 1995, Alan Penny wrote: [snip]>
This also has the interesting feature of avoiding all taxes. Until you "cash out" your account you would not have to pay taxes, if you never need cash out your account, you never need to pay taxes. I suspect that our friendly governments would try to "correct" this "problem" in the long run if they can.
Nyet. Any time you barter A for B, even electronically, you have a taxable event. All you have done in the above is describe a system in which it is harder to detect the taxable event.
A. Michael Froomkin | +1 (305) 284-4285; +1 (305) 284-6506 (fax) Associate Professor of Law | mfroomki@umiami.ir.miami.edu U. Miami School of Law | P.O. Box 248087 | It's hot here. And humid. Coral Gables, FL 33124 USA | See (experimentally & erratically) http://viper.law.miami.edu/~mfroomki