An interview with a Norwegian tax official has brought to light an interesting statement on the digital currency we all know as bitcoin.
Hans Christian Holte, director general of taxation in Norway, said in an interview that “Bitcoins don’t fall under the usual definition of money or currency.”
“We’ve done some assessments on what’s the right and sound way to handle this in the tax system.”
So if bitcoin isn’t to be defined as a currency, what will it be defined as? The answer is an asset, making it subject to capital gains assessments by the tax authorities in the country.
It’s another reminder that bitcoin is struggling around the world to fit the image of a currency as we know it, but with immense volatility and 3-digit fluctuations happening all-too-frequently, it’s going to be a tough road. (via Bloomberg)