Bitcoin accepted
Welcome to Bitcoin it’s the world’s new currency.
Bitcoin is the first decentralised digital currency – it is the largest of its type.
Since February 2015, over 100,000 merchants and vendors have accepted Bitcoin as payment. Instead of a 2–3% fee typically imposed by credit card processors, merchants accepting Bitcoins often pay fees of 0% to less than 2% of the total purchase.
However, how do we account for it? It is considered best practice to convert to government currency as soon as possible.
In terms of tax, it can give rise to capital gains events and we advise small businesses to consult their nearest TaxAssist Accountant for guidance in this complex area, as accurate records will need to be kept.
In August 2015, Barclays announced that they would become the first UK high street bank to start accepting Bitcoin, with a plan to facilitate users to make charitable donations using the cryptocurrency outside their systems.
Some predict that in time it will be the leading currency.
For more information and how this may affect you, call in and visit one of our accountants along the East Coast.
Last updated: 21st March 2017