Mundo Bitcoin: Why I think the IRS will have problems enforcing bitcoin taxation

By Victor Hernández

FAIR WARNING: I'm not an accountant, nor a lawyer, nor a tax professional. What you are about to read is my opinion and should not be considered tax advice no legal advice. These are just my personal observations.

The IRS established today that for tax purposes digital currencies are not currencies, but property.

Thus, transactions, payments, purchases and capital gains from bitcoin will be taxed by the IRS.

Too bad they won't be able to enforce the taxation. At least not entirely. Here's why: