Somewhat OT, but sorta relevant :Taxation of virtual assets

[Feinder]

Since many of us who play WitP do, or have played the on-line games, I thought this article was interesting. I haven't read thru it in it's entirety. But it certainly opens up an interesting can of worms.

Basically, they are looking at the eventuality of the IRS taxing transactions for on-line games.

I've always found this aspect of MMORPGs fascinating. The fact that virtual gold (in the MMORPG), has real world value. Many of us might scoff at spending real money on a "Sword of JFB Slaying". But buying items in MMORPGs (or gold or real estate or power-leveling a character) with real world money via PayPal or however, happens all the time.

http://news.com.com/2100-1043_3-6140298 ... &subj=news

-F-

[Terminus]

Can I get a +5 Whiner Slayer sword? In bright magenta, please?[:D]

[tsimmonds]

Sure, but then you'd have to fall on it.[;)]

[rtrapasso]

ORIGINAL: irrelevant

Sure, but then you'd have to fall on it.[;)]

ouch...

[Terminus]

Ba-dum-pum![:'(]

[Terminus]

ORIGINAL: irrelevant

Sure, but then you'd have to fall on it.[;)]

No, you're thinking of the +5 Spammer King Slayer...

[Feinder]

From the top page of Ebay, for “World of Warcraft” (most popular MMORPG on the international market right now).

Commonly for sale is:

2000 virtual gold for $12us + $2us for shipping.

2000 / 14 = a virtual “exchange rate” of 143ww to 1us.

From this mornings currency exchange rates…

1us = .75 Euros
1us = .5 Great Britain pounds.
1us = 1.15 Canadian dollars.
1us = 115 Japanese yen.
1us = 927 South Korean won.
1us = 11 Mexican pesos.

1us = 143 "World of Warcraft" gold.

Japan and S. Korean are certainly not 3rd world countries with run-away inflation. And yet, the gold in “World of Warcraft” trades at a very similar rate as the Japanese Yen.

Frankly, I find it fascinating. Evidently, somebody at the IRS thinks it’s fascinating as well.

-F-

[niceguy2005]

ORIGINAL: Terminus

Can I get a +5 Whiner Slayer sword? In bright magenta, please?[:D]

I want one that causes all whiners to instantly burst into flames, evil geniuses will be spaired of course.

[Terminus]

The Big Red Button Of Whiner Immolation, maybe?

[VSWG]

ORIGINAL: Feinder

2000 virtual gold for $12us + $2us for shipping.

Is this a joke? How do you ship virtual gold?! [&:]

Reminds me of the wireless network cable I wanted to sell on ebay...

[Terminus]

Yeah, I've got an invisible robot to sell you...

[VSWG]

But wait, there's more! [;)]

[rtrapasso]

ORIGINAL: VSWG

ORIGINAL: Feinder

2000 virtual gold for $12us + $2us for shipping.

Is this a joke? How do you ship virtual gold?! [&:]

by e-mail. The $2 is to cover the e-mail tax... [:'(]

[Feinder]

I have no idea what the $2 is for. I know in some MMORPGs, there are middle-man "companies" (guilds) that act pass the item(s) from the seller to the buyer once payment is made.

1. Seller gives item to trusted middle-man.
2. Buyer makes payment.
3. Middle-man gives items to buyer.

Otherwise, payment could be made, and seller never gives up item.

The $2 could well be a payment to the middle-man guild. I have no idea tho. I never bought anything in-game (altho Dave, did you know our idiot-brother Paul used to buy stuff in AC2?).

-F-

[siRkid]

The whole idea of taxing virtual property is crap. Its just another way for the government to put their hand in your pocket. I say if they can start taxing virtual money, then we should be able to pay in virtual money. Either that or I'll stop playing altogether. Why don't they tax Monopoly money? I mean there are probably millions of Monopoly players, why doesn’t the IRS monitor each game and make players pay a tax each time they make a transaction. The world is becoming a crazy place.

[siRkid]

Maybe its a move by our elected officials to make the gamming Lobby pay them bigger bribes.

[rtrapasso]

i can see it now:

IRS: "OK, you made this mod for WITP, and in it you gave the Japanese player two extra aircraft carriers. Now, adjusted from 1941 rates for inflation, we figure they would be worth about $350,000,000 dollars each, for a total of $700,000,000.00. We figure you owe a "gift tax" on $699,990,000.00. With past due penalties and interest from 1941, that is $198.2 billion real dollars. How would you like to arrange payment?" [X(] [:D]

[Terminus]

Argh! My mod is going to be unpayable!

[captskillet]

Im sure I would wind up in a Federal Pen somewhere but I think I would have to tell them to kiss my virtual a**! [:-] [;)]

[niceguy2005]

What I want to know is can I give the GF a virtual diamond ring and pay for it with virtual money. [:D]

I suspect I would get a very real @$$ whooping.[:D]