Bitcoin Bill Pay Company Living Room of Satoshi Resumes Operations

Journalist:
December 16, 2014

Australian Bitcoin startup Living Room of Satoshi has resumed operations following their closure in October. Using the Living Room of Satoshi website, Australians can use bitcoin to pay any bills that utilize BPAY, an Australian electronic payment system. According to the company, the service caught on quickly; the Living Room of Satoshi processed more than $250,000 in bills from its launch in May until its closure.

Also read: UK Treasury Seeking Regulation Advice From Bitcoin Community

Bitcoin Company Living Room of Satoshi Resumes Operations

The Living Room of Satoshi was forced to close its doors after the Australian Taxation Office ruled that bitcoin was subject to the 10% Goods and Services Tax (GST) both when they purchase bitcoin from an exchange and when they spend the funds. Co-founder Daniel Alexiuc said that although Australia has yet to amend the legal interpretation that leads to the double sales tax on bitcoin transactions, the industry has evolved to accommodate the ruling. Consequently, the Living Room of Satoshi was able to resume operations.

The GST ruling has not changed, but the resourceful bitcoin industry has…There are now many more options for small Australian businesses like ours to buy and sell bitcoins internationally and locally in compliance with the tax ruling, which has allowed us to reopen for business.

Using the Living Room of Satoshi website, Australians can pay a wide variety of bills using bitcoin.

However, Alexiuc still believes the double GST ruling is disastrous for the cryptocurrency community.

We still firmly believe that the double GST needs to be repealed for bitcoin to be ultimately useful as a currency in Australia, but for now we can continue operating as before.

As a result, the Living Room of Satoshi continues to support the “No Double GST for Bitcoin” movement, a coalition of bitcoin businesses–some physically located in Australia and others who have Australian customers–who oppose the ATO ruling.

What do you think of the Living Room of Satoshi reopening? Do you agree that the double GST is crippling for bitcoin’s uses as a currency? Comment below!

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Images from Living Room of Satoshi and Shutterstock

Josiah Wilmoth @Y3llowb1ackbird

Josiah is the US Editor at CCN, where he focuses on financial markets. He has written over 2,000 articles since joining CCN in 2014. His work has also been featured on ZeroHedge, Yahoo Finance, and Investing.com. He lives in rural Virginia. Follow him on Twitter @y3llowb1ackbird or email him directly at josiah.wilmoth(at)ccn.com.