The Congressional Joint Economic Committee — a group of taxmen, economists and autocrats — have admitted that tax law has fallen "way behind" the march of MMOG progress and are now seriously looking into the issue of taxing virtual assets and incomes.

There's a good argument to be made for taxing virtual economies, of course. Second Life has over $500,000 dollars worth of in-game transactions a day, mostly in furry prostitution. Fair enough to tax virtual economies when it's possible to cash-in and cash-out of your virtual holdings.

But I'm going to tell you this: the second the Murky, Omnipresent Man cuts VAT off the top of the Helm of Fire I just bought off the Undercity Auction House is the day I motherfucking snap. Imagine a dozen law offers lying in pulsing, quivering wrecks of mutilated flesh at my feat as I stare at the sun and laugh and laugh and laugh. And when the Feds bullets tear through my flesh, turning my internal organs into slurry, my last words will be "Is that the best you pansies can do?" before the inferno-like hate dims from my eyes and my grip loosens on the throat of Dan MIller, senior economist for the JEC. Florian Eckhardt

US Congress launches probe into virtual economies [Reuters]

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