Cryptocurrency Set To Go Under The Microscope Come Tax Time

The ATO is knocking!

Article heading image for Cryptocurrency Set To Go Under The Microscope Come Tax Time

Cryptocurrency is set to go under the microscope come tax time, after the ATO raised concerns regarding gains being tax-tree.

Around 300,000 Aussie with crypto assets will be asked to declare any gains or losses when we our lodge returns in a few months.

The ATO is warning crypto and NFT millionaires that gains must have tax paid on it and shattered rumours that gains are only taxable when holdings are cashed back into AUD.

ATO Assistant Commissioner Tim Loh said they are alarmed due to the fact some taxpayers believe the anonymity of crypto allows them to ignore their tax obligations. 

“While it appears cryptocurrency operates in an anonymous digital world, we closely track where it interacts with the real world through data from banks, financial institutions, and cryptocurrency online exchanges to follow the money back to the taxpayer," he said.

The ATO is expecting to prompt taxpayers to report their cryptocurrency captain gains or losses in their 2021 tax return. 

Catch up on the latest headlines on The National Briefing. Available on Listnr.

Amber Lowther

28 May 2021

Article by:

Amber Lowther

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