ATO targets cryptocurrency activity in Annual Tax Returns
The ATO has confirmed they are targeting Australian cryptocurrency traders to ensure that all profits are declared in personal income tax returns.
Bitcoin and other cryptocurrencies are considered property, not currency, by the Australian Taxation Office and therefore are deemed to be capital assets for the purpose of capital gains tax legislation.
GMD Advisory remind clients to ensure all cryptocurrency sales are declared and provided to their tax advisors to ensure correct reporting to the Australian Taxation Office.
Errors relating to income from cryptocurrencies & the sharing economy are among the most common tax return errors.