The ATO are watching the rise in crypto currency trading and have issued a warning to taxpayers that there can be tax consequences. Although the reporting of this type of trading is limited, we have seen an instance where a transaction was caught by the ATO and appeared on their annual pre-filling report. If you have sold crypto currency for a profit, you may be up for capital gains tax when you prepare your tax return. If you have made a loss, this amount can be carried forward to offset any future gains.
Bitcoin is not the only crypto currency. Here are the names of some real ‘coins’:
We are not encouraging crypto currency trading – we just find this interesting.