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RE: Taxation of Cryptocurrency - Do You Need To Declare?
The "Using Crypto For Personal Transactions" is interesting.
Basically you can use livingroomofsatoshi to pay all your bills with crypto profits and therefore avoid CGT.
I reckon the ATO will disagree with that when they finally done around to thinking about crypto, they'll try to treat any crypto disposal at significant profit as a CGT event.
IMHO.
Btw welcome to steemit. Good quality first post
Thank you! :) Yes, I saved the best for last :) ATO is still not 100% clear on the treatment of crypto as it has only recently become so popular in the current financial year, which will end on 30 June 2018. So by the time taxpayers start lodging their 2018 tax returns, it could be 2019 where we might start hearing some cases on the treatment of crypto currency.
The problem is that if the ATO decides to treat all crypto profits as income, it can open the door to people claiming losses as tax deductions, and since the market is highly speculative, the ATO wouldn't want to allow this. The same principle applies to small "hobby" business star ups and gambling gains.