The Australian Taxation Office (ATO) is ramping up audit activities and targeting taxpayers that have under declared their income from cryptocurrency investments.
The ATO data analysis shows a dramatic increase in crypto trading since the beginning of 2020. It is estimated that there are over 600,000 taxpayers that have invested in crypto-assets in recent years..
This year the ATO is writing to about 100,000 taxpayers with cryptocurrency assets explaining their tax obligations and urging them to review their previously lodged returns. Last year the ATO directly contacted 100,000 taxpayers that traded in cryptocurrency and prompted 140,000 taxpayers at lodgement.
The ATO was alarmed that some taxpayers think that the anonymity of cryptocurrencies provides a licence to ignore their tax obligations.
“We are alarmed that some taxpayers think that the anonymity of cryptocurrencies provides a licence to ignore their tax obligations.”
Every year we are seeing more Eze clients whom have invested in cryptocurrencies.
As a result we have partnered with Crypto Tax Calculator to make the recording of your investments and transactions in cryptocurrencies across multiple wallets eze. The software supports the unique ATO reporting requirements, including Australian specific rules around personal-use, mining, staking, and airdrops. It also supports the trading stock rules that apply to traders.
The platform performs tax calculations with a high degree of accuracy. It carefully considers complex tax scenarios such as DeFi loans, DEX transactions, gas fees, leveraged trading and staking rewards.
The software supports all major Australian and international exchanges such as Binance, CoinSpot, and Swyftx. You can sync over 500 wallets and exchanges.
Directly Upload transaction history
“The setup of my CryptoTax account was so eze”
The platform allows for the direct upload of your transaction history via CSV or a direct API integration into over 500 supported exchanges, blockchains and wallets. It has has in built artificial intelligence and an algorithm to automatically code transactions that are uploaded onto the platform.