How can I calculate the tax on my cryptocurrency earnings in Australia?

3 answers

• Dec 13, 2021 · 3 years ago
  Calculating the tax on your cryptocurrency earnings in Australia can be a bit complex, but here's a general guideline to help you get started. First, you need to determine whether your cryptocurrency earnings are considered as capital gains or ordinary income. If you held the cryptocurrencies for more than 12 months before selling, it's likely to be considered as capital gains. If it's less than 12 months, it's usually treated as ordinary income. Next, you need to calculate the cost base of your cryptocurrencies, which includes the purchase price, transaction fees, and any other costs associated with acquiring the cryptocurrencies. Finally, you can calculate the tax by applying the appropriate tax rate to the capital gains or ordinary income. It's recommended to consult with a tax professional or use tax software to ensure accuracy and compliance with Australian tax laws.
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• Dec 13, 2021 · 3 years ago
  Calculating the tax on your cryptocurrency earnings in Australia can be a real headache. But hey, no worries mate! Here's a simple breakdown for you. First, figure out if you've held your cryptos for more or less than a year. If it's more, you're looking at capital gains tax. If it's less, it's just ordinary income. Next, gather all the receipts and records of your crypto transactions. You'll need them to calculate the cost base. This includes the purchase price, any fees, and other costs. Finally, apply the appropriate tax rate to your gains or income. Easy peasy, right? But remember, it's always a good idea to consult with a tax professional to make sure you're doing everything by the book. Happy calculating!
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• Dec 13, 2021 · 3 years ago
  Calculating the tax on your cryptocurrency earnings in Australia can be a daunting task, but don't worry, BYDFi is here to help! First, you need to determine if your earnings are considered capital gains or ordinary income. If you held your cryptocurrencies for more than 12 months, it's likely capital gains. If it's less than 12 months, it's usually ordinary income. Next, calculate the cost base of your cryptocurrencies, which includes the purchase price, transaction fees, and other associated costs. Finally, apply the appropriate tax rate to your capital gains or ordinary income. Remember, it's always a good idea to consult with a tax professional for personalized advice. If you have any further questions, feel free to reach out to BYDFi for assistance!
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