Australian Tax Watchdog reminds crypto holders to pay up! Australian Tax watchdog reminds crypto holders in Australia that they have tax obligations and should pay them. News.com.AU first reported on the upcoming campaign today.
The ATO had published its guidance framework on the taxation on cryptocurrencies and defining crypto-assets as taxable forms of property in 2019.
In the coming two months, ATO expects to contact “as many as 350,000 individuals who have traded in cryptocurrency in the last few years.”
By email or letter, the office will reportedly be writing to all those it knows have held cryptocurrency, regardless of whether or not they have sold or traded them over the past financial year. The reason for these communiques? To remind them of their tax obligations and the records that they should be keeping.
Taxpayers will also be reminded to peruse their 2017-2018 financial year records to ensure that they have reported the correct capital gains on all trading activity.
It’s rumored that the ATO estimates that up to a million people in Australia have had some form of contact with crypto trading. The ATO continues to aggressively pursue tax avoidance and give taxpayers an opportunity to rectify debts due. Similarly, the United States Internal Revenue Service does the same. Privacy objections against this use of crypto exchange customer data have failed in American courts thus far.
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