Australia’s government refused to tax cryptocurrencies

The capital gains tax will still apply to digital assets held in investment portfolios

24.06.2022 - 16:35

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What’s new? The Australian government has officially confirmed that cryptocurrencies will not be subject to the tax procedures applicable to foreign currency transactions. Treasurer Jim Chalmers said that the government is seeking to legitimize existing tax arrangements. According to him, crypto assets will no longer be classified as foreign money and will not be taxed, News.com reported.

Information on News.com

What are the prospects? The capital gains tax will still apply to cryptocurrency assets held in investment portfolios. The new rules will apply to assets that have been held since July 1, 2021. According to the Department of the Treasury, this “gives certainty and clarity at a time of volatility for crypto currencies.”

In April, the Australian retail chain On The Run (OTR) announced the possibility of accepting cryptocurrencies as payment. OTR's parent company Peregine Corporation will also accept cryptocurrencies at its Subway, Oporto and Smokemart stores.

In November 2021, Australia's largest bank, Commonwealth Bank, announced plans to offer cryptocurrency services. The list includes buying, selling and holding assets such as bitcoin, Ethereum, Chainlink, Aave and Litecoin.

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