Tax Warning For Crypto Hobbyists
CRYPTO MYTH: “My Crypto is a hobby so I don’t have to pay tax”
- The ATO’s view is that crypto is personal use if it’s kept or used mainly to make purchases of items for personal use or consumption. You might hold a very small portfolio of Bitcoin, Ethereum, or whatever it is, and use that to buy clothes, music, and games. But not to buy, sell, trade, or invest.
- It is not a personal use asset where: Its intended use is to purchase income-producing investments; or
- You intend to keep it for a number of years with the intention of selling it at an opportune time based on favourable time. So, you basically make money off a sale of it.
Watch the full webinar, ‘Cryptocurrency Tax Masterclass’ at https://fb.watch/acHFQ4OHBc/https://youtu.be/IEO48ZYE75Y