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RE: Crypto Investing Basics - Bitcoin and Tax in Australia (Part One)
Fantastic article. Are there different implications (or undocumented implications) for using something like a debit card that debits a crypto-portfolio? (Otherwise, safe way, only spend 50% of your cashed out gains, lest the monster of CGT come out) :P
Hey @holoz0r
Thanks for the support. I put a lot of work into this one so its nice to be getting some positive feedback. Ill be honest and say Im not sure in relation to the debit crypto card question. My assessment of the LROS piece could also be wrong. I am going to speak with my accountant about it with week. The next article is going to talk about consistency in the way you approach your calculations/record keeping. There isn't any detailed guidance around things like LROS/debit cards because they are so new that they never had to be dealt with before. The tech is moving so fast that the regulations wont keep up anyway. The best you can do is take a "reasonable" approach to how you account for it, and apply the same approach consistently. I think if you can demonstrate that you tried to be reasonable and didn't try to dodgy anything then that should keep you out of trouble.
These are wise words though. The worst case scenario is to get stung with a big CGT bill and not have the assets to pay it. You wouldn't be the first person to be bankrupted by a tax debt!