Crypto Tax Update — Australia 2025

Key Highlights

Tax Time: The financial year ended 30 June 2025 — all crypto gains, losses, and income must be reported in your return.
ATO Data Blitz: Since 2019, the ATO has collected detailed exchange records to identify underreporting and non-compliance.

How the ATO Tracks Crypto

Exchange Reporting – Australian exchanges must provide user data (name, DOB, wallet addresses, linked bank accounts, transaction histories).
Data-Matching – Cross-checked with AUSTRAC reports, bank data, and ATO tax returns. Algorithms flag mismatches.
Global Sharing – From 2026, the OECD’s Crypto-Asset Reporting Framework (CARF) will enable international data exchange.
Blockchain Analytics – The ATO uses forensic tools to trace wallets, stablecoins, NFTs, and DeFi activity.

Investor vs Trader

Investor – Crypto is a CGT asset. Capital gains or losses apply; a 50% CGT discount is available if held >12 months.
Trader – Frequent or business-like activity is taxed as ordinary income; no CGT discount applies.

When Crypto Is Taxable (and When It’s Not)

Taxable events:

Staking, mining, airdrops, DeFi rewards (assessed at market value when received).
Selling for AUD, swapping into another token, gifting crypto, or spending it on goods/services.

Not taxable:

Reporting Tips

Keep Records: Note dates, AUD values, wallet addresses, transaction types, and fees.
Use Tools: Platforms like Koinly, CryptoTaxCalculator, CoinTracker simplify reporting and reduce errors.

Suggested Actions for 2025

Review all crypto transactions before lodging.
Confirm your correct status: Investor or Trader.
Use tax software to prepare ATO-ready reports.
Seek tailored professional advice if you trade frequently, use DeFi/NFTs, or hold large portfolios.

WIS-AU has an experienced team of tax advisors and we welcome you to contact us for tailored tax planning advice for individuals or businesses.

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