Tax Question CGT Calculation

funnysht on 17/03/2020 - 11:55
Last edited 17/03/2020 - 12:07

I posted last time i had to do a crypotocurrency adjustment, my tax accountant said he'll do it but after repeated emails, 2 weeks, nothing has been done.

So i figured i' just do it online but wanted to double check

I only bought the crypto in that same financial year.
I sold and made a profit (subtract costs of sell/buy) of $2145 so i put this as current year capital gains
Total capital gains: I had $70 of profit which i didnt sell so i placed (2145+70=2215) as the net capital gains.

Plz see attached the screenshot i got.

My main concern is whether they will both count $2145 and $2215 as the income tax (not just the 2145)?

thanks

https://files.ozbargain.com.au/upload/143535/78044/a.png

Financial

Comments

  • jimdotpud on 17/03/2020 - 12:57
    +1

    I don't understand the $70 profit. If you didn't sell it, then it isn't subject to CGT. if this relates to the remaining crypto you hold going up by another $70 in total, this is an unrealised gain. you don't report it until you realise it (ie. sell).

    For argument sake:
    if you bought it for $4000
    Sold it $6200
    incurred selling/buying costs of $55
    then:
    6200 - 55 - 4000 = 2145

    if this is the only asset you have sold and you aren't allowed to claim any CGT discount (i'm assuming no as you stated you bought and sold in the same financial year ), or deduct a prior year's loss, then your capital gain is 2145, put this same figure in both H and A.

    • funnysht on 17/03/2020 - 13:01

      yep exacatly that's what i mean.

      in addition i had $70 in crypot which i didnt sell so just still in my account.

      i was worried that since 2145 and 2215 came up and the way they listed it, it looked like they were going to count both 2145 and 2215 in calculating income tax..but i assume it's just the way they list it on the ammendment page..

      • jimdotpud on 17/03/2020 - 13:06
        +3

        if you didn't sell the crypto then there's no capital gain to report, your asset has just increased in value. when you sell it, then you put it in that years tax return

  • brad1-8tsi on 17/03/2020 - 13:12

    They only want to know your realised gains and losses. If you have a paper profit (you haven't sold / cashed in) that doesn't need to be included.

  • brad1-8tsi on 17/03/2020 - 13:12

    edit: double post

  • Seraphin7 on 17/03/2020 - 14:05

    In short, you simply need to report the $2,145 as a capital gain. The $70 is not relevant as the gain has not been realised.

  • Ocker on 17/03/2020 - 16:22

    I do believe there are two classifications of punters - passive holders or those that have been deemed as traders, viz carrying on trading as a business. In this case a portfolio is marked-to-market and the capital loss/gain declared, whether realised or not.

Login or Join to leave a comment
Login Join