Realise Loss for Low Value Alt Coins on Exchange

impoze on 03/05/2021 - 14:24

Hi all

I have a few alt coins on some exchanges from a few years ago and I want to realise the loss but I don't have enough to do a trade as they are less than the minimum.

Can I just write these off?

Thanks

Financial Cryptocurrency

Comments

  • Hybroid on 03/05/2021 - 14:25

    Leave them, or offload them to an offline hardware wallet, and stick a reminder in 3 years time to check on them.

    • impoze on 05/05/2021 - 09:49

      i want to sell them to realise the loss and offset the tax on some gains

      • Hybroid on 05/05/2021 - 12:42

        How much are you realistically going to save on tax? Is it worth it? Could be better off leaving them to mature. Plenty people that spent 12 bitcoin on a pizza back in the day are kicking themselves right now.

        • tajid on 05/05/2021 - 16:11

          Bitcoin and no value Alts are different though.
          Saying that at some point, I was down 90% on my XRP, ETH and ETC. I'm now up on them.
          OP's Alt could have been more random though.

          • impoze on 05/05/2021 - 17:21

            @tajid: yeah, some of thees alts are long gone.

            wanting to cash out some profit so realising the loss on some of these alts will offset the CGT

  • deme on 03/05/2021 - 14:26
    +1

    No

  • Jimothy Wongingtons on 03/05/2021 - 14:28

    If you're on binance you have the option to trade small balances to BNB

    • Tech5 on 03/05/2021 - 14:36
      +1

      And keep in mind the altcoin—>BNB transaction will realise that loss

      • Jimothy Wongingtons on 03/05/2021 - 14:50

        Thats what he wants

        • Tech5 on 03/05/2021 - 14:53

          Just making sure OP knows they don't have to then convert BNB to Aud to realise it.

          • Jimothy Wongingtons on 03/05/2021 - 14:55
            +1

            @Tech5: Good point. Every transaction is cgt event.

            Fiat to crypto
            Crypto to crypto
            Crypto to fiat

            • Stopback on 03/05/2021 - 15:16

              @Jimothy Wongingtons: if you hold an asset for longer than 12 months then you only have to pay tax on the below % of any capital gains you make from that asset once you deduct any capital losses.

              • netjock on 03/05/2021 - 16:56

                @Stopback: Even after discount it is still a CGT event.

                • impoze on 03/05/2021 - 19:51

                  @netjock: yeah I'm trying to realise the loss to offset some gains.

                  I'll check out trading to BNB

  • SF3 on 03/05/2021 - 14:54
    +1

    Can I just write these off?

    What did your tax agent/accountant say?

    • JimmyF on 03/05/2021 - 15:09
      +1

      I'm too busy, ask ozbargain instead!

      • SF3 on 03/05/2021 - 15:42

        OzB #1 place for armchair advice :)

    • iamherenow on 03/05/2021 - 15:33
      +1

      He said if you always consult me with questions you can figure the answer out in other ways, you will be poor and I will be rich.

  • JimmyF on 03/05/2021 - 15:09
    +3

    Can I just write these off?

    Well depends on what you mean by writing them off.

    If you mean can you just ignore them and not worry about the loss. Sure you can do that…..

    If you mean can you take a TAX write off for the loss, then no. As you technically still own them.

    You need to dispose of them first to take the loss on TAX.

    • impoze on 03/05/2021 - 19:51

      cool, that's what I thought

  • [Deactivated] on 03/05/2021 - 19:32

    some sh*t coins you can no longer sell as well, so they will be stuck forever

  • idjces on 04/05/2021 - 12:00

    I wonder if you can donate them, Or burn them (send to a 0x0000.. address), to qualify for the tax write off

    • Jimothy Wongingtons on 04/05/2021 - 13:04

      Claim loss or stolen..have to prove it though in event of audit.

  • tajid on 05/05/2021 - 11:39

    I read somewhere before if you send it to unknown address, you've technically disposed it off at $0.

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