| Disclaimer You cannot rely on this record in your tax affairs. It is not binding and provides you with no protection (including from any underpaid tax, penalty or interest). In addition, this record is not an authority for the purposes of establishing a reasonably arguable position for you to apply to your own circumstances. For more information on the status of edited versions of private advice and reasons we publish them, see PS LA 2008/4. |
Edited version of private advice
Authorisation Number: 1052314366833
Date of advice: 8 October 2024
Ruling
Subject: Cryptocurrency
Question
Is your use of cryptocurrency in the 2024 income year, considered a personal use asset?
Answer
Yes.
This ruling applies for the following period:
Year ended 30 June 20XX
The scheme commenced on:
1 July 20XX
Relevant facts and circumstances
You are an Australian resident for income tax purposes.
You hold a Kraken account.
Person A used your Kraken account to purchase product from overseas.
Person A placed Australian dollars into the Kraken account to purchase bitcoin, and immediately used the bitcoin to pay someone overseas for personal goods.
The Kraken account has not been used to trade or invest in cryptocurrency.
You have not earned any interest income in the Kraken account.
You provided a Statement of Account, covering the period XX XX 20XX to XX XX 20XX.
The transactions that cover the 20XX income year, show several deposits with concurrent/instant withdrawals of the bitcoin.
Relevant legislative provisions
Income Tax Assessment Act 1997 section 6-5
Income Tax Assessment Act 1997 section 6-10
Income Tax Assessment Act 1997 subsection 108-5(1)
Copyright notice
© Australian Taxation Office for the Commonwealth of Australia
You are free to copy, adapt, modify, transmit and distribute material on this website as you wish (but not in any way that suggests the ATO or the Commonwealth endorses you or any of your services or products).
