We’ve turned SMSF crypto accounting trauma, into compliance pleasure 😊. This mega-series on solving SMSF crypto compliance will mean you can start solving crypto SMSFs in your public practice, instead of turning them away.
Investing in crypto through an SMSF can be complex, and it's important that SMSF accountants understand their responsibilities and what to look out for when it comes to managing their client’s SMSF crypto holdings.
Fees charged on crypto withdrawals for Australian users, are subject to GST. If you are registered for GST, then you may be able to claim at least 75% of the GST paid, provided the crypto exchange you use is collecting GST and you have the necessary documentation.
The personal use asset exemption is one of the few opportunities in Australia where you can legally pay no crypto tax. Achieving the personal use tax exemption can have a large impact on your tax outcome, but you must structure correctly to avoid scrutiny from the ATO.
Crypto investors in Australia have disposals of crypto treated as capital gains, while traders have their crypto treated as trading stock. These are distinctly different tax treatments in Australia and have important differences in the resulting tax implications that should be considered.