What is Bitfinex
Bitfinex is an international digital currency exchange that first launched in 2012. Bitfinex is a world class exchange platform that offers a variety of trading products.
The benefits of using Bitfinex for Australian investors are:
- access to margin trading and derivatives products
- advanced algorithmic order types
- lending features
Bitfinex has the following tax reports:
- Bitfinex tax CSV
Syla + Bitfinex integration
✅ CSV file import
Do you have to pay tax on cryptocurrency?
Ever since the ATO first introduced taxation guidelines for crypto back in 2014 it’s been clear that crypto is taxable. You can also read the most up to date ATO guidelines on crypto.
For most individuals, your crypto will be subject to capital gains tax. This means you must calculate the gain or loss on every transaction and declare the resulting capital gains.
The ATO has advised that Australian taxpayers must keep the following records:
- receipts when you buy, transfer or dispose of crypto assets
- a record of the date of each transaction
- a record of what the transaction is for and who the other party is (this can just be their crypto asset address)
- exchange records
- a record of the value of the crypto asset in Australian dollars at the time of each transaction
How is crypto taxed on Bitfinex
The type and amount of tax paid can vary depending on the transaction, asset type and your tax settings. Here’s just some of the transaction types that can occur on Bitfinex, all with different possible tax outcomes.
Example tax treatment:
- ordinary income - commission, chainsplits and airdrops
- deduction / capitalisation - brokerage fees and withdrawal fees
- ordinary income / loss - futures and derivatives
All events involving cryptocurrency assets may result in acquisitions or disposals of a CGT asset.
As we all know, crypto tax is complicated, which is why most tax professionals recommend using crypto tax software to automate the tax calculations for you. That way you won’t make mistakes that could trigger an ATO audit.
If you want to know more about the different tax treatments, you can find detailed information in our ultimate crypto tax guide.
CSV file import - how to get tax statement from Bitfinex
There is one important Bitfinex tax CSV file that you need to download to get your transaction history from Bitfinex:
- Ledgers CSV
Follow these instructions to download your transaction history from Bitfinex:
- login to Bitfinex
- in the top right corner, hover over your profile icon and select Reports
- in the left side of the navbar, click on the date
- from the dropdown, select Custom
- enter a Start Date that is earlier than your first transaction
- enter the current date for the End Date
- click Confirm
- in the top navbar, click Export
- in the Data to Export, select Ledgers
- change the Date Format to YYYY-MM-DD
- click Export
- check your email for the exports
- you will need to unzip the folder to get the CSV file
How to do Bitfinex taxes
Our Australian financial year starts on the 1 July and ends on the 30 June each year. You can prepare and lodge your tax return any time after the 30 June.
You have until the 31 October to lodge your individual tax return, or you can get an extended lodgement deadline till 15 May when lodging through a registered tax agent.
There are three ways you can complete your cryptocurrency tax return
- do it yourself by hand in a spreadsheet 😭
- provide your transaction statements to your tax agent / accountant
- use crypto tax software to automate the calculations and optimise for lower tax.
If you decide to do it yourself by hand, then you will need to be very careful to track the individual cost base of each crypto asset, and calculate the capital gain or loss on each disposal. This might be okay if you only have a handful of transactions. 👍
Otherwise, you can use Syla to do your Bitfinex crypto tax calculations and tax optimisation. You can also provide the final Crypto Tax Report you create in Syla to your tax agent, or you can use the report yourself to lodge your own tax return.
Important tips for Bitfinex taxes and minimising your tax bill
Follow these tips for common gotchya’s that will save you time and lead to better tax outcomes.
- Export your entire transaction history - Capital gains tax calculations depend on trades that occurred in prior years. For this reason, it’s really important that you export your entire transaction history on Bitfinex (not just the current financial year).
Syla’s smart tax logic for Bitfinex
You’ll find some really smart logic in Syla that is going to make doing your crypto taxes on Bitfinex quick and easy.
Smart logic means that transactions are correctly classified for you automatically and all possible costs are claimed. That’s great, because you’ll have certainty in your tax and avoid paying more tax than you are legally required to.
Here’s just some of smart logic that has been specifically implemented for Bitfinex that you’ll find in Syla’s crypto tax calculator:
- classifications for derivatives and margin trading
- detection of delisted cryptocurrency
- detection of chainsplits including ETHW
- detection of airdrops
- classification of affiliate rebates
- claim fees related to margin trading and derivatives trading
- smart aggregation of orders that executed multiple trades
- claim deposit fees
Pay the lowest crypto tax and save the hassle of doing crypto tax yourself
It's very difficult to calculate all the tax outcomes correctly for your crypto by hand unless you're a tax professional.
If you are using a tax accountant, then you probably don’t want them doing it by hand either, as it's going to take a long time and cost a lot.
That’s why using cryptocurrency tax software can save you a lot of time that you’d rather spend doing something else. 😊
Syla is the only crypto tax software designed specifically and only for Australia. Syla not only calculates all your tax outcomes to ensure you are compliant to the ATO, but it also optimises your tax to ensure you pay the lowest crypto tax legally possible, saving you both time and money.
- Syla is built specifically for Australian taxpayers
- Syla’s tax logic is optimised by Australian tax lawyers to legally minimise tax
- Syla’s Crypto Tax Reports are recognised by Australian tax professionals as being ATO compliant
You can get started in Syla for free.
FAQ
Does Bitfinex have tax statements?
Yes, Bitfinex has 1 tax CSV transaction statements (Ledgers CSV) that you can download. This file is important for completing your crypto tax calculations and record keeping.
How do I get Bitfinex tax statements?
You can easily login and download your tax CSV statements. Once you have your tax statements, you can use crypto tax software to import your data and calculate your tax. Syla is a crypto tax software specifically designed for Australian taxpayers.
Do I have to pay taxes on Bitfinex?
Yes, Australian taxpayers are legally required to declare income from their worldwide income sources. The ATO has been providing crypto tax guidance since 2014. You’ll be facing an audit and penalties from the ATO if you don’t declare your crypto gains.
