The Australian Tax Office sends warnings to Australian Bitcoin investors about annual returns

The Australian Tax Office has sent warnings to Australians regarding their annual returns from Cryptos

The Australian Tax Office (ATO) warned The Australians declare their annual returns from virtual currencies. The main intention is to tighten regulations and improve tax collection from virtual currency-related activities. This is something similar to what other regulatory agencies are doing around the world.

Australia considers Bitcoins and virtual currencies as property rather than as currencies. It is important for tax payers to pay for their capital gains tax after selling virtual currencies to the market.

At the same time, taxpayers keep regular records of their transactions with the exact dates and amounts. Everything must be specified in Australian dollars, the purpose of the transaction and the parties involved in these transactions.

Exchanges of digital currency in the country it must be registered with local authorities, including the Australian Transaction Reports and Analysis Center. Moreover, those transactions that exceed $ 10,000 must be informed by the exchanges. Customers who use these exchanges must provide their personal information so that they can exchange and exchange virtual currencies.

A spokesman for ATO explained:

"Even if there is no specific label on the capital gains or income tax return to identify how many people have invested in cryptocurrency, this year we are still assessing deposit activity to determine any significant impact of criptovalute ".

Other countries like France they also made several decisions regarding taxpayers to cryptocurrency. Recently, the National Assembly of France decided to reject some friendly tax amendments aimed at reducing fees for the cryptographers.

In the United Kingdom, crypto holders can offset profits and reduce taxes. The information was released by the UK tax agency in a detailed explanation on December 19. Individuals who hold cryptocurrencies as an investment will have to pay the tax on capital gains when they sell their encrypted assets.