Aussie Crypto Traders Expect Tax Crackdown Ahead of New Regulations

With Australia set to introduce new legislation that will empower authorities to monitor and regulate the activities of cryptocurrency traders, many analysts are anticipating that the country's bitcoin investors will face a crackdown from the the country’s tax office.

Australia to Expand Regulatory Domain Over Cryptocurrency Traders

Will Day, the ATO deputy commissioner, has stated that the extension of Australia's anti-money laundering and counter-terrorism financing rules will result in 'increased transparency' with regards to the operations of cryptocurrency traders. Cryptocurrency investors will face compulsory 100-point identification checks, with the ATO also planning to mobilize data-matching techniques in order to monitor the operations of traders under the new rules.

'The Anti-Money Laundering Counter-Terrorism Financing Act ensures that there is investor transparency through 'know your client' requirements. The increased transparency the law provides, combined with our data-matching techniques and a range of existing powers which address unexplained wealth, strengthen the ATO's ability to tax cryptocurrency profits.'

ATO to Partner With OECD Anti-Tax-Avoidance Chief

It has been reported that the chief of the OECD's global anti-tax-avoidance tax-force, commissioner Chris Jordan, will work closely with the ATO in monitoring the transnational flows of cryptocurrencies. Mr. Jordan will be tasked with discerning whether international virtual currencies may have tax implications, and may seek to foster joint operations involving the tax authorities of other nations.

Time Running Out for Crypto Tax Dodgers

Mr. Drum stated that 'The effectiveness of the ­anonymity of Bitcoin and other cryptocurrencies is starting to fade. These coming changes mean that people shouldn't ­assume they can hide forever behind blockchain technology, nor should they ­assume there are no tax consequences,' adding 'Many people think of cryptocurrency trading as similar to having a bet at the casino, or backing Winx at the races. But there are usually tax consequences ' and the stakes can be very high.'



At Bitcoin.com there's a bunch of free helpful services. For instance, have you seen our Tools page' You can even lookup the exchange rate for a transaction in the past. Or calculate the value of your current holdings. Or create a paper wallet. And much more.

The post Aussie Crypto Traders Expect Tax Crackdown Ahead of New Regulations appeared first on Bitcoin News.

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