Australian Tax Agency Tackles Cryptocurrency Traders In Exchange Data Push
Australia’s tax agency, the Australian Tax Office (ATO), will seek to personally contact cryptocurrency traders about tax matters as part of a new data collection program, officials confirmed in a statement. April 30.
The ATO, which works in conjunction with the Australian Securities and Investment Commission (ASIC) and the Australian Transaction Reports and Analysis Center (AUSTRAC), said it would require information on the operations of local cryptocurrency exchanges. .
This data will then be used to contact the traders involved, who will have a minimum of 28 days to explain their operations with regard to the capital gains tax declaration.
“The ATO is also working in a joint international effort under the Joint Chiefs of Global Tax Enforcement (J5), aimed at investigating cryptocurrency-related tax evasion and money laundering,” commented the ATO deputy commissioner Will Day in the statement.
The move underscores the ongoing battle Australian authorities are trying to wage to keep the national cryptocurrency industry in check.
As Cointelegraph reported, controversial tax policies have taken various forms over the years, while ASIC has hinted that it will increase trade controls again in September 2018.
According to Day, however, the latest efforts are in favor of traders and aimed at helping them manage their tax obligations.
âWe want to help taxpayers get it right and make sure they pay the right amount of tax,â he added.
The ATO appears to keep only vague figures on the number of active traders under its jurisdiction, the number ranging between 500,000 and 1 million.
Last month, AUSTRAC closed two exchanges in support of the crackdown on drug trafficking.