--- title: "Cryptocurrency trading is subject to tax: New ATO data-matching program" description: The ATO has recently issued a reminder that capital gains tax does apply to crypto-asset gains or losses. image: https://insights.wlm.com.au/hubfs/Cryptocurrency%201200px.jpg --- [![WLM_Logo_RGB_Orn50](https://insights.wlm.com.au/hs-fs/hubfs/WLM_Logo_RGB_Orn50.png?width=521&height=169&name=WLM_Logo_RGB_Orn50.png "WLM_Logo_RGB_Orn50")](http://wlm.com.au/) - [About](https://www.wlm.com.au/about/) - [Services](https://www.wlm.com.au/services/) - [Tax & Compliance](https://www.wlm.com.au/services/tax-and-compliance/) - [Strategy & Advice](https://www.wlm.com.au/services/strategy-and-advice/) - [Clients](https://www.wlm.com.au/clients/) - [Construction & Trades](https://www.wlm.com.au/clients/construction/) - [Family Business](https://www.wlm.com.au/clients/family-business/) - [Insurance & Financial Services](https://www.wlm.com.au/clients/insurance-and-financial-services/) - [Renewable Energy & Environment](https://www.wlm.com.au/clients/renewable-energy-and-environment/) - [Service-based & Other Business](https://www.wlm.com.au/clients/service-based-and-other-business/) - [Insights & Case Studies](https://insights.wlm.com.au/blog) - [Blog](https://insights.wlm.com.au/blog) - [Buying a property with a business partner](https://explore.wlm.com.au/buying_a_property_with_a_business_partner_download) - [How to minimise tax & risk with business structure](https://explore.wlm.com.au/business-structure-whitepaper-download) - [Contact](https://www.wlm.com.au/contact/) [Login](https://clientlogin-us2.karbonhq.com/4Frhz6cPZq6r) - [About](https://www.wlm.com.au/about/) - [Services](https://www.wlm.com.au/services/) - [Tax & Compliance](https://www.wlm.com.au/services/tax-and-compliance/) - [Strategy & Advice](https://www.wlm.com.au/services/strategy-and-advice/) - [Clients](https://www.wlm.com.au/clients/) - [Construction & Trades](https://www.wlm.com.au/clients/construction/) - [Family Business](https://www.wlm.com.au/clients/family-business/) - [Insurance & Financial Services](https://www.wlm.com.au/clients/insurance-and-financial-services/) - [Renewable Energy & Environment](https://www.wlm.com.au/clients/renewable-energy-and-environment/) - [Service-based & Other Business](https://www.wlm.com.au/clients/service-based-and-other-business/) - [Insights & Case Studies](https://insights.wlm.com.au/blog) - [Blog](https://insights.wlm.com.au/blog) - [Buying a property with a business partner](https://explore.wlm.com.au/buying_a_property_with_a_business_partner_download) - [How to minimise tax & risk with business structure](https://explore.wlm.com.au/business-structure-whitepaper-download) - [Contact](https://www.wlm.com.au/contact/) # News, views and more ![Amanda Rogers](https://insights.wlm.com.au/blog/Amanda%20Rogers) **Amanda Rogers** 20 August 2021 — 1 min read ### Share [mailto:?subject=Cryptocurrency%20trading%20is%20subject%20to%20tax:%20New%20ATO%20data-matching%20program&body=https://insights.wlm.com.au/blog/cryptocurrency-trading-is-subject-to-tax-new-ato-data-matching-program](mailto:?subject=Cryptocurrency%20trading%20is%20subject%20to%20tax:%20New%20ATO%20data-matching%20program&body=https://insights.wlm.com.au/blog/cryptocurrency-trading-is-subject-to-tax-new-ato-data-matching-program) [mailto:?subject=Cryptocurrency%20trading%20is%20subject%20to%20tax:%20New%20ATO%20data-matching%20program&body=https://insights.wlm.com.au/blog/cryptocurrency-trading-is-subject-to-tax-new-ato-data-matching-program](mailto:?subject=Cryptocurrency%20trading%20is%20subject%20to%20tax:%20New%20ATO%20data-matching%20program&body=https://insights.wlm.com.au/blog/cryptocurrency-trading-is-subject-to-tax-new-ato-data-matching-program) ![](https://insights.wlm.com.au/hubfs/Cryptocurrency%201200px.jpg) ## Cryptocurrency trading is subject to tax: New ATO data-matching program The ATO has recently issued a reminder that capital gains tax does apply to crypto-asset gains or losses. Over 600,000 Australian taxpayers have invested in crypto-assets in recent years. The ATO has recently issued a reminder that although many people may believe that gains made through cryptocurrency trading are tax-free, or only taxable when the holdings are cashed back into “real” Australian dollars, this is not the case – capital gains tax (CGT) does apply to crypto-asset gains or losses. While it may appear that cryptocurrencies operate in an anonymous digital world, the ATO does closely track where these assets interact with the “real” financial world through data from banks, financial institutions and cryptocurrency online exchanges, following the money back to the taxpayer. This year the ATO will write to around 100,000 people with cryptocurrency assets explaining their tax obligations and urging them to review their previously lodged returns. It also expects to prompt 300,000 taxpayers to report their cryptocurrency capital gains or losses as they lodge their 2021 tax returns. Alongside these communications, the ATO is beginning a new data-matching program focused on crypto-asset transactions. It will acquire account identification and transaction data from cryptocurrency designated service providers for the 2021 financial year through to the 2023 financial year inclusively. The ATO estimates that the records relating to approximately 400,000 to 600,000 individuals will be obtained each financial year. ### WLM can help [If you'd like help](https://www.wlm.com.au/) with understanding your obligations or any further information on Cryptocurrency, [please contact us today.](https://www.wlm.com.au/contact/) *The material and contents provided in this publication are informative in nature only.  It is not intended to be advice and you should not act specifically on the basis of this information alone.  If expert assistance is required, professional advice should be obtained.* [![New call-to-action](https://hubspot-no-cache-ap1-prod.s3.amazonaws.com/cta/default/6037207/e520877a-d8f2-4174-849c-3565a233feff.png)](https://hubspot-cta-redirect-ap1-prod.s3.amazonaws.com/cta/redirect/6037207/e520877a-d8f2-4174-849c-3565a233feff) ##### Make a comment [Previous](https://insights.wlm.com.au/blog/how-increasing-inflation-is-eroding-the-value-of-your-cash) [Next](https://insights.wlm.com.au/blog/active-portfolio-management-is-transforming-risk-management) ## Wealth matters. 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