Cryptocurrency in Australia will be taxed as an asset class, not as foriegn currency. This means that all investments into Cryptocurrency, are tax deductable.
“This is the first time Crypto has been accepted on a budget and it symbolizes the widespread acceptance that Crypto is definitely a component of the future financial system,” said Jonathon Miller, head of US cryptocurrency exchange Kraken.
Unfortuneately, The Central Bank Digital Currency (CBDC), will remain with Crypto being labelled as a foreign currency.
To claim tax profits though, all transactions must be made through a centralized exchange.
Before Australia continues to pass regulations, it plans to understand the market more with ‘token mapping’. This scheme was promoted and paid for by the labour government. The budget gifted was the first one gifted since new elections ended in May.
