Hi,
I bought a token (LEND) in 2017 and recently the company migrated to AAVE. I migrated my tokens in October 2020. I am wondering if I cashed out now would I have to pay the full capital gains tax or do I pay half since I bought the original coin over a year ago.
Hi @cngo1,
If you purchased the token in 2017 and the company changed names then it would be seen as still being the original token. If you transferred to a new company in Oct 2020, then this date would be looked at as a CGT event taking place.
When you sell/dispose or transfer a digital asset, this is deemed a transaction which may result in you needing to report a capital gain or loss. If this is the case you will report your total capital gain at the TOTAL capital gain label. Thereafter if the asset was held 12mnths+ you can apply the 50% discount. The new figure will be reported at the NET capital gain label. This is also the label we look at when applying marginal tax rates.
Please use the links for further assistance.
Links-
Tax treatment of cryptocurrency.
Working out your capital gain or loss.
Capital gains tax event.
All the best.
Hi @cngo1,
If you purchased the token in 2017 and the company changed names then it would be seen as still being the original token. If you transferred to a new company in Oct 2020, then this date would be looked at as a CGT event taking place.
When you sell/dispose or transfer a digital asset, this is deemed a transaction which may result in you needing to report a capital gain or loss. If this is the case you will report your total capital gain at the TOTAL capital gain label. Thereafter if the asset was held 12mnths+ you can apply the 50% discount. The new figure will be reported at the NET capital gain label. This is also the label we look at when applying marginal tax rates.
Please use the links for further assistance.
Links-
Tax treatment of cryptocurrency.
Working out your capital gain or loss.
Capital gains tax event.
All the best.
15 Apr 2026 · 8 min read time
4 Dec 2023 · 9 min read time
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