To whom it may concern,
I have been living in Australia for the last few years on a student visa as an Australian temporaty resident, and I have been investing in crypto during this time. I have a few questions:
I've got a bit confused after two calls to the ATO, where I got different answers. The reference number for one of the calls is [removed by moderator]. Can you help clear things up for me?
Q number 1: Capital Gains Tax on Assets when Leaving Australia:
In one call, I was told I don't need to sell or pay taxes on my capital gains when leaving Australia but should pay when I sell the assets. For example, if I bought Bitcoin for $1,000 and it's worth $2,000 when I leave, my profit on paper is $1,000. I understand I report this on the day I leave but pay taxes only when I sell. Is that right? If the Bitcoin is worth $4,000 when I sell, do I pay tax to the ATO only on the initial $1,000 profit and the rest to my new country?
Q number 2: 50% Discount on Capital Gains Tax for Holding Assets Over 12 Months:
I know about the 50% discount for holding assets for more than 12 months. But what if I hold them in Australia for over 12 months, leave, and then sell them? Do I still get the 50% discount for the time I held them while being a resident? It seems odd that I'd get the discount if I sell one day before leaving but not if I keep the same assets in Australia.
I'd appreciate your help in making sense of this. If you could also refer to the call with the reference number mentioned above, that would be great.
Thanks,
Guy
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