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KesssAv(Newbie)Newbie
11 July 2024

I was a day trader on the Australian based company Plus500. The account on the Plus500 is registered under my name.


I was trading during financial year 2020-2021 and 2021-22 Aim was to make a profit Unfortunately, I've not managed to keep all trades profitable and ended with a total loss of $8000, i.e 3k in year 2020-21 and 5k in year 2021-22,,


and i used to make around 60k per yer from my other job during that time.


Am I allowed to report this loss against our personal income? If yes ,, i did already did tax return of those year so will i be able to amend those returns??



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1,276 views
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ZebN(Champion)Champion
11 July 2024

Whether or not you qualify for an income loss (against your employment income) depends on various factors, such as:


  1. If you traded CFDs or Futures then these are automatically an income loss because the ATO does not treat CFDs or Futures as capital gains tax assets. Refer to Taxation Ruling TR 2005/15.
  2. If you traded shares then you can only claim an income loss if you were carrying on a business of share trading. To carry on a business of share trading depends on various criteria, such as: (i) the repetition & regularity of the activity; (ii) whether your activity was conducted in a businesslike manner according to standard norms of share trading; and (iii) while less important, the amount of capital involved.
  3. If you do not meet the criteria for carrying on a business of share trading then your losses will be capital gains tax losses.

The ATO has a webpage called "Share investing versus share trading". Please read it. If you remain unsure, you can write to the ATO to provide you a private ruling. Feel free to discuss your circumstances with me.

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is loss from day trading via plus 500 deductable on your total taxable income | ATO Community