Announcements
Worried you’re missing part of your refund? Remember, the low and middle income tax offset isn’t a refund on its own – it’s used to offset (or reduce) the amount of tax you pay. The offset amount you may be entitled to is automatically applied and could range between $255-$1080, depending on things like your taxable income and how much tax you’ve paid.
Still not sure? Ask the Community

ATO Community

Re: Where do we enter CFD trading gain or losses? I file my tax return via MyGov under my TFN.

Initiate

Views 2134

Replies 6

Where do we enter CFD trading gain or losses? I file my tax return via MyGov under my TFN. I had some trading losses in last financial year. I have provided my TFN number to trading website but it looks like it is not auto-filled. I donot have business account. My employers paid me salaries in last financial year via TFN which is auto-filled in MyTax but not my CFD trading gain or losses?

 

1 ACCEPTED SOLUTION

Accepted Solutions

Most helpful response

Former Community Support

Replies 5

Hi @MA4,

 

Where you trade in CFD’s or Forex and are not in business, you need to report any gains  at label 24 Other income of the supplementary section of the income tax return, unless you had trading revenue from a foreign source which needs to be recorded at label 20 Foreign source income. Any losses need to be recorded at label D15 Other deductions in the supplementary section.

 

You can read about this in the Supplementary tax return Instructions.

 

All the best,
Dejan

6 REPLIES 6

Most helpful response

Former Community Support

Replies 5

Hi @MA4,

 

Where you trade in CFD’s or Forex and are not in business, you need to report any gains  at label 24 Other income of the supplementary section of the income tax return, unless you had trading revenue from a foreign source which needs to be recorded at label 20 Foreign source income. Any losses need to be recorded at label D15 Other deductions in the supplementary section.

 

You can read about this in the Supplementary tax return Instructions.

 

All the best,
Dejan

Devotee

Replies 4

What about for a business, what section would CFD trading losses go in under an ABN?

Former Community Support

Replies 3

Hi @ treefairy

 

Thanks for your question. If you're talking about a sole trader ABN then it would be declared under business income and expenses which is part of the Business and professional items schedule.

 

Thank you for contacting us and have a nice day!

Devotee

Replies 2

Hi, so if I am beginning business that year, and my taxable income is less than 20k for this ABN, does that mean my profit from CFD trading is added to taxable income, even though my losses are more and my NET is a loss; these losses are deferred onto the next years tax?

I'd prefer to utilize this loss to offset other trading profit in this year of business, because the next year I went back to study? Although I continued my business the year after that... and i'm guessing this loss from the first year would carry over 2 years if not met by profit.

Devotee

Replies 0

to be more specific , which field under business income will I enter 1. cfd sum gains and 2. cfd sum loss

ATO Community Support

Replies 0

Hi @treefairy,

 

When we talk about your taxable income, we mean the entire entity's, not just the part that is earned under the TFN or the ABN separately. All income you earn will be combined on your tax return to form your taxable income.

 

Since it’s a business, you’ll declare all income at “other business income – manually calculated”. This includes sales (such as selling a CFD) that results in an overall loss.

 

You include the cost of acquisition of the items/stock/CFD/Cryptocurrencies under “Opening stock” or “purchases and other costs”.

 

I've answered a bit more on this under this thread.

 

Most of the time (and in your situation, it looks like you're part of this), you must defer your loss.

 

Your deferred loss will be used in the next year in which your taxable income exceeds your total expenses/deductions (as per section 36-15 of the Income Tax Assessment Act 1997).