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Hi, if I buy and sell gold bullion through Perth mints GoldPass app ( it is a digital certificate for the ownership of physical gold) will I have to pay capital gains tax?
Are you referring to this Cryptocurrency Asset?
This is not buying and selling gold Bullion, it is trading the price of gold Bullion, via a token backed by real gold Bullion of specifically the Perth Mint. The token is a representation of the Perth Mints Gold Price. They are issuing cryptocurrency in a quantity they can back by real gold, essentially doubling their effective holdings, 1:1 virtually. So if someone bought every token in supply, the Perth Mint, would have money enough to buy double the gold they have now.
But in terms of your question, i'm unsure if your GoldPass app, is related to Perth Mint Cryptocurrency Asset, which yes you'd be subject to capital gains if profiting from that activity unless it is done in a business like manner, then it would fall under trading stock.
Personally i'd just use Kucoin, not an app that likely has their own mark-up and fees. OR just buy real gold bullion from the Perth Mint :'D The beauty of the cryptocurrency version is the ease of liquidating and changing the value to something else in an instant, if you get over Gold. Which is also why you may as well do it on a cryptocurrency exchange, not a gold specific app.
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