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Re: Seperate Portfolios

Newbie

Views 444

Replies 2

Hello,

 

I have completed and submitted my Crypto Tax for last financial year using my tracking software. This accumualtion is now all going into long term storage for at least the next 12 months.

 

I now want to start a 2nd portfolio for trading where I will make new purchases this year with a serperate tracking account as to not interfere with FIFO accounting of my other long term portfolio.

 

Just making sure that having two (long term & trading) portfolios is all above board. Considering I may have two different cost basis' for the same asset. The new portfolio will account FIFO as of today's date.

 

Thanks.

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Most helpful response

Dynamo

Replies 1

Form what ive read this is fine. The cost base would be different each time you purchase new crypto and trade with it resulting in a gain or loss. 

 

The gain or loss isnt realised until you sell it, so when you have a second portfolio with each transaction will have its own cost base - you wouldnt combine it with your first portfolio as you didnt acquire the asset at the same time, even if you sell it at the same time 

2 REPLIES 2

Most helpful response

Dynamo

Replies 1

Form what ive read this is fine. The cost base would be different each time you purchase new crypto and trade with it resulting in a gain or loss. 

 

The gain or loss isnt realised until you sell it, so when you have a second portfolio with each transaction will have its own cost base - you wouldnt combine it with your first portfolio as you didnt acquire the asset at the same time, even if you sell it at the same time 

Devotee

Replies 0

well you can prove that you did not trade your long term portfolio if you just provide the public addys for those crypto you're storing, so that is simple. it will show your deposit date/time and still be there in 12months. 

and you can choose to use fifo lifo .etc or trading stock if you are carrying on a business of trading (abn), it states that you can change how you evaluate this. marke value, cost value, replacement value. etc so look into that too:

https://www.ato.gov.au/Business/Income-and-deductions-for-business/In-detail/Simplified-trading-stoc...