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Re: CGT on sales of shares and cryptos - Temporary Resident/Student Visa

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Hi,

 

Hope someone can answer my question.

I currently reside in Australia as a temporary resident, on a student visa to be exact. I satisfied all three requirements to be considered as a temporary resident, based on the information provided in link below.

https://www.ato.gov.au/Individuals/Income-and-deductions/In-detail/Income/Foreign-income-exemption-f...

 

I do know that I am an Australian resident for tax purpose, and that I have to declare tax on the income I earned from my part time job in Australia.

 

Other than the income from my part time job, I also invest some of my own money into stocks, EFT, and cryptos.

  • Other than my regular income, what else do I need to include in my tax return? Do I have to include dividends from my stocks (non-Australian company) or gains I made from selling stock/crypto?
  • If so, do I have to pay any tax on the dividends and CGT on the sale of my investment assets?

From my understanding, since I am a temporary resident, I am not liable to CGT because the assets I own are not 'taxable Australian property'. And also, to make it clear, I am not carrying on a business as a trader, investing is just a hobby of mine.

 

Many thanks.

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ATO Community Support

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Hi @keysersoze

 

Foreign residents and temporary residents for tax purposes are only liable for CGT on real Australian property.

 

If you are a temporary resident for tax purposes (not just visa purposes), you won't be liable for CGT on any assets except real, tangible Australian property. This means any shares, stocks, ETF, or cryptocurrency you acquire won't be taxable in Australia. 

 

If you're an Australian resident for tax purposes, you will be liable for CGT on all assets - foreign, Australian, real and tangible or not. This would mean your stocks, ETF, cryptocurrencies and shares are taxable in Australia. 

 

You might want to check out work out your tax residency to confirm whether you're an Australian resident for tax purposes, or a temporary resident for tax purposes. You can read more about foreign and temporary residents and CGT on our website, too.

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Most helpful response

ATO Community Support

Replies 3

Hi @keysersoze

 

Foreign residents and temporary residents for tax purposes are only liable for CGT on real Australian property.

 

If you are a temporary resident for tax purposes (not just visa purposes), you won't be liable for CGT on any assets except real, tangible Australian property. This means any shares, stocks, ETF, or cryptocurrency you acquire won't be taxable in Australia. 

 

If you're an Australian resident for tax purposes, you will be liable for CGT on all assets - foreign, Australian, real and tangible or not. This would mean your stocks, ETF, cryptocurrencies and shares are taxable in Australia. 

 

You might want to check out work out your tax residency to confirm whether you're an Australian resident for tax purposes, or a temporary resident for tax purposes. You can read more about foreign and temporary residents and CGT on our website, too.

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Thanks for the reply! @BlakeATO 

Based on the information on ATO website, I'm a temporary resident for tax purposes.

 

How do I select this option when I lodge my tax?

The only option I can see on myTax is "Were you an Australia resident for tax purposes from 1 July 2019 to 30 June 2020".

Should I select "Yes" or "No"?

 

Thank you!

 

ATO Community Support

Replies 1

Hi @keysersoze


If you've worked out you're a temporary resident for tax purposes, then the answer to that question is "No" Smiley Happy

 

You can read more about completing the Were you an Australian resident for tax purposes? section of your return on our website.

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Thanks @BlakeATO