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ATO Community

Daily Exchange Rates

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Hi there, 

 

I am just enquiring about the change in publishing daily exchange rates as the ATO has stopped publishing daily exchange rates and now uses the RBA daily exchange rates. 

 

Why are the daily exchange rates quoted by the RBA different to the daily quotes published on the ATO website- say in Dec 2019? 

I also noticed discrepancies in the monthly exchnage rate period. 

 

Looking forward to hearing from you! 

 

 

 

 

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Community Manager

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Hi @pleasehelp1,

 

From 1 January 2020, the ATO has shifted to sourcing its exchange rates from the RBA which uses the mid point of the buy and sell rate at 4 pm Sydney time (benchmarked to the US dollar).

 

Prior to 1 January 2020, the ATO sourced its exchange rates from the Commonwealth Bank of Australia and used the buy rate as set in the morning, which will include a small handling/transaction fee which is typically around 4%.

 

As outlined on our website, taxpayers are able to use the ATO rates or any appropriate exchange rate. This can be provided by a banking institution operating in Australia including, where relevant, the banking institution through which your foreign income is received, or another reliable external source .

 

Taxpayers just need to remember to keep the rate used and the source of rates with your records and be mindful that you cannot obtain an average rate (or rates) of exchange from an associate, or from yourself, unless notified by us.

 

KylieS

 

2 REPLIES 2
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Community Manager

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Hi @pleasehelp1,

 

We will look into this and let you know.

 

Thanks

 

KylieS

Highlighted

Best answer

Community Manager

Replies 0

Hi @pleasehelp1,

 

From 1 January 2020, the ATO has shifted to sourcing its exchange rates from the RBA which uses the mid point of the buy and sell rate at 4 pm Sydney time (benchmarked to the US dollar).

 

Prior to 1 January 2020, the ATO sourced its exchange rates from the Commonwealth Bank of Australia and used the buy rate as set in the morning, which will include a small handling/transaction fee which is typically around 4%.

 

As outlined on our website, taxpayers are able to use the ATO rates or any appropriate exchange rate. This can be provided by a banking institution operating in Australia including, where relevant, the banking institution through which your foreign income is received, or another reliable external source .

 

Taxpayers just need to remember to keep the rate used and the source of rates with your records and be mindful that you cannot obtain an average rate (or rates) of exchange from an associate, or from yourself, unless notified by us.

 

KylieS