Presented by our tax partner, Crypto Tax Calculator
As the Australian tax deadline approaches, many crypto investors are rushing to file their taxes. From earning to trading digital assets, keeping track of every taxable event can quickly get overwhelming. And since Bitcoin is not tax free in Australia, it’s important that you’re staying on top of your crypto tax reporting.
The good news? It doesn’t have to be a difficult process. With the right strategies and tools, you can simplify your tax reporting and stay compliant without the stress – and we’ve got 5 tips to show you how. We've partnered with the experts at Crypto Tax Calculator to help bring you these crypto tax tips. As part of the collaboration, they’re offering 30% off your first year plan for new users, so you can do your crypto taxes in just a few clicks.
Tip 1: Sync All Your Wallets and Accounts
Accurate crypto tax reporting starts with consolidating all your data in one place. Even if most of your activity happens through Block Earner – such as earning yield or moving funds in and out – you still need to make sure every wallet, exchange, or protocol you’ve used is included.
Here’s what you need to do:
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Connect all accounts: Link your Block Earner account, along with any other exchanges or wallets to your crypto tax software.
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Check for updates: If you’ve previously imported accounts, double-check that they’re fully synced and up to date.
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Cover every transaction: Small deposits, withdrawals, or transfers can add up and impact your cost basis, so make sure they’re included in your tax report.
Tip 2: Double-Check Your Transactions
After syncing your wallets and accounts, take the time to review your transaction history. Even small gaps can make a difference when it comes to tax time. With Crypto Tax Calculator, you can:
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Easily scan and view a summary of your trades, transfers, and earnings.
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Confirm that your Block Earner activities – like payouts or stablecoin transactions – are being captured correctly.
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Spot and add any missing wallets or accounts, so your records remain complete and accurate.
Tip 3: Stay Updated on DeFi Tax Guidance
Decentralised Finance (DeFi) is rapidly reshaping how Australians earn and interact with digital assets. Since the Australian Taxation Office (ATO) classifies cryptocurrency as a taxable asset, your DeFi activities can have significant tax implications. In November 2023, the ATO released updated guidance specifically focused on DeFi transactions, clarifying certain points but also highlighting how complex these rules can be.
For Block Earner customers, this means certain activities may trigger taxable events:
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Earning on stablecoins or crypto
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Swapping between assets via DeFi platforms
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Moving funds between platforms
To stay compliant, regularly check ATO updates to understand how evolving guidelines affect your reporting responsibilities.
Tip 4: Use Software or Consult a Specialist
Managing your crypto tax doesn’t have to be stressful. Using a specialised crypto tax software – like Crypto Tax Calculator – can automate transaction tracking, calculate your taxable gains, and present a clear overview of your financial position. This automation not only saves you hours of work, it also helps reduce costly errors.
However, if you’re dealing with more complex scenarios it may be worth consulting a tax professional specialising in crypto.
Tip 5: Set Up Automated Reminders for Tax Deadlines
Don’t let the tax deadline sneak up on you. Stay ahead by scheduling automated reminders for key dates and regular check-ins on your crypto portfolio.
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Use calendar apps to schedule reminders for key ATO dates, such as the October 31 tax filing deadline (or later if you’re filing with a tax agent)
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Turn on notifications in Crypto Tax Calculator, so you’re prompted to review transactions, update records, and prepare documents in advance.
By setting up automated reminders and routine check-ins, you can avoid last-minute stress and ensure you never miss a compliance deadline.
Streamline Your Crypto Tax Reporting with Crypto Tax Calculator
Managing your crypto taxes can feel like a lot, especially when your portfolio includes staking, airdrops, DeFi, and NFTs. Crypto Tax Calculator is built to simplify this process, automatically handling the most complex on-chain transactions so you get accurate calculations and a complete tax report.
*First year, new users only. Disclaimer: The information contained in this blog is general in nature and is provided for informational purposes only. It does not constitute financial, legal, or tax advice, and should not be relied upon as such. Block Earner does not guarantee the accuracy or completeness of any information presented. You should consider your own personal circumstances and seek professional advice before making any financial or investment decisions. Past performance is not indicative of future results. All investments carry risk.
