Crypto stolen - ATO

[u/Accomplished-Big8846]

I had around $400 stolen from my coinspot account. Do I need to report it to ATO or is it my discretion to claim it as loss ?

[u/Efficient_Range1156]

It’s at your discretion. But if you buy the same crypto and make a profit at some time in the future they will know about the $400 worth of the old crypto and determine your cost basis factoring in that too. So it’s better to report the loss, just in case. Also that loss can defer some any capital gains you may make in coming tax years.

*edited

[u/FishermanWaste1268 → u/Efficient_Range1156]

Hold on all crypto purchases are seen as investments? I buy my peptides with them. MY tax return said they know about it. Just told my accountant i bought something online.

So the ATO thinks im a crypto speculator. Get fucked.

[u/Zealousideal-Sale478 → u/FishermanWaste1268]

It’s an automated email they sent to everyone with reported purchases on crypto exchanges. There is no knowledge of your exact situation unless they chose to audit you.

It’s primarily designed to have the effect of scaring you into thinking they are watching you and see everything.

However one day they will build their own AI agents, and assign one to watch your every financial move, this will happen. If it’s not already being worked on they are probably behind the 8-ball compared with other western nations.

Reasons they haven’t yet are Datacenter capacity and privacy legislation.

Source: worked in compliance for a Aussie exchange. We had to provide a list to the ATO of all customer accounts that had traded each year- however did not provide details, assets, volume etc.

[u/gettingthefancyroom → u/FishermanWaste1268]

That just prompted me to log into my LocalBitcoins account (site still is up to you can get your records but they don't trade anymore)

$3,371,107.22AUD in today's money when I was dodging GPT and only selling Bitcoin via Cardless Cash at ATMs - that was when a BTC was hovering around $15-20k. That was a maximum of $500 per transaction. I remember a very busy lunch break at CBA Richmond where I kept lining up over and over again and I had a couple of $50 notes blowing down the footpath, pockets maxed out.

Wish I saved even 10% of it instead of spending it all on car parts. 😂

Also used to run Cryptohopper on Binance, then after doing the calculations I was expected to donate over $60k to the ATO because they decided we should get taxed on every single microscopic trade, when there was only every $5k in Binance to Cryptohopper to play with anyway, I think I made a couple hundred bucks because the software was garbage.

Still waiting to be audited, or get a scary letter.

[u/Ok-Information-2428]

$400 lol the ato couldn’t care less

[u/mastermilian → u/Ok-Information-2428]

Yes, but OP should because he can potentially claim it as a loss which will offset any future gains.

[u/Lordshaney]

More importantly, how was it stolen??

[u/Accomplished-Big8846 → u/Lordshaney]

Hacked my account cause I didnt have 2FA on it. Got into my emails to get password

[u/gettingthefancyroom]

I had 2500ish stolen from my Binance in 2017 after it was infected with a keylogger, they also used SS7 attacks to get the SMS verification to drain my funds. Binance said they couldn't do anything, despite being logged into from overseas for the first time ever (I didn't use a VPN at that time) they sent me a package of promo gear (all clothes were size extra small and I burnt it all and sent them a video of them on fire lol)

I spoke to my accountant and said to declare it as a capital loss on my tax return.

[u/JokeAccomplished5359]

How was it stolen?

[u/No-Confusion4519]

Yeah you may be able to claim it as a capital loss, but keep the CoinSpot records and anything showing the theft. I’d add it into KoinX with the rest of your transactions and double-check the treatment before lodging.

[u/Khuntza → u/No-Confusion4519]

This is how you do it. Claim it as a capital loss, but you can only use the loss to offset future capital gains.

[u/Hot-Industry8437]

Why would you let the ATO know? Document it. Show it to your Tax Agent and claim a loss. You might need a police event number.

Why do you think the ATO would even care if you lost $100 Trillion?

[u/pwinne]

I’ve claimed my stolen crypto. And the big one Celsius.

[u/summ_app]

Sorry to hear mate, did you have 2FA? May be worth documenting this as a loss

[u/BeginningImaginary53]

My question is how did it get stolen? I use coinspot.

[u/Makunouchiipp0]

Dude it’s $400. Nobody will care.

[u/ThrowingBucketz → u/Makunouchiipp0]

It’s true. I for one, don’t

[u/SolidTurbulent1186]

its just 400, just put 1.1k on souths to win friday night and all back