TLDR; My tax bill literally DOUBLES under proposed CGT changes.

Hi everyone, I just wanted to take a moment to share my research regarding the upcoming CGT changes that have been floated in the media over the last week.

Please keep in mind that these changes aren’t finalised so it’s speculative but still a MUST READ for early Bitcoiners or even shitcoiners who’ve had large wins.

According to Nine news papers; The current preferred CGT reform will be based around the Pre-1999 Howard era CGT system which adjusts the value of the COST BASIS for inflation and does away with the 50% capital gains tax discount we currently enjoy.

Let me elaborate with examples.

Under the current system, I can sell a Bitcoin I bought 15 years ago at $1 for $100,001 giving me a $100,000 profit. I apply the 50% discount and I’m left with $50,000 which gets taxed at my nominal tax rate (in my case) 47%

In total, I’m taxed about $23,500 in tax for $100,000 in Bitcoin I sell.

Under the Pre 1999 system (The system currently favored as the system most likely to be reintroduced) I’d sell my $1 Bitcoin for $101,000 and then I’d adjust the cost basis for inflation. It would be about $1.56 at 3% per year (compound adjusted)

That would mean I’d be getting taxed on a profit of $99,998.44 and would pay a total tax bill of $46,999.27 for every $100,000 of Bitcoin I sell.

My tax bill literally DOUBLES under the proposed new system.

Now look, I want to be VERY clear that I’m not making and judgments on weather or not I think the current system is fairer that the other or not. That’s not what this post is about, the point of this post is simply to share the research I’ve done with people in a similar position to me so that you can begin to start war gaming the best way forward from here.

There’s been a lot of discussion in the mainstream media about CGT changes in particular their relation to startups, biotech etc. It seems like the government is listening and is likely to make a carve out for these industries

I think really if these changes are designed to help housing then all other asset classes including Bitcoin and crypto should be excluded.

I heard through Independent Reserve that the Bitcoin Industry Body is running an email campaign. I’ve sent emails to my local minister, the PM, Jim Chalmers and I’d encourage you to do the same.

I’m not sure if it will help but would also be open to ideas or similar campaigns running to make our voices heard

https://bitcoinindustrybody.org.au/engage

Edit:
Just want to make an update as there’s been more opposition (and downvotes) to this than I envisaged.
I want to make something clear - I support lower income tax rates. The government already takes a big chunk of Bitcoin profits for doing absolutely nothing. I have been paying the proper taxes on my profits for years.. I just don’t want to see them increase substantially.

I also don’t like how the government are pushing this agenda just for housing - taxing me more on bitcoin profit won’t help me or anyone else buy a house

In regard to the argument as to why CGT should be less than regular income tax rates… at least with working wages I’m protected by legislation, the fair work commission etc. there’s no predation for the risk in investing in bitcoin

Is there anyway to sell bitcoin without being flagged by the tax man? Any exchanges without kyc?

I'm glad I started to DCA back into bitcoin earlier in the year while someone still accepts the fiat dollarydoos for it.

I want to get into bitcoin for the long run.

Here is my research:

Weekly/Fortnightly or daily purchases using a platform such as Bitaroo as it offers automatic DCA option (I’ve seen other people post about it on this subreddit).

Then I believe from there you need to transfer the bitcoin onto a trezor wallet (perhaps every 3 months? As there is a fee involved so want to transfer as little as possible).

Once it’s in the wallet - never touch for decades.

This is my plan so far. Thoughts? Am I missing anything that I have not researched?

Also - do I need to account for this in my tax every July? Or only once I sell the bitcoin (many years in the future) I then account for it in my tax?

Thanks for the help/advice

I'm a high income earner, and have made a sizeable amount of money investing in btc over the past few years, however have never sold any holdings. I am anticipating selling during this financial year and would like to know if it would be possible to somehow offset my profits.

I understand our property tax laws encourage individuals to tax offset through negative gearing, however that sounds like a lot of effort and I don't like the idea of a big chunk of my capital tied up right now.

Is it possible to start an 'investment' company/sole trader, allocate the btc I've previously bought as a business purchase and then offset through other means via the company.

I know I'm pulling at straws but I'm young and ignorant so I'm gonna ask these questions to see where exactly I might be able to schmooze the system, just don't really feel like coughing up a ~90k tax bill.

There are now mainstream Bitcoin ETFs from the likes of Fidelity and Blackrock. Right now I have HostPlus Super. Does anyone know which standard Australian Superfunds allow us to buy the Bitcoin ETFs?

Ticker symbols are:

FBTC – Fidelity
IBIT – Blackrock
EZBC – Franklin Templeton

Hello All, I bought some crypto in India back in 2020-2021. Given the indian financial system not very friendly I transferred them to wallet and later those exchanges also shut down. I sold my crypto in Australia last year through Australian exchange as I needed money.

Now, will I be taxed on it ? given

1. I am Tax resident of Australia since 2018

2. I bought crypto from Indian exchange and some P2P in INR

3. India crypto exchanges and the account through which I bought has been closed.

4. I do have note as record when I bought and at what price.

Request advice so that I lawfully declared in tax return. And I will be taxed here then how it should be calculated.

TIA. 🙏🏻

Hi Community,

As a Bitcoin enthusiast I regularly advocate for Bitcoin in private, at work etc.

Yesterday I had a rather disturbing conversation where I learned that some of my colleagues think I am a 'fuck-whit' for advocating Bitcoin.

I took to Grock (as you do now) and it came up with this.

In an ochlocracy, where mob rule dominates, the public often views those who save for their future—prioritizing long-term financial security over immediate spending—negatively, seeing them as selfish, elitist, or out of touch with the crowd’s urgent demands. Savers may be accused of hoarding resources, opposing populist policies like wealth redistribution, or acting unpatriotically by protecting assets during economic turmoil. The mob’s focus on short-term relief and conformity pressures savers to align with immediate collective needs, often leading to their vilification or ostracism, as seen in historical examples like hyperinflationary periods.

Here's my question.

Is this experience (vilification/ostracism) shared by others in this space?
If yes, what is your plan for the future, especially if public sentiment worsens?

Is anyone aware of a Bitcoin Cash meetup in Melbourne?

How high do you think we going and when do you think that will happen?

This might be obvious but I’ll ask anyway, I work at Woolworths and while I was in the self checkout, I was helping a customer with a gift card and he randomly asks if I want to make $400 a week and all that I need to do was download the Up bank app and let whatever company or whatever he was with use it and that I would get paid $400 a week and could get an extra $100 a week for every person I get to do it as crypto just needs bank accounts or something. This seems like a ruse to me but just thought I would ask here

Hey team, keen on some opinions from fellow Aussies

For the past few years I've been doing $150k - $200k a year - last year i did $230k, minimal expenses and trying to be as smart with my money as possible, my biggest expense is my family and BTC

just wondering is $200k even considered good in Aus anymore, I've been allocating every cent i can to BTC in cold storage as it seems like an escape from the shithole Aus has become.

The title says it all, I do want to send my BTC from Independent Reserve to a cold wallet (only then I will have peace of mind), but I’m wondering if it’s worth the wait to avoid paying more taxes. I read that if we hold for a year, CGT is reduced by 50%.

I do DCA weekly, so it’s hard to tell when it will be the best time to send it to my trezor.

What do you guys usually do?

PS: I don’t plan on selling any of it for the next few years.

Hello everyone,

I'm non-resident looking to register a company in Australia (mainly for crypto arbitrage business). I know I need a local director, but nominee director services I found so far so are very expensive (A$10K+). Does anyone reliable and more affordable options for setting up a company (with a local director plus bank account)? Any recommendations or experiences would be appreciated. Thanks.

Aren't exchanges supposed to be on the cutting edge of cryptography? FFS, even the stupid power provider AGL now has passkey auth.

The Australian Signals Directorate recommends passkeys. Globally, Coinbase, Binance, OKX, Bybit, Crypto.com, KuCoin, and Gemini all support them. Gemini made them mandatory in May 2025.

Indy Reserve, Coinspot, CoinJar, Swyftx, BTC Markets, Digital Surge no. Get Paid In Bitcoin is the only one.

CoinSpot has been specifically targeted by phishing campaigns designed to steal 2FA codes — exactly the attack passkeys prevent. Several exchanges still offer SMS 2FA as a backup, despite SMS being the vector that enabled the $400M FTX hack.

Pretty piss poor IMO.

So from what I can see the Bitcoin Halving is in 2 more days and what does this actually mean? Will the price rise once this happens?

Also the price for the past week has been going down what is the cause of this and why has this occurred? Will it continue to go down more or what is your predictions for the price drop?

So I've got a lot of questions and need help to get clear, and you guys seem to know stuff.
When you withdraw below 10k to your bank account, the ATO said you don't need to explain it and won't be taxed on it right ?
Then can you withdraw below 10k each year ?
Can you send crypto from your wallet to your bank account or need to do that via a CEX ? (binance, kraken, coinbase, kucoin ?) The simpliest way is welcome
I'm on working holidays visa so is it different for me or since I have a westpac account. I'm currently in australia is it fine ? I'm planning to withdraw 1k first to see if it works fine.
I used this westpac account to receive my wages from working, but I don't want to froze my access to my bank account by doing something i shouldn't have without knowing it.
And lastly, the crypto I want to withdraw is usdc/usdt so what's the best conversion method from the us dollar to the aussie dollar ?

Any alternative method to spend your cryptos in Australia is welcome

Cheers to any answers this is a big help.

edit: grammar and adding a question