The Australian Tax Office (ATO) is targeting thousands of cryptocurrency investors over undeclared profits.
According to a report by Daily Mail on Mar. 11, the ATO will be targeting up to 350,000 Australians who sold cryptocurrency during the 2017/2018 financial year and failed to properly report their gains. The letters allegedly warn recipients to update their returns to reflect their cryptocurrency investments by April 1 or face being audited.
The letter reads,
Information provided to us indicates you may have disposed of cryptocurrency in the 2018 financial year...We’re giving you the chance to fix any mistakes now. If we audit you and find you haven’t reported your capital gain or loss correctly, we may charge you a penalty.
An ATO spokesperson said that many Australians were unaware they needed to claim cryptocurrency on their taxes,
Our campaign is designed to help raise awareness and give people the opportunity to fix any mistakes.
The tax organization recommends keeping records of all sales and purchases of crypto.
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