Step 1: Determine if a CGT Event Occurred
CGT events include selling crypto for AUD, trading one crypto for another, using crypto to buy goods/services, or gifting crypto.
Step 2: Calculate the Capital Gain
Capital Gain = Sale Price – Cost Base. The cost base includes the original purchase price plus transaction fees.
Step 3: Apply the CGT Discount
If held for more than 12 months, multiply the capital gain by 0.5 for the 50% discount.
Step 4: Add to Your Taxable Income
Add the (discounted) capital gain to your other income and apply the appropriate tax bracket rate.