The ATO are paying close attention to capital gains made on property, shares and cryptocurrency, with their data-matching capabilities increasing.
The ATO is reminding taxpayers to keep good records of asset disposals to help work out capital gains or losses correctly. You need to keep records of a CGT event, including for asset disposals, loss or destruction, for at least five years after the event has occurred.
Records of any net capital losses need to be kept from the year they occurred, in order to be able to offset against capital gains in a later year. Once a loss is offset against a capital gain, you should keep the records of the CGT event that resulted in the loss for:
• Two years for individuals and small businesses after the gain has been offset
• Four years after the gain has been offset for other taxpayers
For more information please contact Infinite Accounting Solutions on 02 9899 4730 or via the contact page at www.ias-ca.com.au