This article is about the first instalment of 2023 provisional tax due to the IRD on 28 August 2022. This tax payment is calculated based on the 2021 tax amount plus 10% or the 2022 tax amount plus 5%. If…
Author: Tim Doyle
Bulletproofing Your Cryptocurrency Record Keeping
Cryptocurrency trading can be like an emotional rollercoaster. When we present financial statements to clients, they are surprised to see their trading volume. It’s nearly always higher than they expected. They have transacted with cryptocurrency going back and forth, in…
Hidden Complexities of Buying Cryptocurrency for Someone Else
Sometimes, people might buy cryptocurrency on behalf of another. A friend or family member may say, "Hey, here's $10,000. Can you get me some too?" At the time, it doesn't seem like a big deal. But come tax time, it…
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2022 Profits & 2023 Losses
Some clients have made record profits for the 2022 financial year (ending 31 March 2022). But, they have since had significant losses after the recent market downturn (in the 2023 financial year). The 2023 loss cannot be offset against the…
2022 End of Financial Year Cryptocurrency Tax Checklist
The end of the financial year is 31 March 2022. This article outlines what information we need to prepare your financial statements. We recommend you action this today! It will save you time, costs, and unnecessary complexities. If you only do one…
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Claiming Cryptocurrency Tax Losses to 31 March 2022
The 2022 financial year has had wild price fluctuations. We all experienced record price highs before Christmas, and then a significant pullback in prices in early 2022. No doubt, some taxpayers have traded at the top of the market, triggering…
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Understanding 2022 Provisional Tax
Most cryptocurrency clients made a profit in the 2021 financial year and will have 2021 terminal tax to pay on 7 April 2022. If the tax amount is more than $5,000, they will also have 2022 provisional tax to pay…
Unrealised Gains from Staking Rewards – IRS Case
Last week there was hype about an American cryptocurrency tax case. “IRS will not tax unsold staked crypto as income” was the headline of the article. Unfortunately, we cannot make an conclusion this case, and we recommend the status quo…
The Worst Case Scenario
We’ve recently experienced a 50 - 60% decrease in cryptocurrency prices and woke up to several very concerned taxpayers on Monday morning. This article's purpose is not to create fear, but rather to make you prepare for any tax, think…
Benefits of Frequent Financial Reporting for your Cryptocurrency Activity
We’ve been preparing quarterly financial reports for several clients over the past 12 months and have found the reports and process extremely helpful. The key benefits are: Addressing reconciliation issues during the year in small chunks rather than once at the end…
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