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Tax forex trading australia

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tax forex trading australia

What sections of the ATO tax acts is foreign currency trading? That is cash base online trading with no physical goods exchange? The tax treatment of foreign currency gains and losses is discussed in Division of the Income Tax Assessment Act The Division effectively caters for all types of foreign currency transactions including having a foreign currency denominated bank accounts and shares, overseas rental properties, trading stock, hedging transactions as well as the purchase and subsequent disposal of capital assets.

Section states that foreign gains are assessable when they are realised unless it is a gain of a domestic or private nature, such as when you go travelling overseas on holidays or purchase goods for personal use. However to take advantage of this exemption you must make an election to disregard any realised foreign currency gains or losses for accounts with a balance under this threshold.

Sub-division C of the Income Tax Assessment Act sets out the rules for foreign currency to be translated into an Australian dollar amount including the use of an appropriate prevailing exchange rate for the translation.

Copyright Your Media Edge Pty Ltd Reply "Am I reading this right? Reply "Not quite Dave. Reply "Hi Mr Taxman, Thank you for providing such informative site for all of us - very forex of you! My question is about Forex Currency Trading. Also, how many years are Business losses quarantined for? Thanks so much in advance Mr Taxman!

Reply "Where on the etax do i enter my profits or losses? Also, just trying my luck, are paid forex courses tax deductible? Reply "Forgot to mention, i am just a small time casual trader who just started only 5 months ago".

If you conducted the courses prior to doing any trading then you cannot claim them just like a uni graduate cannot claim their courses they studied before they got a job. Reply "I hope someone can help me.

I doing my etax and am not sure if my Forex trading losses is deductible against my Assessible Income, or does it falls under Capital Loss. I opened up a Forex trading account abroad and it had been traded by a company for a month but it suffered losses so I closed my account and pulled out the remaining fund.

Reply "Victor - your trading losses are quaratined against future trading gains. Can you please direct me to a section on the ATO website where I can read about this ruling mentioned in your reply to Victor Aug 24, ".

Reply "Here is some info on the non-commercial losses rules http: Reply "To meet the 20k turnover do you add up sales or profits on completed trades". If so, where in an individual's tax return does it belong? Reply "You can show the loss in the foreign currency income question of your income tax return.

Reply "Hi Mr Taxman, I have an overseas stockbroking account on which I trade U. Would USD cash balances held in this account count toward the AUD, tax exemption threshold, if I made an election? Or do accounts only qualify if they are pure bank accounts? Reply "Mr Taxman, would like to know if my beginner's forex trading loss should be put onto my eTax or not?

Also had a foreign tax trading account for years in loss - will it be tax dedutiable only towards any future capital gains? Reply "By all means include in your tax return. Trading losses are quarantined to future tax years unless you satisy one of the non-commercial losses rules where they can then be used to offset future trading profits.

Reply "Hi Mr Taxman, if I am holding CHF, in a Swiss Franc denominated account that i opened 2 years ago do i need to account for any FX movements in the balance from year to year. The account only derives interest income monthly. Reply "Regarding "foreign gains are assessable when they are realised": From a business point of view, does 'realised' mean that I only have to pay tax on the profit when I withdrawl the profit from the broker's account?

In other tax, if I leave the profit in the broker's account and continue to trade with the profit, I wont pay tax until I start withdrawing?

Is that right or am I way off base? Reply "Way off base. Reply "Thanks for the reply. Is that tax paid monthly, quarterly or yearly and do we have a choice in that matter? Reply "hi, i trade currencies on fxcm and i have no idea how much tax i need to pay or if i need to pay tax on it at all?

Reply "What documentation have you provided your accountant? All trades during the year? Summary position at year end? Reply "Hi, i currently holding some speculative currencies that I have exchanged Aussie dollars for. I hope to exchange it back at some point when it has appreciated. As this is an exchange and not an investment, am i liable forex pay tax on this? Reply "Sounds like you tax carrying on a business. What is the value in AUD?

Reply "I have just started trading and want to know what my tax implications are with regards to forex trading. What tax rate do you pay? Is there a tax free threashold? Can you also purchase a computer and use the cost against any tax?

If you don't have any other income then you will get the tax free threshold. Expenditure directly related to your income activity will be deductible to the extent that they occurred after you started the activity - that is, you can't claim that course last year that pushed you into trading. Reply "Hi, will ato regard trading forex full time as a Personal Service Income? I would not consider it to be Personal Services Income. Reply "hey taxman, I want to rent an apartment with a room dedicated to my forex trading.

Reply "Yes you can claim the portion of rent for that room Mandy. The ATO frowns on taxpayers saying "its about one-quarter of the place"". Reply "Hi Taxman, I am a part time currency trader, would capital gains tax be applicable on Forex trading or is it just reported as normal income ". Reply "Normal income if you are a trader, regardless of the time that you spend trading.

Reply "Hi Mr Taxman, I am a part time currency trader and I'm renting a room in a 3bedroom house. Reply "If the room is used exclusively for trading then yes you can claim the portion of rent but if you are using that room for private purposes eg your bed is there and merely have a computer in the corner of room then no chance of claiming.

Reply "Hi Mr Taxman, I have an account that essentially works as an automated trade service from a signal provider. I don't do any actual trading myself, I just log in and check occasionally as the money increases, but it is only a small australia, less than 5K. It is, however, with an Australian Broker, not offshore. Will I need to declare this on Tax and pay a fee? Who did you set up the account with? What is your income in percent? Are they based on Queensland?

I am looking for something like that and found one in Queensland. They claim minimum 50k profit in a year. Are you happy with their service". Reply "Hi Mr Taxman, My parent overseas want to help me with home deposit. I want to know if this money is taxable. Forex know that any amount I receive has to be shown at IT4 target foriegn income. I called up ATO twice and the person otherside said that if it is a regular gift it is an annutiy and need to be assessable.

I do not forex it is an annutiy. Can you please through some light on it and also what documents do I need to maintain so that ATo does not confuses it with foriegn income".

Reply "Many thanks for your email. Reply "I am still trying to work this out for tax tax. I traded currencies through FXCM for approx 6 months whilst working full time. Am I able to claim that against my taxable income from my normal employment? Reply "It wouldn't be a capital loss based on your volume of trading activity.

I trade forex and have a full time job. Will it be better to open a company to do my forex trading? I a looking at the most tax effective way. I also rent a place and would like to right of the room as an expense.

However any drawings of profits that you take out of the company are assessable to you personally anyway so you would need to leave the funds in there. Reply "I beg to differ Richard. You are assuming no wage being drawn from company which you would need to do if you are drawing funds out of it! Reply "Hi Mr Taxman. Firstly thanks for all the responses to these questions it's helped me out a lot. If this is the case, can my company purchase non business realated items and assets for personal use by it's employees?

Reply "In relation to funds drawn out of a company there are two main scenarios - a you take it out as a wage in the year that income is derived or b you take it out as forex dividend from prior year profits. Any non-business or personal items would potentially atttract Fringe Benefits Tax FBT Reply "Hi I am a active online forex trader trade volume is over trades in a year and had a loss of 20, and on other side i am self contractor accountant have ABN for accounting work and have income from accounting work Can i reduce my share trading loss from a contracting income and pay tax only on Reply "I have some confusion that this 20 K turnover should be in non commercial bus activities forex trading or in other business activities in my case accounting contracts.

Please note that non commercial loss activity forex trading and other business activity are not under similar business activities, can i still deduct Forex currency trading loss from accounting contract income.

Reply "Only if your loss making activity satisfies one of the commercial rules tests. We will be returning to Australia with in the next year. Will we get charged a tax on that gain? Should we setup multiple USD accounts? Suggest you consider staying offshore til the time you think the exchange rate bounces your way some more.

PS I have no opinion of which way the USD will go against the AUD. Reply "Thanks Mr Taxman. I think I am understanding it now.

You are very knowledgeable. I am glad I came across your site. Reply "Mr Taxman, I have a USD trading account 1. Since transfering the funds the exchange rate has given me a potential benefit. How should I treat each of these?

It would be easier to just use the ATO exchange rate at the start and end of year and enter this in my return. Reply "The ATO has daily rates available if you want to show the exchange rate gain to the cent. Reply "I have an amount of foreign currency, which was purchased as speculative. Should it revalue, is the outcome looked on as currency exchange, or income, and what would be the tax rate?? Reply "Would be considered as income and taxed at your marginal tax rate Reply "I am a Singaporean, residing in Singapore and wish to trading foreign currency with one of the broker in Australia, do I have to pay Australian Tax?

Reply "There shouldn't be any Australian tax considerations. Reply "Hi Mr Taxman, I have accumulated forex trading losses that are a great proportion of my normal income other work this financial period.

Can I even these out? Or can forex trading losses only be taken off trading income? Reply "Thanks for the reply so quickly. Let's say I am trading forex part-time. Reply "Sounds like you can. Reply "I received a redundancy payout this financial year and i have not worked at all for the year. I took some time holidaying around Australia.

When i got back. I started forex trading. My only income was from Forex trading. How do i declare this? Or is this amount a "hobby". It is what i do full time. Also i have a designated area for trading and purchased books after i started and computer.

Can i claim these. Also You said you could claim "rent". Reply "You will need to show you profit in the business income part of your income tax return. Definitely not a hobby. Deductions that you mentioned can be claimed although not rent as you are the owner of the property paying off your mortgage,".

Reply "I trade currencies however I am not sure how the non-commercial loss rules apply. Is that the figure for turnover or is it the net result? Reply "For each transaction, you take the gross amount of the proceeds received. Reply "Want to know about forex profit and loss". Reply "I only want to know about forex profit Reply "I will be transitioning into full-time currency trading shortly trading my own capital only and would like to ask whether it's necessary to register for an ABN for tax purposes?

From what I understand it's not, but even if this is the case it may be advisable. Can you shed any light on this? Reply "No Chris - you do not need to apply for an ABN if you are merely trading currency or shares. I just did this trading my spare time around work in the last few weeks. Is it possible to not pay tax on this? I believe it was an educated gamble. I earn over 70k from my tax time emplyment".

Reply "Suggest you get a tax professional to have a look at the actual trading activity but I would suggest that you need to pay tax on it.

I've opened a forex account with an Australian broker deposits in local currency. So is the profit classed as local income? I am an Australian citizen residing overseas. What are the tax implications in this case? I appreciate your response. Reply "If you are a non-resident for tax purposes then only assessed in Australia on income derived in Australia, which your trading probably would be if using an Australian broker. Reply "Hi Mr Taxman I need clarification for the below on forex trading: Can we use weighted average method instead of FIFO?

If I transfer money in USD to another foreign bank USD account from my USD Australia bank account which I use for forex trading for personal use, do I need to pay forex gain tax?

I bought 25, USD 0. At the time of my transfer AUS: Do I need to pay tax on forex gain in AUD? If I transfer money in USD to another foreign bank USD account from my USD Australia bank account which I use for forex trading and open a term deposit in USD, do I need to pay forex gain tax at the time of transfer? Is it possible to pay forex gain tax if any when I convert the USD to Trading for example - once I close the term deposit in 2 years?

No - although you may not necessarily have to use FIFO if you can match later purchased parcels sold 2. Reply "Hi, can we use weighted average basis entire year of income method to calculate CGT? Reply "No - by the way there is no CGT if you are trading, it is normal income.

Reply "Hi, i am looking at making an overseas propery purchase in the next 12 month and have transferred some AUD into foreign currency USD and SGD in preparation. I am not sure what currency the purchase will be settled in at this stage but these are the most likly. If these currency appreciate in value between settlement am i libale for CGT - the proiperty is for perosnal use.

Reply "No issue if your principal place of residence. Even of it wasn't then you are not liable for any appreciation due to forex until you ultimately sell.

Reply "sorry - i meant to say between now and settlemt, not onc ethe contract is signed. Also do these foriegj currency accounts need to be offshore, or can they be with an onshore australian bank, and do they need a balance less than ,AUD eqivelent to be CGT exempt? Note that you would need to declare any interest credited to these accounts in your Australian return plus claim any foreign tax credits ".

Reply "Hi, While trading forex I have received profits of around 50k and a loss of around 70k, I don't have an ABN, could you please advise if this is put in at item 15 of my tax return or if the total loss can just go into d15?

Reply "f you are trading then this must appear in item 15 Business Income in your individual tax return. Reply "Hey Taxman, great site, thank you very much for all the helpful replies! I had 3K losses over and but have profits of about 5K in Can I subtract the 3K when I declare the profit? Reply "By all means if you couldn't claim the losses in prior years then they carry forward to future years and can be offset against future gains like yours in which is great news.

Reply "Hi Taxman, Great advice, thanks! If I need to claim this on item 15, do I need an ABN to be an individual trader? Or some other kind of evidence? Reply "If you are in business then you should have an ABN. Reply "Hi Mr Taxman, read through the comments and there's lots of great stuff there.

I realise it's a subject that's been covered a lot here so apologies if you feel like you are repeating yourself. I'm just trying to get my head around the whole forex turnover test. I have been trading for about 3 australia now and haven't claimed any of my losses or worked out tax.

Mainly because it's been a tough slog learning and I haven't ended a year in more profit trading I've invested in my trading account. That's all fine it's coming good now.

My question on the turnover is, how do I calculate that figure? Lets say I've invested 10k, i've traded for the last 2 years and if I add up all of my profitable trades, they come to around 30K. If I add up all of my losses they come to around 35K. So I'm not sitting on any profit for the year, but does that qualify me for the 20K turnover test?

Or is it just the overall loss of 5K that I can offset? Reply "Thanks for the response, sorry is that total gross turnover just for the last financial year or over the 3 years I haven't made any claim?

Reply "For each individual year Reply "Hi Mr TaxmanFirst of all I am new to AU and my English is not very good. Sorry if I have some grammatical mistakes. I have been in Forex trading last financial year. I was doing Tax trading casually. Most of my trade was online Gold which is not foreign currency although I had some foreign currencies trades as well.

Just wondering if I can claim my losses in my tax return or not? If yes please let me know what item in ETax software. Thanks so much in advance Alex". Reply "It is unlikely that you can claim Reply "Mr Taxman, I have traded Forex in a reular basis apart from my full time job, by investing 25K and finally end up in loss, of around 9k.

Is this tax deductable? This was my first time in forex and is not under any business entity. Reply "adding to my question, all profits exceeds K and losses happened unfortunately Reply "For some reason this took me a while to get my head round in etax. I was obviously missing a trick in regards to writing off losing trades as expenses. Apologies if I'm the only dumb one and this was obvious for some.

But for anyone like me trying to work out how to actually do this in etax here trading go. Just one row with the total figure.

Then on the next page which shows your expenses in the other expenses table put the totals for; 1 commissions if applic2 Operating costs servers, training, tools, software etc etc. This is the most important part if you are at a net loss for the year and want to claim against your salary income. The step through and complete section When it asks if you meet the income test say yes providing you do of course and select "assessable income" as test to use.

Trader A invested 10K at the beginning of the FY. At the end of June they had a net loss of 5K ie the account was sitting 5k. But during the year all of the winning trades they had made totalled 20K and all of the losing trades totalled 25K. Taxman, If I am resided in oversea Hong Kong and opened an Forex trading account with an Australia registered company eg FXCM. Do I need to pay the Australia Tax when I made profit?

Reply "I don't believe you would. Reply "Yes you have got the concept correct. Taxman, I have started my work in forex recently, and it is my sole occupation. I was just wondering if I apply for an ABN, would the tax rate be lower? Also, are there any deductibles applicable since I use my home space and Internet connection for my work? Thanks so much for your help in advance. Reply "You should be lodging a tax return regardless of income levels.

An ABN doesn't change your tax rate at all - you need to be in a different structure eg company or trust in order for tax rate to vary. Any expenses in relation to you deriving your assessable income eg computer, internet, desk, stationery, subscriptions should be claimable. Reply "Hi Mr Tax Man, 1. Forex trading cannot be clasified as capital gain or loss.

Pls correct me if I am wrong. Reply "Can you please expand on why it's desirable for an individual trader to register for an ABN?

Reply "Hi Mr taxman. I made some profits on my forex account in the FY but in July lost all my capital and hence closed my account.

If the total profits were less than my original capital, is that still counted as profit and is tax payable on those profits? In a way, I could not even recover my original capital so not sure if the returns are still counted as profits?

Reply "Sounds like you are bad luck with the australia of the financial year - so you would need to pay tax on the profits for the year even though you have subsequently lost.

Reply "Hi Gaiti, Sorry to hear about your losses on the Forex market. I hope I am not overstepping trading bounds of this forum please let me know if sobut I run a business based in Australia that connects everyday investors to institutional level forex traders that you may be interested in. Historical returns have been excellent. May be worth a look from your end. Feel free to contact me on shaunm strategyrev.

Reply "A bit complex to do via email. Suggest that you try to find a local accountant to guide you. Taxman, I'm in a partnership business with my wife trading equity.

How do I declare the dividend income in tax return? Taxman, I'm a foreign resident and I have a TFN due to I derive rental income in Australia. I found a forex broker based in Australia that I wish to open a trading account with. Reply "The key is the source of where the profits are being made. If it is trading overseas is not Australia then no Australian australia obligation. My accountant dismissed it saying that it would be considered a hobby at such a small size.

Is there a point at which it's not a hobby or should I have ensured he realised the profit regardless of value? Reply "Hi Mr Taxman Great site. I am a foreign national who moved to Australia. I have foriegn currency bank accounts from my "home" country. There are two points I'm seeking to clarify: Is my tax realisation time in respect of the cash in these accounts the date I become a permanent resident in Australia? So I would use that date to calculate the AUD equivalent of the currency in my "home" bank accounts?

I have multiple accounts in my "home" country bank. I sometimes move money between these accounts e. Is moving foreign currency between my accounts at the same bank each account denominated in the same foreign currency a forex realisation event? Reply "Hi, I'm a Australian citizen, Do I have to pay tax on any profits or income made through Binary Options on IG Markets? If I do what is the tax rate? Reply "Hi For information on taxes for australia binary option taxes you can also look here - http: Reply "What are the pros and cons of having an ABN vs not having one for the purpose of full-time currency trading?

I will be transitioning into full-time currency trading shortly trading my own capital only and would like to ask whether it's necessary to register for an ABN for tax purposes? If not necessary, how do tax returns work without an ABN for a full-time trader with no other income source?

Reply "Hi mrtaxman, Which figure do I record in my tax return? The balance after losses taken out of profit or only the profit position. Compliments on your very informative site. Looking through the comments on your forex page, it is sad australia see the number of people asking you for advice in regards to how they should be accounting for australia losses as a result of their trades on the forex market.

No-one wants to lose money, but unfortunately this is a reality for the majority of traders in this space. This fact is one of the reasons why I have started a business here in Australia that connects everyday 'retail' level investors with institutional level traders who have a proven track record of generating 'wholesale' level returns. Should you, or any of your readers on this site be open to forex type of service, please feel free to email me at shaunm strategyrev.

Incidentally, we are fully licensed to market these products as corporate authorised representatives of the brokers we partner with here in Australia. Finally, I am aware this post may be somewhat borderline in terms of the content you wish to see on this site. Please let me know if I have crossed this line. Yours in health and financial wellbeing, Shaun. And if it is a loss, can I offset my income tax?

Reply "hi Mr Tax man, I am trading fx and have made lossess in last year. Would it be my profits which is less than that or can it be determined by another way.

Total trades i did was around Also is there a way we can claim the loss in D Tax man, I have been living offshore for 5 years prior to being made redundant in HK in Jan I have not worked in Australia since Sep so have been a non-resident for tax purposes during this time.

I spent much of traveling but returned to Australia in Oct to look for work internationally. Whether i get a job in HK, Sing, NY, or Australia will depend where i am living going forward. I have offshore savings that i would like to bring back to Australia. The recent move in AUDUSD has been beneficial. At what point am i a tax resident in Australia such that i will need to declare these foreign currency gains as income?

Or at what date should i be measuring my currency gains from? Reply "I have been trading for last 5 years and have been losing. This year based on my learning I anticipate making profit. Can I allocate the losses of earlier years against the profit in the current year. I have not been filing any returns as I am unemployed. Taxman, not sure are you still active on this blog or not but I am hoping you are.

I hold an AUS PR status but has returned back to my original country since Currently I am residing in Malaysia. I would like to trade foreign currency with one of the broker in Australia, do I have to pay Australian Tax? Reply "Hi Mr Taxman, I have purchased foreign currency with Australian dollars approximately 3 years ago if I realise a substantial gain trading I pay full capital gains tax or a reduced amount for having the investment for more than 12 months?

I invested into FX trading through a foreign broker outside of Australia. How do i report my income from all these trades and how much tax will it be subjected to? Reply "Hi, I trade options and some shares in USD with a US online broker. When I report my trading activity for taxation do I need to show each individual trade converted back to Australian dollars or am I able to just show the end of year profit or loss converted?.

If the former do you know of any accounting software that will do this as I have a lot of entries to convert. Reply "Cam, I have to do this myself mate, if you can convert your data to excel then go to http: You can then grab all the historical data from there mate. Reply "Hi Mr Taxman, I see you have stopped responding but I will post my questions anyway.

It seems based on the definitions given that if one buys and sells foreign exchange through a forex broker in other words a forex trader for the purpose of deriving income through the disposal of said assets, then it is deemed as a revenue asset ss34 australia 35but it would it not also be deemed a capital asset on account of the interest earned whilst the position is open?

Reply "I am a proprietary trader for forex with a forex education company. I took a course with a fee, but prior to the course we were required an ABN, would that mean the course fee can be treated as expense and can be claimed? Its a descent amount of 20k. Im still very knew and still learning, got no income yet. Also, is there a tax agent in sydney area that you know who can help me for the tax filing?

Reply "Hi Mr Taxman, inlaws home in UK transferred into names of their three kids some years ago with 'trust' put in place to allow them lifetime free use of it until their death.

Father died some time ago and now mother has had to go into high care so home has been sold with funds put into trust account until her death. Not wishing her death of course but i have been asked to check options. How do I take this trading loss out of my assessable income on etax thank you". I currently use Xero to import all my transactions and reconcile my accounts from forex ANZ business bank account. My Question is in relation to the reporting of these activitys.

When reconciling my business cheque account should I mark this initial deposit as personal drawings from the business? I have no intention of withdrawing any time soon as I want to grow the capital. Or is it sufficient to report a end of financial year account balance? As till I withdraw these funds it is not effecting the balance of my bank account that I typically report on. Im using a Offsure broker in Cyprus. Reply "Hi Mr Tax man I have decided to trade forex under a company structure.

Can I claim the forex course under tax and can I claim a new computer and software and office expenses undertax. What other expenses can I claim if I am running my forex trading as a business under a company structure? I made roughly 50 trades. I have an ABN which I registered against the account. What are my options at tax time? Can I claim against my income or is it a capital loss in Australia? I have less than zero interest in trading ever again trading don't think my ABN will record a profit going forward.

Taxman, Very informative, thanks! Is is possible to claim FX losses on goods? Can this loss be claimed? Thanks for your insight. I have been paper FX trading and I am finally come good. A very general question and I apologise if it has already been asked. In terms of tax, say if I made a gain ofAUD in one financial year, generally, how much would i have to put aside for tax purposes?

When would I have to pay the tax in both cases? At the end of a financial year, like a regular job? I have ABN and I did forex trading and lost 60K. Can I claim my tax refund as a return after taxfile.

Appreciate your confirmation and guidance. Reply "I'm from the UK but live in Australia. I want to trade forex on a UK account from Australia. Should I declare any income from the UK account? Reply "I live in Oz but for some reason opened a trading account with a broker based in Cyprus and lost a few hundred.

Are losses treated the same for this? How should I declare this gain in my Etax? My income from work is around 95k. Thank you very much. Taxman, I am an indian national currently staying in thailand since last 10 years If I open a forex trading account with an Australia based forex broker and make profit in it, then do I have to pay any taxes to the australian government?

Reply "Hi mr taxman, I recently started binerary tradingmy trading volume was over 20khowever I have a net financial loss of 8k for the year. Can this be claimed against my personal income? Reply "Hi MrTaxMan, Have any new laws around taxation on forex in AUS come into place for this financial year moving forward? Regards, Ben J http: Taxman, I think this question would have been commonly asked as of late.

I'm trying to complete my taxes and my questions are quite specific: Given these were in USD, but when calculated in AUD, the amount would be much greater for example, would I be able to claim against FX losses as well on top of my net investment losses incurred? And similarly, would this carry on forward to the next financial year as well? Reply "Hi Mr Taxman, I have a multi currency account and moved tax k into a USD account in Nov Thanks in advance for your help".

Reply "Hi Mr Taxman, I trade in us options through an australian company which is based in eastern states. I need to know the income i derived through this will be foreign income or australian income as i am in australia.

I do get paid some dividends as well and there is foreign tax withheld on them. Thanks in advance tax your help. Reply "Hi Mr Taxman, I noticed you australia that it depended where the profit was made as to whether tax is liable. I trade on Nadex which is in US and traded in US dollars. When I bring money down from the account into my bank account in Australia is that a simple case of personal income or is it tax free as money is not made here in Australia?

I notice you haven't answered any questions for a while, so hope that you answer this one: I just started trading forex full time.

I wanna know that in which section I can file tax return, means under TFN or ABN or in any other forex ". Reply "I have an account with FXCM for forex trading. I have been trading for the last 3 months - frequency is at least 1 trade a day. Will it be considered as Business for taxation purposes? I am trading miniscule amount for learning purposes. Until i withdraw funds, do i need to mention this in my taxation?

Will it be treated a regular income? In case if i start getting big returns in future, do i need to use ABN? Your help would be appreciated Reply "I am a disability pensioner. I have an equity account trading shares and am now looking at trading the forex market with a UK broker.

Would the forex trades be regarded as overseas income and therefore not taxable in Australia.? I do not have a taxable income at present so what would my tax obligations be.? Reply "Hi, my father who is a foreign resident transferred wants to invest in Australian shares. He will be coming to Australia to meet a broker and inest the shares soon.

Will I or will he have to pay tax on any forex gain? Also if he decides to send the USD back to the US will there be any tax implications? I reside in Australia and wanted to know if my profits are taxable and at what rate? I have been trying to find some info on this, but just couldn't find it.

Or maybe I'm looking in the wrong spot. If you could please let me know that would be much appreciated. If you need any further info, please contact me via my email. Reply "Hi Mr taxman I would like to ask u if I loss forex trading can I claim tax back? And if I can how many percent could I claim back? I made a about k during brexit and I was wondering the best way to bring back the funds untaxed.

Reply "I currently trade Foreign exchange part time due to wor commitments but with the help of technology I have the tax to make it fulltime but not be there. Is there reasons for it to be sanctioned as requiring a AFSL bring the fact it is a signal you are providing and not advice.

Great work mate, Greg". Reply "Dear Mr Tax Man, I'm a bit lost with my tax return. I have been trading forex with Vantage FX as part of my uni course - but it required I use my real funds. I dont have an ABN or anything like that. I like to do my own tax online. Where do I put this loss on my tax return? Reply "Hi Mr Taxman, where would we put our trading profits trading losses in the ATO's myTax?

Reply "Hi Mr Taxman, I'm currently holding the Australian Permanent Residency status but was resided in Singapore for the past couple of years. I intend to open a forex CFD account with an Australian registered broker like IC Markets. My question is will I be taxed for any trading profits in such circumstances?

I have deposited k AUD in a USD bank account not Forex trading last financial year and withdrew in several portions up to this financial year till all deposit withdrawn and made an overall loss of less than AUD. Would this be considered as a business loss or capital loss? Is 20k turnover rule apply for this one if I want to offset it against my regular income? Reply "Also, can I claim this in last year's tax return which is due or I have to leave it for current year's tax return?

As I said the withdrawals have happened during both financial years. Reply "Hi Mr Taxman- this one is a little complicated. I am an Aussie citizen resident in the UAE and have a forex trading account operating in South Africa and financed from the UAE. If I repatriate funds to the UAE are they considered tax free earnings when I return them to Australia? If not could this be minimised by incorporating a trust?

Came under AUS residency inand transferred funds in Reply "Hi Mr Taxman, I am about to go on the paid parental leave scheme. I know you are not supposed to earn any income while on it or you are considered having gone back to work. Does this mean no Forex trading during the 18 weeks because it is taxed the moment you make a profit?

Or do I just declare profit or loss at the end of the tax year and the actual dates aren't relevant? Possible wishful thinking on my part I suspect? Reply "Hi Mr Taxman, I live in Aus, I am paid in USD. The Money is paid into a Hong Kong account and I transfer it down to Aus every Month converting it to AUD.

It is for private use, I do not have a australia. Can I disregard the gain I get from the conversion from USD to AUD under these circumstances using section ? Forex, if I give my best mate some silver for his birthday and he sells it later down forex track, does he have to pay CGT?

How can you have stock if you don't 'hold'it and has no value? Post a New Comment. Little known ways to reduce capital gains tax on your investment property " I was seriously in love with my boyfriend for 3 years and we were planning to get married but one day he came to my house and told me he was no longer interested in our relationship simply because Marriage "HELLO, Are you passing through financial difficulties, or you need an urgent loan to improve your tax standard.

Forix Loan is a US based company in amalgamation with the Barclays Financial ATO compliance update for self-managed superannuation funds "HELLO, Are you passing through financial difficulties, or you need an urgent loan to improve your business standard.

ATO compliance update for self-managed superannuation funds "I could not understand the concept of Individual tax return. My wife is working in Australia australia paying her taxes separately and I am working overseas on permanent job but I am still considered as If you have a tax or finance query, why not email it through to Mr Taxman.

A selection of queries will be responded trading each month on the Mr Taxman website. Some queries may also be selected for publishing in Woman's Day. Unfortunately, due to volume of mail, we cannot respond to all queries personally. Change the way you feel about taxes. Get informed and discover what the taxman doesn't want you to know.

Foreign currency trading Dec 10, Media Availability Are you interested in booking Mr Taxman for a speaking engagement or requesting his viewpoints for an article? Latest Comments "I am a private lender and investor, do you need a legitimate, honest, serious and quick loan?

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