Exactly how much tax you pay on crypto gains in Australia depends on your income, how long you held it, and whether the 50% CGT discount applies. This guide explains every tax rate with worked examples.
Australia does not have a separate, flat crypto tax rate. The ATO treats cryptocurrency as a capital gains tax (CGT) asset — the same category as shares and investment property. When you sell, swap, or otherwise dispose of crypto at a profit, the gain is added to your total taxable income for that financial year and taxed at your personal marginal rate.
For 2025–26, the Australian income tax brackets are:
| Taxable Income | Tax Rate on That Portion |
|---|---|
| $0 – $18,200 | 0% (tax-free threshold) |
| $18,201 – $45,000 | 16% |
| $45,001 – $135,000 | 30% |
| $135,001 – $190,000 | 37% |
| $190,001+ | 45% |
Add the 2% Medicare levy on top. So the maximum effective rate on crypto gains is 47% (45% + 2% Medicare levy), and the minimum is 0% for low-income earners whose total income including the gain stays below $18,200.
The most important factor in how much tax you actually pay is whether you qualify for the 50% CGT discount. If you held the crypto for more than 12 continuous months before selling or swapping it, only half of your net capital gain counts as taxable income. The other half is completely disregarded — it never appears on your tax return at all.
The table below shows the tax payable on a $10,000 crypto gain (after the 50% discount where eligible) at different income levels in 2025–26:
| Other Income (salary etc.) | Marginal Rate | Tax on $10,000 Gain (held >12 months, 50% discount applied) | Tax on $10,000 Gain (held <12 months) |
|---|---|---|---|
| $40,000 | 16% | $950 (taxed on $5,000) | $1,900 |
| $70,000 | 30% | $1,625 | $3,250 |
| $100,000 | 30% | $1,625 | $3,250 |
| $140,000 | 37% | $1,850 | $3,700 |
| $200,000 | 45% | $2,250 | $4,500 |
These figures use the marginal rate on the gain portion only and exclude the Medicare levy for simplicity. Use the calculator below to get a precise figure for your specific income and gain amount.
Enter your purchase price, sale price, holding period and income to get your exact CGT figure.
Crypto Tax Calculator →If you sell or swap crypto for less than you paid (including fees), you have a capital loss. Capital losses cannot reduce your salary or other ordinary income — they can only offset capital gains. If you have no other capital gains this year, the loss carries forward indefinitely and can offset future gains in any subsequent year.
One important restriction: if the crypto qualifies as a personal use asset (bought and used quickly for personal purchases), any capital loss is completely disregarded — you cannot use it at all.
The tax treatment above applies to investors — people holding crypto as a capital asset. If the ATO determines you are carrying on a crypto trading business (based on frequency, organisation, profit intention and other factors), your profits are taxed as ordinary business income instead of capital gains. This means the 50% CGT discount is not available, but losses may be deductible against your other income.
Most crypto tax content stops at buying and selling. The activity that actually generates confusion is everything else.
Staking rewards are generally treated as ordinary income at their Australian dollar market value when you receive them, not when you sell them. That amount then becomes the cost base of those tokens for a later disposal. Two taxing points, two records.
Airdrops depend on the circumstances. Tokens received in relation to an existing holding, or in exchange for some action, may be treated differently from tokens simply distributed. The treatment is fact-dependent and worth confirming.
Lending, liquidity provision, and wrapping can each involve disposals that are not obvious. Depositing a token into a protocol and receiving a different token in return may constitute a disposal of the first, even where you regard it as the same asset.
If your activity extends beyond simple buying and selling, the cost of getting professional advice is generally far less than the cost of an amended assessment.
The ATO operates data-matching programs that collect information from Australian cryptocurrency designated service providers. This includes account details and transaction data.
The practical consequence is straightforward. If your tax return reports no crypto activity while the ATO holds records showing disposals on an exchange linked to your tax file number, the discrepancy is visible. People have received amended assessments and penalties on this basis.
Voluntarily disclosing an error before the ATO contacts you generally results in a considerably better outcome than waiting.
Exchanges close, wallets are lost, and transaction histories disappear. Export your records regularly rather than assuming a platform will still be there when you need it. Reconstructing a cost base years later, from a defunct exchange, is expensive and sometimes impossible.
For most Australians holding crypto as an investment, tax works as it does for shares: a CGT event on disposal, gain equals proceeds minus cost base, and holding beyond twelve months may qualify the gain for the CGT discount.
The difficulty lies elsewhere — in staking and DeFi treatment, in distinguishing investing from trading, and above all in keeping Australian dollar records across hundreds of transactions. The ATO receives exchange data, so accurate reporting is not optional.
This page is general information only and is not tax advice. Crypto tax rules change, and the treatment of newer activities continues to develop. Confirm your position with a registered tax agent experienced in crypto before lodging.
A disposal is what triggers a CGT event — not withdrawing dollars. Swapping one coin for another is the case most often overlooked.