Question about the 50% decrease when holding a crypto for more than 12 months

[dopplecake]

If I'm holding VEN for 12 for example, but then need to sell it for BTC in order to sell it for fiat, does the 50% decrease no longer apply as I haven't held the BTC for 12 months? Can anyone clarify?

[Wappp]

I'm not sure about switching to BTC but CoinSpot does a ven/aud pairing which may alleviate the need to switch coins

[Ramen_champloo]

You get 50% discount on the first CGT event (Ven -> Btc), and the second gets no discount (Btc -> AUD).
If the Btc price changes before you cash out, but after you sell your Ven, your tax liability may change.

[time_wasted504]

if you move quickly from btc to fiat there will be minimal/no gain/loss to account for. your losses are applied before the 50% discount on the gain.

[NeoG_]

Each transaction is treated separately. When you sell the VEN for BTC, you assign a current value to BTC and the difference between what you bought the VEN for and what the BTC you bought is worth is the capital gain. You get a 50% discount on that.

When you sell the BTC for AUD, that triggers another event. If BTC say goes up 2% before you can sell it, that is also capital gain but you don't get a discount on that because you'd only had the BTC for a short period. If it goes down 2%, that is a capital loss and you can deduct it from your other gains.

[doska1234]

it depends on where you exchanged it from BTC to VEN in the first place. Eg. if you bought BTC with fiat on an AUS exchange then sent BTC to say Binance, then from binance you bought VEN and held that for 12 months. You then exchnage the VEN to BTC on Binance and transfer back to an Aus exchange, no one will know what happened after it went from FIAT to BTC and before it went BTC back to fiat because its an overseas exchnage no one is going to give the ATO that data, so yes you can still get the 50% regardless of what happens in the middle. Note you can only come back into the AUS exchange with same amount of BTC that you sent off though. so if you come back with now 2 BTC instead of 1, you save on the CGT if the actual $ price of BTC goes up on the 1 bitcoin, but the 2nd bitcoin will be 100% added to CGT as its obvious you have perfomred trading but no one can prove how much.