Australian Court Ruling Could Lead to $640 Million in Bitcoin Tax Refunds

Planet Daily News: A criminal case ruling in Australia may trigger a $640 million Bitcoin tax refund. Victoria State Judge Michael O'Connell, while hearing a theft case involving 81.6 Bitcoins (currently worth approximately $13 million), ruled that Bitcoin should be considered currency rather than a taxable asset. This ruling directly challenges the Australian Taxation Office (ATO)'s position since 2014, which has classified cryptocurrency as a capital gains tax (CGT) asset. Tax lawyer Adrian Cartland noted that if the ruling is upheld on appeal, it could bring total tax refunds of 1 billion Australian dollars (approximately $640 million) for Bitcoin traders. The ATO has not yet confirmed the specific refund amount. Notably, the judge compared Bitcoin to Australian dollars rather than stocks or gold, and this legal interpretation could exempt Bitcoin transactions from the current CGT system. Previously, the ATO stipulated that any Bitcoin disposal (including exchanging for fiat currency, trading other cryptocurrencies, or purchasing goods) constitutes a CGT taxable event. (Cointelegraph)