Thank you, El Salvador!
In 2014, the Australian Bitcoin community advocated for BTC to be considered a currency. Under the Income Tax Act, foreign currency is defined as ‘currency other than Australian currency’.
The Tax Institute noted: “If a foreign country decided to adopt Bitcoin as legal tender … Bitcoin would then automatically be required to be recognized as a foreign currency.”
This could serve as a clear framework for the treatment of BTC under existing laws, removing most of the regulatory uncertainty that comes with using bitcoin in everyday transactions.
First published 10th June 2021.
Source: https://www.facebook.com/robertvong/posts/10157713141206809