Reminder for Crypto-asset Investors to Review Tax Obligations

Cryptoasset investors are being encouraged to review their tax positions now to avoid unexpected tax bills later.

For tax purposes, cryptoassets are treated as property. This means that income earned from selling, trading, or exchanging cryptoassets is generally taxable. Any income or gains must be included alongside a person’s other income in their annual tax return.

As part of efforts to increase awareness during the 2026 income tax season from April to June, a targeted advertising campaign is running across social and digital media channels. The aim is to help investors better understand their tax obligations and take action early.

Inland Revenue will also be matching cryptoasset information with tax returns and following up where discrepancies are identified. Initial letters have already been sent to individuals with known cryptoasset activity, giving them the opportunity to review their position and file an Individual income tax return (IR3) if required.

Access to more comprehensive data is improving Inland Revenue’s ability to identify individuals with significant cryptoasset activity. In addition, New Zealand is implementing the Crypto-Asset Reporting Framework (CARF), which will provide greater visibility of cryptoasset transactions, including those carried out overseas by New Zealand tax residents.

What this means for you

If you have bought, sold, or traded cryptoassets, it is important to review whether this activity creates a tax obligation. Ensuring your tax return is accurate and up to date can help you avoid penalties, interest, and unexpected costs.

If you are unsure about your cryptoasset tax position or need assistance with your filing, please reach out to us for guidance.