Yes, Binance Australia reports to the Australian Taxation Office (ATO). InvestbyBit Pty Ltd, the company operating Binance in Australia, is registered with AUSTRAC as a virtual asset service provider. As a result, Binance Australia collects information about your crypto activity that can be shared with Australian authorities. Its Australian Financial Services Licence (AFSL) application is still pending with the Australian Securities and Investments Commission (ASIC). Hence, the platform currently operates under a class no action letter.
As Binance Australia collects your personal and crypto information, it is important to know how the ATO may receive and how you can stay on the complaint. Therefore, this article explains what it reports, how the ATO checks the information, why mismatches can occur, and the 3 steps to report your activity correctly.
Key Takeaways
- Binance Australia shares relevant account and transaction data with the ATO under its crypto asset data matching program.
- You remain responsible for calculating and reporting your capital gains and losses through myTax or your tax agent.
How Binance Australia Reports to the ATO?
Binance Australia reports information to the ATO through the Crypto Asset Data Matching Program that applies to InvestbyBit Pty Ltd. The table below breaks down the key reporting details, including what Binance collects, what may be shared with the ATO, and how its current Australian licensing position fits into the picture.
Field | Detail |
Captured under ATO crypto data-matching program? | Yes. InvestbyBit Pty Ltd, trading as Binance Australia, is registered with AUSTRAC as a virtual asset service provider (VASP number 100576141-001), placing it within scope of the crypto assets data-matching program. |
Does Binance Australia hold an AFSL? | Not yet. Binance Australia’s AFSL application with ASIC is still pending. In the meantime, it’s relying on a class no-action letter from ASIC, dated 29 October 2025, which allows it to keep operating while the licensing transition is worked through. |
AUSTRAC transaction data shared with the ATO? | Yes. Separately from Binance’s own reporting, the ATO’s current protocol covers AUSTRAC transaction-report information from 17 June 2021 to 30 June 2027. |
CARF applicable? | The Australian Government announced in the 2025–26 Mid-Year Economic and Fiscal Outlook that it will implement the OECD’s Crypto-Asset Reporting Framework (CARF). This is not yet law; Australia’s first exchange of information under CARF is expected in 2028. |
CGT events that trigger a reporting obligation | Selling, swapping one crypto for another, gifting crypto, and spending crypto on goods or services all count as CGT events, not just converting back to AUD. |
How Does the ATO Track Your Binance Australia Transactions?
Binance Australia’s compliance obligations are only one part of how the ATO can track your crypto activity. In addition, identity checks, data matching and transfer requirements can create records that help regulators connect your transactions with your tax affairs. So let’s understand the tracking method in detail:
Identity Checks When You Register
When you open a Binance Australia account, you provide identity information as part of its standard compliance checks. It also makes it clear that calculating your tax is your responsibility and that its platform does not provide tax advice.
At the same time, Binance Australia states that it may provide certain transaction reports to tax authorities. Therefore, while the exchange does not calculate your tax, your account activity can still be available to the authorities.
The Crypto Assets Data-Matching Program and myTax Prompts
The ATO also compares bulk account and transaction data from Australian crypto exchanges with the information taxpayers report in their tax returns. This automated data matching helps the ATO identify differences between exchange records and reported crypto gains or losses.
As a result, more than 1 million taxpayers a year have received tailored myTax prompts asking them to check whether they need to declare a crypto gain or loss.
AUSTRAC Scrutiny and International Cooperation
Binance Australia’s compliance has also faced regulatory scrutiny. In August 2025, AUSTRAC directed Binance Australia to appoint an external auditor after raising serious concerns about its AML/CTF controls, including the scope of its review, staff turnover and local oversight.
In addition, AUSTRAC shares transaction report data with the ATO under a protocol running from 17 June 2021 to 30 June 2027. The ATO is also part of the Joint Chiefs of Global Tax Enforcement (J5), which brings together tax authorities across countries to investigate international tax evasion, including crypto related activity.
Australia has also committed to the OECD’s Crypto Asset Reporting Framework. However, this remains an announced policy rather than law, with the first international exchange of information expected in 2028.
Stricter Transfer Rules Than Most Exchanges
From 1 July 2026, Binance requires sender and beneficiary details for every crypto deposit and withdrawal, with no minimum transaction amount. This creates additional records about who is sending and receiving crypto through the platform.
For outgoing transfers, you must provide the recipient’s full name, country and city. For incoming transfers, you must confirm the sender’s details through the pending transactions screen. If the required information is missing, the exchange may delay, pause or return the transfer.
Why the ATO May Flag Your Binance Australia Activity Even If You Filed Correctly?
Filing a correct return doesn’t guarantee it will match what the ATO sees on its end. Here’s why that gap can show up, how often it happens, and what usually follows.
Why Does the Mismatch Happens?
The mismatch can occur due to two different scenarios, let’s understand both:
Account Activity vs. Your Actual Gain
The ATO can request account and transaction level activity from Binance Australia, covering deposits, trades and withdrawals. Your tax return, however, reports the calculated tax outcome based on proceeds, cost base and any applicable discount. Therefore, the two figures can look different even when your tax return is correct.
Reporting Cycles vs. Financial Year
Not every Binance Australia transaction fits neatly into Australia’s 1 July to 30 June financial year. In particular, a trade near year end may appear under a different transaction or reporting date from the one you used in your records. As a result, a timing difference can appear even when your reported figures are correct.
How Common Is This?
Such mismatches are very common in Australia. If you trade across Binance Australia and other platforms, or make many smaller transactions during the year, differences between your transaction activity and taxable gain are likely to occur.
Example:
Let’s say, Ryan, an Adelaide based crypto investor, traded on Binance Australia throughout the 2025 financial year. After correctly calculating his cost base and losses, his net gain was $4,500. However, his total trading, deposit and withdrawal activity reached about $29,000. Although his tax return is accurate, the figure that ATO has and the figure that he reports a considerable amount of gap in them.
What Happens Next?
The ATO’s response generally depends on the size of the discrepancy. A smaller difference may lead to a myTax prompt, while a larger one can result in a request for more information or a formal review. If you leave a genuine mistake uncorrected, penalties may apply for false or misleading statements.
To avoid this, check your Binance Australia transaction history against your calculated gain before the ATO raises any concerns. KoinX can help by importing your activity and calculating your cost base, making it easier to reconcile your records from the outset.
How to Download Your Binance Australia Transaction History and Reports?
Before you reconcile anything, you need your own copy of your trading history. Binance makes this available as a generated statement, available through both the website and app, rather than an instant download.
Exporting From the Binance Website
Here is how you can download your transaction history from website:
- Log in to your Binance account and go to Assets and then select Asset History.
- Hover over the export icon and click Export Transaction Records.
- For anything beyond 6 months, click Customize and set your own date range instead.
- Once you have selected the date range, please click Generate.
- Once generated, you’ll get an SMS or email notification.
- Return to the Export Transaction Records pop-up and click Download next to your statement.
Exporting From the Binance App
Here is how you can download transaction history of Binance Australia using the mobile app:
- Log in to the Binance app, go to Assets, tap the History icon.
- There choose My Trades.
- Go to Order History and tap the Download icon at the top right.
Note: Binance caps how many statements you can generate each month, typically somewhere between 15 and 40, depending on your account, so covering several years of trading may take a few separate requests rather than one export. Download links also expire after 7 days, so it’s worth grabbing the file as soon as it’s ready rather than leaving it sitting in your notifications.
Once you have your statement, import it into KoinX to calculate your capital gains and losses, not a certificate from Binance itself, since this export is a transaction record rather than a finished tax document. For more detail on the import process, see our Binance integration guide.
Common Misconceptions About Binance Australia and ATO Reporting
Several common beliefs about Binance Australia and the ATO do not match how crypto reporting actually works. The following misconceptions can create confusion, so it is important to separate what traders assume from what the rules and reporting arrangements actually require.
Binance Is a Global Exchange, So My Australian Trading Is Somehow Outside the ATO's Reach.
InvestbyBit Pty Ltd operates Binance Australia and holds AUSTRAC registration in Australia. This brings its local operations within the scope of Australia’s crypto assets data matching program. Binance’s global presence does not put your Australian trading beyond the ATO’s reach or remove its reporting obligations.
My Crypto Is A Personal Use Asset, So It Is Tax Free
The personal use asset exemption on crypto applies only in limited circumstances, mainly where crypto is bought and used quickly to pay for goods or services. However, crypto held for investment purposes generally does not qualify. As a result, most crypto bought and traded through Binance Australia will not meet this exemption.
Binance Doesn't Hold an AFSL, So It Isn't Properly Regulated in Australia.
Binance Australia’s AFSL application is still pending, so it does not currently hold the licence. However, that does not mean the platform operates without regulatory obligations. Binance Australia operates under an ASIC no action letter, while its AUSTRAC registration also creates compliance requirements.
Only Converting To AUD Counts As A Taxable Event.
A CGT event can occur even when you do not convert crypto to AUD. For example, swapping one cryptocurrency for another, spending crypto or gifting it can involve a disposal under ATO rules. Therefore, you need to consider the tax treatment of each disposal rather than looking only for AUD conversions.
There's No Crypto Pre Fill In myTax, So I Don't Have To Report It.
Australia uses a self assessment system, so you must report your crypto activity even if myTax does not show a pre-filled figure. Instead, the ATO can compare your return with exchange data after you lodge it. Therefore, the absence of a pre-fill does not remove your reporting obligation.
AUSTRAC's Audit Direction Means Binance Is Under Investigation For Tax Issues.
AUSTRAC’s concerns about Binance Australia related to its anti money laundering and counter terrorism financing controls, not its tax reporting. Therefore, the audit direction is separate from information that may be shared with the ATO. However, it does show that Australian regulators continue to scrutinise the exchange’s local operations.
How to Report Your Binance Australia Trades Correctly?
To report your Binance Australia trades correctly, first determine the taxable outcome of your transactions, then compare your calculations with information the ATO may have, and finally include the correct amounts in your return. Therefore, keeping your records organised through these 3 stages can help you lodge with greater confidence.
Step 1: Calculate Your Capital Gain Or Loss
Review your Binance Australia transaction records and calculate the capital gain or loss arising from each CGT event. Compare the proceeds with the relevant cost base, then apply the 12 month CGT discount where you meet the eligibility requirements. Once your Binance data is imported, KoinX can calculate these results automatically.
Step 2: Compare Your Calculations With ATO Information
Next, review your figures against the account and transaction information the ATO may hold through its data matching activities. However, differences can arise because transactions may have different dates, you may have used other platforms, or overall trading activity may be confused with the actual taxable gain. Hence, investigate any mismatch before finalising your return.
Step 3: Include The Figures In Your Tax Return
Once you have checked the figures, report the relevant capital gains or losses in the appropriate section of your return through myTax or your tax agent. If a genuine difference exists between your calculations and the information available to the ATO, retain your transaction records and working papers. This gives you evidence to support your figures if the ATO later requests an explanation.
Conclusion
Binance’s Australian operations run through InvestbyBit Pty Ltd, a locally registered entity that remains within Australia’s regulatory framework. While its AFSL application is still being processed under an ASIC no action letter, its AUSTRAC registration places its Australian operations within the AML/CTF reporting framework. Binance’s own terms also acknowledge that transaction information may be shared with tax authorities where required.
However, regulatory reporting does not calculate your tax liability for you. The ATO may receive information about your Binance activity, but you still need to determine your actual gains or losses and check your figures against the records Binance may have reported. Sign-up on KoinX today so it can simplify this process by importing your Binance transactions, calculating your taxable outcomes, and reconciling the figures before you lodge.
Frequently Asked Questions
Is Binance Responsible for Working Out My Tax?
No, Binance isn’t responsible for working out your tax. Its own policies state plainly that this is entirely your responsibility, and that nothing it provides should be treated as tax advice. At the same time, Binance acknowledges it may report certain transactions to tax authorities, so the responsibility for accuracy still sits with you even though some data may already be shared.
Does Binance Have an AFSL in Australia?
Not yet, Binance Australia’s application for an Australian Financial Services Licence is still pending with ASIC. In the meantime, it operates under a class no-action letter from ASIC, dated 29 October 2025, which covers the transition period while the licensing process is worked through.
Why Did AUSTRAC Order an Audit of Binance Australia?
AUSTRAC directed Binance Australia to appoint an external auditor in August 2025 after identifying serious concerns with its anti-money laundering controls, including a prior review it considered too limited given the exchange’s size. This was a compliance matter tied to money laundering risk, separate from anything related to ATO tax reporting.
Is There a Minimum Amount Before Binance Asks for Transfer Details?
No, Binance requires sender and beneficiary information for every crypto deposit and withdrawal from 1 July 2026, regardless of the amount involved. This applies more broadly than some other Australian exchanges, which set a minimum threshold before extra verification kicks in.
