Valuation of Crypto Assets
As many crypto assets are traded on exchanges without fiat conversions, the value of any gain or loss must be converted into South African Rands to declare on your tax returns. The statutory tax rules for foreign currency conversion must be followed in each case.
Where the transaction does not have a fiat value (for example if Bitcoin is exchanged for Ethereum) an appropriate value for the crypto assets at the time of the transaction must be established, in order to convert the transactional value to South African Rands.
Reasonable care should be taken to arrive at an appropriate valuation for the transaction using a consistent methodology. Details of the valuation methodology must be readily available, should this be a subject of enquiry.
Last modified 1yr ago