Cryptocurrency and Tax NZ
The Inland Revenue in NZ has just released its latest update on tax considerations for Cryptocurrency. In simple terms cryptocurrency is any currency that only exists digitally or virtually. And it can be transferred between people without using an intermediary (like a bank) to transact. It uses cryptography and blockchain regulate its generation and to verify its fund transfers.
Some examples of cryptocurrency are Bitcoin, the most common one but there are others; Etherium, ripple and litecoin and there are thousands more.
Cryptocurrency in NZ are treated as property and taxed accordingly. There are no special tax rules for it. Ordinary tax rules apply.