How Are Crypto Airdrops Taxed in Australia?

The general rule

Under ATO guidance, most airdropped tokens are ordinary income at their AUD market value when you receive them. That value also becomes your cost base for a later CGT event when you sell.

Initial-allocation airdrops

There's an important exception: an initial allocation airdrop — where you receive a brand-new project's token as part of its first distribution and you didn't already hold a token to qualify — may not be ordinary income on receipt. Instead you may only face CGT when you later dispose of it (often with a nil cost base). The distinction is subtle, so document how you received each airdrop.

Watch the timing trap

You can be taxed on an airdrop's value at receipt even if the token later crashes to zero before you sell. Keep records of the date and AUD value of every airdrop.

Make it easy

Crypto tax software detects airdrops in your wallet history and values them at receipt automatically. For airdrop-heavy wallets, Koinly and Crypto Tax Calculator both handle this well.

General information only, current as a guide to ATO rules — not personal tax advice. Crypto tax depends on your circumstances. Verify with the ATO or a registered tax agent before you lodge.