Does Kraken Report to the ATO?

If you're using Kraken in Australia, the ATO may be more aware of your crypto than you realise. Learn what info Kraken provides to the ATO in our guide.

Is Kraken legal in Australia?

Yes, Kraken is legal and operational in Australia as in the UK, US and other major territories. In Australia, Kraken conducts business locally through its registered entity, Bit Trade Pty Ltd, which is listed with AUSTRAC as a Digital Currency Exchange provider.

This registration allows Kraken to legally offer crypto trading services in Australia, including AUD deposits and withdrawals via PayID or Osko, and spot trading for retail users. As part of its compliance obligations, Kraken collects Know Your Customer (KYC) information and follows anti-money laundering (AML) regulations set by AUSTRAC.

However, Kraken has faced regulatory scrutiny from the Australian Securities and Investments Commission (ASIC) and was fined $5.1 million for offering margin trading products to retail customers without proper authorization or a target market determination. The platform now restricts derivative products to wholesale investors. 

Read next: Best Crypto Exchanges Australia

Does Kraken report to the ATO?

Yes, Kraken may share your information with the ATO. As a registered Digital Currency Exchange (DCE) with AUSTRAC, Kraken is obligated to verify the identities of its users through KYC procedures.

Since 2019, the ATO has operated a data-sharing initiative with Australian-based crypto exchanges. Under this arrangement, platforms like Kraken are required to provide detailed user transaction records to the ATO.

In some cases, this data can appear pre-filled in your tax return, especially if there have been crypto disposals, prompting you to review and report any capital gains or other taxable events accurately.

What does Kraken report to the ATO?

The ATO partners with select data sources to define what information is shared, and while the exact data Kraken provides isn’t publicly listed, the ATO has published examples of what may be collected through these arrangements.

This personal information can include:

• Full legal name and date of birth

• Residential and postal addresses

• Australian Business Number (ABN), if applicable

• Email addresses and phone numbers

• Details from linked social media accounts

• Information from ID verification documents

• IP address recorded at the time of account setup

• Kraken user ID

The ATO may also receive data connected to your Kraken account activity, such as:

• Linked bank account information

• Crypto wallet addresses associated with the account

• Transaction identifiers, including dates, times, assets traded, and values

• Account balances in both cryptocurrency and fiat

• Transfer history and descriptions of transactions

• IP addresses linked to transaction activity

Read next: Can the ATO track crypto?

What does the ATO do with the information Kraken provides?

The ATO uses data from platforms like Kraken to help ensure Australian taxpayers are properly disclosing their crypto activity. This information may be used to:

• Identify individuals who may have crypto-related tax obligations

• Issue reminders or notifications about reporting requirements

• Cross-reference tax return details with data received from exchanges like Kraken during the lodgment process

How do I report my Kraken taxes to the ATO?

Any gains, losses, or income from your Kraken activity must be reported to the ATO by October 31st each year as part of your annual tax return.

Capital gains and losses are declared in the Tax Return for Individuals (Supplementary Section – NAT 2679), while crypto-related income is included in the Tax Return for Individuals (NAT 2541). You can also submit your return online via the ATO’s myTax portal.

Kraken does not issue ATO-compliant tax statements for Australian users. The easiest way to track and report your Kraken transactions is by using a crypto tax calculator like Koinly, which can help calculate your gains and generate the correct tax reports.

Read next: Australian Crypto Tax Guide

Report your Kraken taxes with Koinly

Koinly simplifies the process of reporting your Kraken transactions to the ATO. You can automatically import your trading history using SSO or securely upload a CSV file of your transactions.

After importing your data, Koinly calculates your capital gains, losses, income, and other key figures, then generates an ATO-compliant myTax report, along with additional reports you may need for your lodgment. Learn more about how to generate your Kraken tax forms with Koinly.