The Australian Taxation Office (ATO) updated its guidance on foreign exchange rates, which includes the monthly foreign exchange rates for the 2023-2024 income year (1 July, 2023, to 30 June, 2024) and the annual foreign exchange rates for the financial year ending 30 June, 2024.
The monthly and annual foreign exchange rates detail both the average and nearest actual rates.
All foreign income, deductions and foreign tax paid must be converted to Australian dollars before including it in one’s return. There are rules about which exchange rate to use. Generally, these require amounts to be converted at the exchange rate prevailing at the time of a transaction or an average rate.
ATO used the exchange rates from the Reserve Bank of Australia from 1 January, 2020.
