As a crypto trader, miner, or investor it’s essential that you keep detailed records of all of your transactions for filing taxes; using the best crypto tax software will make this task simple.
The best cryptocurrency tax tools feature automated data import and tracking across exchanges, wallets, services and blockchain addresses. Some even offer valuable features like tax loss harvesting.
Koinly
Koinly is a cryptocurrency tax software designed to simplify crypto profit tracking by connecting all a user’s wallets, exchanges, and services in one central place. Users can synchronize exchanges and wallets using API or CSV files with Koinly then verify each import to ensure accurate gains are displayed in each import file. In addition, an auto-import verification tool allows Koinly users to monitor balances for negative values or duplicate transactions and is included within Koinly itself.
Koinly’s software is currently available in 20 countries and helps individuals calculate their taxes in three straightforward steps. It monitors trading activity on all popular centralized exchanges, identifies gains and losses according to local tax laws of each country, and generates regulatory-compliant crypto reports that can be exported directly into TurboTax, TaxAct or other tax software programs; additionally it produces IRS Form 8949 completed forms for US residents if desired. Furthermore, new integrations are being developed regularly by Koinly with free trial accounts available to potential customers who could potentially become customers.
Coinpanda
Coinpanda is a cryptocurrency tax software offering various features designed to assist users with fulfilling their regulatory obligations, such as capital gains reports, portfolio tracking and tax preview tools. Furthermore, this application permits users to import transaction history from a variety of exchanges as well as support margin trading.
This app is one of the best tools available to beginners looking to calculate tax on cryptocurrency investments, especially wallets and exchange accounts. It automatically syncs transactions from all your wallets and exchange accounts, giving a comprehensive view of your cryptocurrency investment portfolio. Furthermore, it tracks taxable DeFi income such as mining, staking yield farming airdrops ICOs forks gifts that you may incur through mining/staking/yield farming as well as track DeFi income such as mining/staking income/yield farming income as well as track/tracks DeFi income/income streams such as mining/staking yield farming airdrops ICOs forks/forks etc so you have a complete picture.
User interface of EasyPizza is user-friendly and compatible with desktop computers, smartphones and tablets. Furthermore, it supports multiple currencies and languages as well as fast support responses. Lastly, their free plan offers great value to beginners!
CoinLedger
CoinLedger is a cryptocurrency tax filing platform designed to make reporting gains and losses to tax authorities easy. Users can import transactions from exchanges and wallets to generate tax reports in minutes; additionally they can track DeFi and NFT transactions with this platform before exporting results directly into their tax filing platforms or receiving real-time customer service support.
This user-friendly software supports all major cryptocurrency currencies and wallets. Users can feed in their data through API integrations, CSV file import, wallet scans or manual entry; then it analyzes it all before creating a tax report which can then be exported directly to a tax filing platform or shared with a professional advisor.
Software for frequent traders will need to subscribe to one of its price tiers; otherwise it provides comprehensive customer support. The software has the capacity to analyze 25 transactions at once and offers comprehensive support services.
TokenTax
The software automatically synchronizes transaction data across wallets and exchanges, then imports tax information in an efficient process for filing their taxes quickly and compliant with local laws. Users can easily file their returns using its simplified process – also automating calculations of capital gains/losses as well as compliance.
TokenTax provides a basic tier, costing $65 and supporting only Coinbase, while other companies may provide more comprehensive packages at less expense. Higher tiers allow access to API integrations and support for more complex tax minimization strategies; additionally, VIP packages feature consultations with experts who can assist in solving tricky tax-related issues like back taxes.
TokenTax can assist in the calculation of your cryptocurrency’s basis, which is the original purchase price of its asset. This value is essential in calculating your capital gains or losses and reporting staking and mining income as well as Ethereum gas fees. Furthermore, TokenTax allows you to view current taxable holdings while supporting various methods for tax liability calculations like FIFO/LIFO and average cost methods.
