Choose a crypto tax software that supports your country of residence and syncs automatically with exchanges and wallets to collect transaction data. Furthermore, make sure it offers support for automatically calculating and filing taxes.
Accointing is designed to optimize your cryptocurrency tax liabilities and deliver reports that cover income, staking, mining businesses and non-fungible tokens (NFTs). Annual subscription costs start from just $49 with full API integration to 27 exchanges.
Easy to use
A user-friendly crypto tax software should be designed for those without finance or tech experience, including non-experts. Prior to purchasing it, make sure it can easily meet your needs by testing how easy the platform is for use – also make sure there are reviews or free trials available before committing financially.
Top crypto tax tools will automatically keep track of your gains and losses and provide a report for filing with the IRS. They’ll even help you fill out all necessary forms at year’s end – saving both time and effort! Plus, using such software saves even more!
Koinly is an intuitive crypto tax tool with many coins at its support, providing accurate reporting to the IRS from various exchanges, wallets, DeFi platforms, and NFTs. Furthermore, its automated system can import data from exchanges, wallets, DeFi platforms, NFTs as well as track transfers between wallets to create accurate reports for them and offer strategies to minimize tax liabilities such as harvesting tax losses and portfolio performance analysis.
Supports multiple exchanges and wallets
Crypto tax software stands apart from traditional tools by supporting mass importation, multiple accounting methods and wallet types – perfect for CPAs and accounting firms that serve multiple clients.
Cryptocurrency trading, lending, staking and mining all incur taxes similar to dividends or stock gains. Taxation rates differ by jurisdiction so it is wise to consult a tax expert in order to pay the right amount in taxes.
Crypto tax software often features automatic sync with exchanges and wallets, providing instantaneous tax reports. Koinly is one of the leading tools in this regard with support for 20+ countries as well as innovative transaction importing and tax calculation features that work on-the-fly. Furthermore, third-party integrations support over 300 exchanges/blockchains worldwide while its user-friendly interface and advanced reporting features have made it a favourite among users worldwide.
Supports audit tracking
Before selecting a crypto tax software, always carefully evaluate its security features. A reputable platform should offer 256-bit encryption, employee vetting, dedicated customer service as well as online guides and resources related to cryptocurrency taxes.
Consider how easy the software is to use. Look for platforms that support automatic import of transactions from wallets and exchanges; some even provide free trials! Others may charge annual subscription fees depending on how many transactions occur each year.
Good crypto tax software will import data automatically from exchanges and wallets, then calculate gains and losses before providing pre-filled paperwork for filing your returns – some even allow online filing! With these tools at your fingertips, avoiding costly mistakes while staying up-to-date on current regulations ensures you make the most out of your investment!
Affordable
As a crypto trader or investor, it’s crucial that you know that the IRS requires you to file taxes for your gains and losses. A reliable crypto tax software will import transactions from wallets and exchanges automatically to calculate taxable gains or losses and assist with filling out and submitting forms directly with them – thus decreasing any fine risk by reporting your profits accurately.
Some crypto tax filing services are free while others charge an annual subscription fee based on your number of transactions. Koinly cryptocurrency tax software stands out as one of the more affordable options, providing support for multiple coins and currencies while also including transaction matching features as well as seamless integration with traditional tax filing services.
TokenTax is another widely popular option, offering a basic plan that costs $65 annually and supports Coinbase APIs. Their higher-tier plan offers unlimited transactions as well as an expert session.