Cryptocurrency Tax Blog

Demystify Crypto Taxes

Best Crypto Exchanges in 2020

This article breaks down the top 5 best crypto exchanges, providing guidance on the best, most secure exchanges for various trading preferences, geographic locations, and fee structures.

Guides

October 23, 2020

How To File Your Cryptocurrency Taxes with TurboTax

This article walks through the process of filing your cryptocurrency taxes with TurboTax.

Guides

October 21, 2020

The Tax Implications of PayPal’s Foray Into Crypto

We take a close look at the tax effects of PayPal’s crypto hub in this article. Millions of potential users who chose to use the service to buy and sell cryptocurrencies will face these tax consequences.

Crypto Taxes

October 21, 2020

The Tax Implications of the Uniswap Airdrop

Learn how the Uniswap airdrops are treated from a tax perspective. The IRS treats cryptocurrency airdrops as income. The amount of income you recognize is equal to the fair market value of the crypto at the time it was received.

Crypto Taxes

October 9, 2020

Best Sites for Finding Crypto and Blockchain Jobs

This article discusses the most widely-used blockchain job markets online today alongside details on how much blockchain specialists earn and which blockchain skills are in demand. 

Tools

October 5, 2020

DeFi Crypto Tax Guide: Analyzing Lending, Yield Farming, Liquidity Pools, Borrowing, and Earning

In this article, we dive into these questions and share the fundamentals of DeFi taxes as they relate to lending, borrowing, yield farming, liquidity pools, and earning.

Guides

September 29, 2020

Next Steps - Australia Crypto Tax Report

In this article, we discuss the next steps you can take for filing your cryptocurrency capital gains and income with your taxes. 

Guides

September 18, 2020

The Complete Australia Crypto Tax Guide (2020)

This guide discusses how cryptocurrencies are taxed in Australia and provides tips on making compliance easy for citizens.‍

Guides

September 17, 2020

The Best Bitcoin Mining Software to Use (2020)

We break down the best available bitcoin mining software and the best ways to utilize them in this article.

Guides

September 3, 2020

The 10 Best Bitcoin Mining Hardware Machines 2020

In this article, we break down the 10 best Bitcoin mining hardware machines of 2020, presenting a breakdown of hash rate, power draw, and potential profitability.

Guides

September 1, 2020

IRS is Sending Out Thousands More Cryptocurrency Warning Letters

The IRS has begun sending out warning and action letters to suspected cryptocurrency holders similar to the 10,000+ letters they sent at this time last year (August 2019). Letters 6174 and 6173 are two different variations that alert suspected crypto holders of their tax reporting requirements.

Crypto Taxes

August 26, 2020

Over 150 Million Americans Must Report Crypto on Taxes With IRS Update

The IRS has doubled down on its cryptocurrency tax enforcement efforts by moving the infamous cryptocurrency question to the main American tax form: 1040. 

Crypto Taxes

August 24, 2020

How to Do Your Cash App Bitcoin Taxes

In this guide, we walk through the exact process behind how to do your Cash App taxes for your bitcoin trades. 

Guides

July 20, 2020

How to Do Your CoinJar Taxes

In this guide, we walk through the process of getting your CoinJar taxes done so that you can stay in the good graces of the ATO.

Guides

July 15, 2020

Exodus Wallet Taxes - How to Build Your Tax Reports

In this guide, we discuss how to do your Exodus Wallet taxes and everything you need to know to stay compliant.

Guides

July 9, 2020

The 16 Best Crypto Trading Bots (Reviewed)

Learn about the best crypto trading bots and the unique advantages they provide. Get the detailed review of each of the top tools and platforms.

Crypto Trading Bots

July 6, 2020

Australian Tax Office Targets Cryptocurrency Investors With 350,000 Warning Notices

The Australian Tax Office (ATO) is gearing up to send out close to 350,000 notices to cryptocurrency investors in effort to “remind them” of their tax obligations. This is by far the largest crypto compliance effort conducted by a government to date.

Crypto Taxes

June 30, 2020

The Top 8 Bitcoin and Cryptocurrency Podcasts

Tools

June 5, 2020

How to Do Your Coinbase Taxes

In this guide, we explore how to report your Coinbase taxes properly. Figure out which tax documents you need. No more headaches.

Crypto Taxes

May 21, 2020

IRS Soliciting Contractors To Help Audit Crypto Tax Returns

On Tuesday evening, May 12th 2020, the IRS sent out a Statement of Work soliciting private contractors to aid in the audits of cryptocurrency related tax returns. 

Development Updates

May 13, 2020

How to Report Crypto Losses On Your Taxes

Learn how to handle your bitcoin and crypto losses for tax reporting. This article discusses how to report crypto losses to the IRS as well as strategies for saving you money and using your capital losses to lower your tax bill.

Crypto Taxes

May 12, 2020

How to Report Cryptocurrency on Taxes: 2020

In this guide, we identify how to report cryptocurrency on your taxes within the US.

Guides

May 11, 2020

The Complete 2020 Bitcoin Tax Guide

This guide breaks down the fundamentals of Bitcoin taxes and walks through the reporting process in the United States.

Guides

May 5, 2020

How To Do Your Coinbase Pro Taxes

In this guide, we’ll discuss exactly how you can get your tax reporting done when using popular crypto exchange: Coinbase Pro.

Guides

April 28, 2020

The 5 Best Crypto Portfolio Trackers

In this guide, we take a look at the best crypto portfolio trackers and apps available on the market today.

Tools

April 27, 2020

The Ultimate UK Crypto Tax Guide 2020

Taxes can be a complicated subject. In this guide, we break down everything you need to know when it comes to cryptocurrency taxes for UK citizens. 

Guides

April 23, 2020

10 Lucrative Bitcoin & Crypto Affiliate Programs You Need To Know About - 2020

Our team of researchers has done all of the hard work for you! We’ve spent hours upon hours scouring the internet for the best bitcoin and crypto affiliate programs out there. This guide reveals our findings.

Guides

March 27, 2020

The Best Places to Store Your Cryptocurrency

Private keys, recovery phrases, no ways to file disputes - storing and managing your cryptocurrency can be incredibly confusing. This only gets worse when you consider how valuable your crypto becomes over time and the fact that transactions are irreversible. This quick refresher on the best places to store your crypto explains everything you need to know and is good for beginners and veterans alike.

Guides

March 26, 2020

How Crypto.com Users Can Do Their Crypto Taxes With CryptoTrader.Tax

CryptoTrader.Tax has officially teamed up with Crypto.com to bring automated cryptocurrency tax reporting to Crypto.com users. This article guides you through each step of the process and allows you to get your crypto taxes done in a matter of minutes.

Guides

March 12, 2020

Crypto Tax Reporting for Robinhood - Why it Differs From Other Exchanges

Robinhood Crypto does not allow users to transfer crypto into or out of the Robinhood platform. This factor makes tax reporting much different for Robinhood cryptocurrency investors. In this article we address how to handle your Robinhood cryptocurrency transactions for your tax reporting.

Crypto Taxes

March 2, 2020

Gatehub and CryptoTrader.Tax Team Up to Bring Crypto Tax Reporting to Users

Gatehub and CryptoTrader.Tax have officially partnered up to bring a seamless tax reporting experience to users of the Gatehub wallet and cryptocurrency exchange.

Development Updates

February 25, 2020

3Commas Partners Up With CryptoTrader.Tax To Bring Automatic Tax Reporting To Users

3Commas has teamed up with CryptoTrader.Tax to bring automated gains and losses tax reporting to their users. One challenge that comes with trading cryptocurrency across multiple exchanges is tax reporting

Development Updates

February 19, 2020

Does Coinbase Report to the IRS?

In 2019, the IRS made it clear that they are making cryptocurrency tax enforcement a priority. The tax collecting agency sent out over 10,000 warning and action letters to early Coinbase customers who may or may not have been accurately filing their crypto gains and losses on their taxes. These actions from regulators have many U.S. individuals wondering how the IRS is aware of their cryptocurrency transactions and ultimately asking the question: Does Coinbase report to the IRS?

Crypto Taxes

February 13, 2020

Best Crypto and Bitcoin IRA Options - A Detailed Review

Cryptocurrency and Bitcoin IRA’s have become a popular way to invest in the emerging cryptocurrency asset class while simultaneously reaping some tax benefits that are commonly associated with retirement accounts. In this guide, we’ll discuss bitcoin IRA’s in depth and take a look at their advantages and disadvantages as well as compare and contrast some of the leading companies providing cryptocurrency IRA services. 

Tools

February 10, 2020

How To Do Your Uphold Taxes - Building Your Crypto Tax Forms

Uphold has become one of the leading cryptocurrency platforms and exchanges on the market today. This guide breaks down how to do your Uphold taxes as well as how you can build out your necessary crypto tax reports. 

Guides

January 30, 2020

Celsius Network Tax Reporting - How to Do Your Crypto Taxes

This blog post explains how you can report the interest received from your Celsius account on your taxes. Celsius Network has become one of the largest players in the crypto loan origination space.

Guides

January 22, 2020

Why Your Tax Prep Business Should Focus on Servicing Cryptocurrency Clients

The market demand for professional cryptocurrency tax preparation services outweighs the supply by so much that the tax firms who offer cryptocurrency support are acquiring highly profitable clients at an astounding rate.

Guides

January 15, 2020

How To Do Your Bitstamp Taxes - Building Your Crypto Tax Forms

Bitstamp has become one of the largest cryptocurrency exchanges based in the U.K. This article discusses these challenges and explains the easiest way to build out your required Bitstamp and crypto tax forms.

Guides

December 13, 2019

Top 6 Crypto Trading Questions with Quadency CEO Rosh Singh

Just like in traditional markets, it’s important to understand the instruments you are trading. With crypto, there is great research being put out on a regular basis that can be helpful for deciding what to trade. Research tools that offer reliable metrics about token projects are useful in evaluating their overall health and activity.

Guides

December 10, 2019

The Ultimate Guide to Cryptocurrency Tax Loss Harvesting

Tax loss harvesting is one of the most effective ways to reduce your tax bill for the year. This guide outlines what tax loss harvesting is, how you can use it to reduce your bitcoin and crypto tax liability, and how you can use CryptoTrader.Tax’s Tax Loss Harvesting tool to automatically detect your greatest opportunities for tax savings.

Guides

November 25, 2019

Canada Cryptocurrency Taxes - The Complete 2020 Guide

Canada’s cryptocurrency tax policy is receiving more attention as Bitcoin and other cryptocurrencies have gained significant popularity over the past few years. This guide discusses how cryptocurrencies are taxed in Canada and provides tips on making tax compliance easy and fast for citizens through the use of cryptocurrency tax software.

Guides

November 20, 2019

IRS Clarifies Crypto Tax Treatment of Like-Kind Exchange, Airdrops, and FBAR Reporting

Key individuals and regulators in the crypto tax space clarified a variety of topics yesterday (Nov. 13, 2019) at the AICPA national tax conference in Washington, DC. Topics of clarification included the tax treatment around 1031 Like-Kind exchange, airdrops, specific identification, and FBAR reporting requirements.

Crypto Taxes

November 14, 2019

150 Million Taxpayers Will Have to Answer This Cryptocurrency Question on New IRS Tax Form

Two days after the IRS released their updated and highly anticipated new cryptocurrency tax guidance in October of 2019, the agency circulated a draft of the new 1040 Schedule 1 for the upcoming 2019 tax season. On this new tax form, which will be filled out by all taxpayers in one way or another (aprox. 150 million), there is a check “yes” or “no” question at the very top:

Crypto Taxes

October 30, 2019

US Residents Losing Access to Poloniex - Here’s How You Should Prepare

Poloniex recently announced that it will be shutting down US operations and no longer provide services to US users. This guide discusses how you should prepare from both a trading and a tax reporting perspective.

Crypto Taxes

October 18, 2019

How To Do Your KuCoin Taxes - Building Your Crypto Tax Forms

When it comes to doing your KuCoin taxes and building out your required KuCoin tax forms, a number of challenges arise. This article discusses these issues and explains the easiest way to build out your required KuCoin and cryptocurrency tax forms.

Guides

October 15, 2019

Breaking Down the New IRS Cryptocurrency Tax Guidance

For the first time since 2014, the IRS has issued new cryptocurrency tax guidance. This guide breaks down everything you need to know.

Crypto Taxes

October 10, 2019

How To Do Your Bittrex Taxes - Building Your Crypto Tax Forms

This article explains the easiest way to build out your required Bittrex and cryptocurrency tax forms.

Guides

October 3, 2019

I Paid For Something With Crypto - How Do I Do My Taxes?

Paying for a good or service with crypto is a taxable event and you realize capital gains or capital losses on the payment transaction. These gains and losses need to be reported on your taxes.

Crypto Taxes

October 1, 2019

I Created My Cryptocurrency Tax Report - Now What?

This article breaks down the next steps for including your crypto tax reports with your entire tax return. As you will see, you have a few different options depending on how you typically file your taxes every year:

Guides

September 29, 2019

How are Cryptocurrency Hard Forks Taxed?

In this guide, we explore cryptocurrency forks and the current best practices for handling them from a tax perspective.

Crypto Taxes

September 24, 2019

How To Do Your Kraken Taxes - Building Your Crypto Tax Forms

This article explains the easiest way to build out your required Kraken tax forms. Many traders use Kraken because it operates and complies within the strict regulatory environment present in the United States.

Guides

September 20, 2019

CryptoTrader.Tax for Tax Pros: Calculating Cryptocurrency Capital Gains and Losses For Clients

Calculating cryptocurrency gains and losses to report on Form 8949 can be an excruciating task for accountants. CryptoTrader.Tax is a platform built to automate the entire crypto tax reporting process and make your life as an accountant a whole lot less painful.

Guides

September 16, 2019

How To Do Taxes For Your Bitcoin Gains

This guide walks through exactly how cryptocurrencies like bitcoin are treated from a tax perspective. It will also demonstrate how software tools can be used to automate the entire tax reporting process.

Crypto Taxes

September 5, 2019

IRS Notice CP2000 for Cryptocurrency - What Do I Do?

This guide walks through CP2000, how cryptocurrency is treated for tax purposes, and what you can do about the CP2000 notice.

Crypto Taxes

August 16, 2019

IRS Letter 6174 & 6173 for Cryptocurrency - What Do I Do?

The IRS is beginning to crackdown on individuals who transacted with Bitcoin and other cryptocurrencies but did not report it on their taxes. 

Crypto Taxes

July 18, 2019

How To Do Your Gemini Taxes - Building Your Crypto Tax Forms

When it comes to doing your Gemini taxes and building out your required Gemini tax forms, many challenges arise. This article dives into the issue and explains the easiest way to build out your required Gemini tax forms.

Guides

July 9, 2019

The Cryptocurrency Tax Problem - Why Exchanges Can’t Provide Users With Accurate Tax Documentation

Cryptocurrency exchanges can't provide users with accurate tax documents. This guide breaks down why that is and discuss a solution

Crypto Taxes

June 27, 2019

Reporting Stolen or Lost Cryptocurrency for Tax Purposes

Losing crypto from exchange shutdowns, wallet hacks, scams, and other events are unfortunately common in the world of cryptocurrency today. From a tax perspective, these events are not all treated the same, and it largely depends on the specifics of the circumstances. This guide walks through the most common forms of theft and crypto losses and the possible ways to treat them from a tax perspective in the U.S.

Crypto Taxes

June 19, 2019

US Residents Losing Access to Binance - Here’s How You Should Prepare

Binance recently announced that it will block all cryptocurrency exchange services to users in the US in the future. This guide describes how you should prepare for the loss of access from both a trading and a tax compliance perspective.

Guides

June 17, 2019

How to Handle Your Client’s Cryptocurrency Tax Forms

Many tax professionals are having to learn about the world of cryptocurrencies and how they are taxed as their clients have increasingly started to invest, trade, and transact in the digital asset.

Guides

June 10, 2019

How To Do Your Binance Taxes - Building Your Required Crypto Tax Forms

When it comes to doing your Binance taxes and building out your required Binance tax forms, many challenges arise. This article dives into the issue and explains the easiest way to build out your required Binance tax forms.

Crypto Taxes

May 31, 2019

How to Import Cryptocurrency Trades into Drake Accounting Software

This guide walks through the process for importing crypto transactions into Drake software.Drake accounting software is a widely used platform for tax professionals preparing tax returns on behalf of their clients. With the growth in popularity of bitcoin and other cryptocurrencies, many tax professionals find themselves wondering how to import their clients crypto transactions into the platform.

Guides

May 22, 2019

How is Cryptocurrency Taxed?

Cryptocurrencies like bitcoin and ethereum have grown in popularity over the past five years. This article walks through how cryptocurrency is taxed and what you need to understand so that you can stay compliant

Crypto Taxes

May 13, 2019

The Ultimate Guide to API Access for your Crypto Exchange Accounts

Application program interfaces (API’s) provide a way for one system to interact with another. In the case of cryptocurrency, API’s are often used as a way to interact with cryptocurrency exchanges. Many complementary businesses and tools have been built allowing users to connect to these exchange API’s like portfolio trackers, crypto trading bots, tax software tools, and many more.

Guides

May 9, 2019

How to Create Your First Tax Report with CryptoTrader.Tax

This guide walks through how to create your first tax report within CryptoTrader.Tax. To create an accurate tax report, CryptoTrader.Tax needs your historical buys, sells, and other transaction data from every crypto exchange you have used. Without all of your transaction data from all years of transacting with cryptocurrency, the application will not have the necessary information needed to create reports.

Guides

April 29, 2019

Mailing in form 8949 for e-Filing cryptocurrency traders

Depending on how many cryptocurrency trades you made during the year, CryptoTrader.Tax may automatically consolidate your 8949 form into a single line. This is in accordance with section 2 of the IRS 8949 instructions, and will happen for those that have many trades (see example of consolidated 8949 below).

Guides

April 22, 2019

How to File Your Bitcoin and Crypto Taxes with TaxAct

You can easily file your bitcoin and crypto taxes with popular tax filing software TaxAct by importing your crypto tax reports from CryptoTrader.Tax. This guide walks through the step by step process, so that you can quickly file your cryptocurrency transactions.

Guides

April 19, 2019

Cryptocurrency Tax Calculations - FIFO, LIFO, HIFO, and Specific ID

FIFO, LIFO, and HIFO costing methods explained. The new 2019 guidance officially declares that specific identification methods like LIFO (last-in first-out) or HIFO (highest-in first-out) can be used provided that you can specifically identify particular units of cryptocurrency.

Crypto Taxes

April 17, 2019

The Best Companies for Crypto and Bitcoin Loans

Bitcoin loans are becoming popular amongst crypto investors who are looking for liquidity without having to sell their crypto. Using crypto as collateral is a great way to do things like buy a house, fund a business, or pay off high-cost debt. Additionally, there can be tax benefits to borrowing crypto

Tools

April 11, 2019

How to Handle Cryptocurrency Mining and Staking on Your Taxes

Cryptocurrency received from mining or staking is treated in two ways for tax purposes. This article breaks down each of these two taxable events and explains the implications of reporting your crypto and bitcoin mining transactions on your taxes.

Crypto Taxes

April 8, 2019

When Do You Owe Taxes on Your Bitcoin and Cryptocurrency?

This article breaks down taxable events and explains when you do or do not owe capital gains tax on your cryptocurrency transactions.

Crypto Taxes

April 4, 2019

6 Hacks to Decrease Your Crypto Tax Liability

This article walks through six strategies that can be used to decrease your crypto tax liability

Crypto Taxes

March 10, 2019

The Top 5 Mistakes Made When Doing Crypto Taxes

A list of the most common mistakes that we see made when doing crypto taxes

Crypto Taxes

February 18, 2019

The Ultimate Crypto Tax Checklist - Everything You Need to Properly File Your Cryptocurrency Taxes

This checklist runs through everything that you need in order to easily complete your crypto taxes.

Tools

February 8, 2019

TurboTax partners with CryptoTrader.Tax to offer Bitcoin and Cryptocurrency tax services

Turbotax is now offering tax support for Bitcoin and other cryptocurrencies through their partnership with leading crypto tax software company, CryptoTrader.Tax.

Development Updates

January 18, 2019

Paying Taxes On Bitcoin - Everything You Need to Know

This guide walks through the fundamentals of paying taxes on Bitcoin and other cryptocurrencies

Crypto Taxes

January 5, 2019

The Ultimate Resource List For Crypto Traders & Investors

Charting tools, decentralized exchanges, news aggregators, ICO information, and every resource you need for your crypto trading.

Tools

December 20, 2018

How I Filed my Crypto Taxes in 20 Minutes Using CryptoTrader.Tax

I used CryptoTrader.Tax this year to automate the whole process. In this article, I am going to detail exactly how I filed my crypto taxes using the platform.

Crypto Taxes

December 15, 2018

Rebalancing vs. HODL - Which Strategy Drives Higher Crypto Portfolio Returns?

This article provides a comparison of how rebalancing performs when compared to holding as they relate to crypto portfolios

Tools

November 30, 2018

FBAR Reporting Requirements for Cryptocurrency

Does the Report of Foreign Bank and Financial Accounts (FBAR) apply to Cryptocurrency? This is a popular question within the crypto tax community to which no one has a definite answer.

Crypto Taxes

October 21, 2018

Cryptocurrency Tax Laws - Here’s What You Need to Know

This article addresses the current state of cryptocurrency tax laws and outlines the most important elements that you need to be aware of as a market participant.

Crypto Taxes

October 16, 2018

What to do with your 1099-K from Coinbase, Gemini, Kraken, or Coinbase Pro for crypto taxes

What do you do with your 1099-K that you received from your cryptocurrency exchange? This article addresses how to handle the necessary tax forms you need for your crypto taxes

Crypto Taxes

September 29, 2018

The 2020 Guide To Cryptocurrency Taxes

This guide breaks down everything you need to know about cryptocurrency taxes so that you aren’t caught unprepared when tax season roles around.

Guides

August 5, 2018

The 6 Things you need to know before going to a CPA for your Crypto Taxes

Crypto taxes are the ultimate Wild West right now. Here are six things that you should be aware of before forking over thousands of dollars to a CPA for your crypto taxes.

Crypto Taxes

June 12, 2018

What to Do If You Forgot to Report Your Crypto Trades On Last Year's Tax Return

A lot of crypto investors and traders are nervous about winding up with an audit and tax bill years down the road that they can't afford. The best solution to this is to simply be proactive.

Crypto Taxes

June 3, 2018

The Best Charting Tools For Crypto Traders

There are many different charting solutions on the market, but these three were the best we could find in terms of feature sets, ease of use, and exchange integration.

Tools

June 1, 2018

The Best Open Source (and Free) Crypto Trading Bots

Crypto trading bots are tools used by traders to take the fear and emotion out of their trading.

Crypto Trading Bots

May 11, 2018

How To Calculate Your Trading Gains With CryptoTrader.Tax

If you were stuck calculating your gains and losses by hand this past tax season, you know first-hand how difficult it is to find historical price data for all of your trades.

Guides

April 12, 2018

Crypto Taxes: Common Questions Answered

The most commonly asked crypto tax questions all answered in one place.

Crypto Taxes

March 10, 2018

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