Altcoins Talks - Cryptocurrency Forum
Crypto Discussion Forum => Cryptocurrency Trading => Topic started by: bkelly on March 21, 2021, 06:39:01 PM
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I have done a small amount of trading, keeping reports of all the transaction. However, each exchange shows different values in their records. I am not at all confident in my ability to sort out what is needed for taxes.
What do you use and recommend for this task?
Edit: Per the first reply, I should have stated my residence is the United States.
Regarding contacting the exchanges, and so far, all of them are very difficult to contact and take much time to respond. For example, I have an account on Gemini and added some accounts to transfer coins from Gemini to another exchange. They require 7 days to authorize a transfer address.
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I have done a small amount of trading, keeping reports of all the transaction. However, each exchange shows different values in their records. I am not at all confident in my ability to sort out what is needed for taxes.
What do you use and recommend for this task?
Hmm, you can always call up where you made the trades in your exchange, can't you? If not it is not a serious exchange.
Furthermore, every country has its own tax rate
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re: Hmm, you can always call up where you made the trades in your exchange, can't you?
The exchanges I use, Coinbase, Gemini, Kraken, provide the numbers. But each one has its own format. Some do not provide the fiat price at the time of exchange and that must be calculated.
There are two basic problems. First: getting the numbers into a spread sheet such that the format is the same for all exchanges. This is expected to require significant effort. Second: organizing and calculating the profit/losses such that my numbers will agree with the IRS numbers. I think I can do that, but, have no confidence that the IRS will be happy with my results.
At least one site notes that crypto is treated like stocks and real estate. But it does not state exactly the same. I am looking for Excel or other utilities to do this.
Edit:
Key Point: How should transfers between exchanges be treated?
First: Gemini and Coinbase trade reports are different. The thought is to keep track of Gemini trades in a sheet just for Gemini, and Coinbase in another sheet. And to go further, each coin should have a separate sheet.
Second: Coinbase does not trade in Dogecoin, Kraken does. But I was not able get Kraken configured to accept a bank transfer in US Dollars. So I buy Ethereum using bank funds on Coinbase, then transfer Ethereum to Kraken. On Kraken, sell Ethereum and buy Dogecoin.
But: I really don’t want the complexity of the Kraken worksheet depending upon the Coinbase worksheet and the reverse. So what is the best way to handle those transactions?
I am Googling and looking for rules, hints, and maybe spread sheets or utilities to buy.
Or maybe create some Excel VBA to do the imports and formats.
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You are definitely a law-abiding citizen, because not everyone bothers about taxes in cryptocurrency, I would look for information on the official page of the US tax department, because only there you can find what you are looking for.
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"For a better understanding of the U.S. tax system, it is necessary to understand the main legal forms of legal entities used to register companies in the USA - LLCs, and corporations.
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One way is to use a tax calculator, which you can find online or through your financial institution. Another way is to use the tax tables that are provided by the government. And finally, you can also speak to a tax professional to get help with calculating your taxes.
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i think you need to use binance us or select only one crypto exchange believe me all top crypto currencies follow bitcoin so if bitcoin dips buy selected top Alt coin and keep them , Dont take the stress of tax and three different exchanges taxation is a daily job .