Best Crypto Tax Software Australia in 2023
According to the Australian law on cryptocurrency trading, transactions involving cryptocurrencies are subject to capital gains and income taxes and might impact tax refunds. Therefore, anyone who buys or sells cryptocurrency should keep detailed records of all their dealings, just as they would with any other financial asset.
If you’re having difficulty making all the intricate calculations around your taxes, you’re in luck, as the crypto market is booming with crypto tax software. You have a multitude of reliable options from which to choose, and each of these options has the potential to make filing your taxes simpler and less frustrating.
With tax season right around the corner, it’s helpful to have a quick rundown of what some of these providers have to offer and finally make that crypto tax headache a thing of the past.
To help you alleviate the stress associated with filling out the tax forms, I have compiled a list of some of the most popular software options on the market to effortlessly (and accurately) calculate your capital gains and tax obligations on your crypto revenue.
Best Cryptocurrency Tax Software in Australia
- Koinly – Best for Ease of Use
- CryptoTaxCalculator – Best for Tax Professionals
- CoinLedger – Best for High-volume Crypto Traders
- Fyn– Best for Customer Support
- CoinTracking – Best Free Crypto Tax Software
- Coinpanda – Best for Most Supported Crypto Exchanges
- TaxBit – Best for NFT and DeFi trades
- Ledgible – Best for Client Management
- Accointing – Best for Tracking Transactions and Coins
- Cryptio– Best for Back-Office Bitcoin and Crypto Tax Accounting
- TokenTax – Integrates Information from All Available Markets and Wallets
- Atani – Best for One-Stop Crypto Services
- BitcoinTax – Best for Flexible Pricing Plans
Table of Contents
Best Crypto Tax Software in Australia
1. Koinly – Best for Ease of Use
With its ease of use and dependability, Koinly is your trusted ally come tax time. Whether you’re a client in need of a detailed crypto tax report, a company in need of an inventory tracking system, or an accountant attempting to make sense of a tangled web of financial dealings, this cutting-edge tax calculating software has your back.
Not only does this cryptocurrency tax software compute your taxes by your country’s tax guidelines, but it also provides advice on how to lower your crypto taxes in the future.
If you use Koinly, you won’t have to worry about making irrational profits or filing erroneous tax returns again. This software syncs your data to the platform, where you can receive an overview of all your crypto investments, find and correct inconsistencies in your transaction records, or preview your capital gains and tax obligations.
Most importantly, you can effortlessly generate your tax paperwork whenever you’re ready without worrying about an unexpected call from ATO.
Finally, Koinly offers tax reports for Australia and 20 other countries. You can choose your home country from a dropdown menu during setup to ensure the software calculates your cryptocurrency taxes according to local tax legislation.
Pros
- An easy-to-use software;
- Global support;
- Free user plan that helps you monitor around 10,000 crypto transactions;
- Extensive integration with more than 6,000 currencies, approximately 50 wallets, and approximately 350 exchanges.
Cons
- Not audited;
- A rather pricey service.
Koinly Details
2.CryptoTaxCalculator – Best for Tax Professionals
If you go with CryptoTaxCalculator, you can rest assured that it follows all the requirements and guidelines for assessing your taxable events set forth by ATO. In addition to providing a full suite of accounting and bookkeeping software solutions, this tax calculating software serves hundreds of the most prominent crypto exchanges in Australia and worldwide.
The features of this service make it simple to keep tabs on all your cryptocurrency transactions across a wide variety of exchanges and ledgers. Namely, CTC manages not just the blockchain transactions you conduct but also anything else you do that is unrelated to an exchange.
Moreover, the CTC software’s efficient categorisation system ensures that even your on-chain transactions (like staking, airdrops, ICOs, NFTs, DeFi, mining) will always be properly filed away.
While the CryptoTaxCalculator services are on the more expensive side, the CTC team is generous enough to provide a free trial so that you can test out the software and see how it performs. During the trial period, you can integrate information, look over your transaction history, examine the platform, and get a detailed breakdown of the taxes calculated toward each money transfer.
Pros
- Handles non-exchange activity, such as NFTs, ICOs, DeFi, or crypto mining;
- Extensive integration with more than 500 different exchanges, DEXs, DeFi protocols, and wallets;
- Regionally-adjusted report layouts, including reports in a format approved by the Australian Taxation Office (ATO).
Cons
- No annual tax report with the free trial;
- High-priced plans.
CryptoTaxCalculator Details
3. CoinLedger (formerly CryptoTrader.Tax) – Best for High-Volume Crypto Traders
When it comes to crypto tax software in Australia, CoinLedger (formerly CryptoTrader) is at the top of the list. It is user-friendly and effortlessly interacts with the best Australian cryptocurrency exchanges.
Fortunately, filing your cryptocurrency taxes only entails four simple activities. Once you’ve imported all of your cryptocurrency transactions and included any cryptocurrency revenue (from staking, gifting, mining, or airdrops), you can build a tax report and either load it into your tax app or hand it over to your book-keeper, which I find to be highly convenient and easy.
In addition, the Tax Professional suite offered by CoinLedger makes it simple for accountants and tax agents to guide their clients through the process of importing transactions with the help of this software.
Pros
- Available reports on short-term and long-term gains;
- Easy navigation;
- Free tax preview.
Cons
- No free annual tax report service.
CoinLedger Details
4. Fyn (formerly BearTax) – Best for Customer Support
BearTax, you’ve been a blast! Now, let me introduce you to Fyn. This crypto tax business has revamped its website to make it easier than ever to file taxes on crypto and web3 assets in accordance with the new and evolving legislation.
When it comes to keeping track of your crypto assets’ tax liabilities, Fyn is the most user-friendly solution you need. This all-in-one tax calculator allows users to automatically prepare paperwork, retrieve trades from anywhere, and track and save taxes on transfers.
The methodology of this software has been condensed into a three-step procedure that comprises integrating transactions via CSV file or an API key, examining the material, and obtaining tax statements that can be uploaded into conventional tax filing programs like TurboTax.
And the best part? If you become lost in the tax accounting maze, don’t fret – Fyn provides top-notch live chat and email support.
Pros
- Fast calculation of your cryptocurrency taxes;
- Free starter plan if you have completed fewer than 20 transactions;
- Extensive integration with some of Australia’s most popular cryptocurrency exchanges (including Binance, Coinbase, Poloniex, GDAX (Coinbase Pro), Gemini, Bittrex, and more);
- Calculates your mining taxes.
Cons
- There’s no support for margin trading.
5. CoinTracking – Best Free Crypto Tax Software
When it comes to cryptocurrency accounting software, CoinTracking has been around since 2009, which makes it a veteran in the crypto tax accounting sphere.
With this software’s subscription-based architecture, you can easily prepare tax reports for numerous years in one go. You can use CoinTracking to evaluate your trades and get real-time information on your gains and losses, coin values, realised and unrealised gains, and tax reports, among other things.
Compared to its competitors, CoinTracking’s free plan offers a wealth of valuable tools, such as 200 transaction reports, coin tracking made simple, a reporting section, 100 tax and capital gain reporting entries, two backups, and much more. Therefore, if you are not a high-volume trader, this free plan might be able to help you out quite a lot with your crypto tax reports.
Pros
- Legacy support for closed exchanges;
- Ability to link multiple accounts;
- Personal trade backups;
- How-to videos for new users.
Cons
- The free plan doesn’t include automatic imports;
- Advanced trading features and priority customer service are reserved for the premium plan’s subscribers.
CoinTracking Details
6. Coinpanda – Best for Most Supported Crypto Exchanges
When using Coinpanda, importing your transactions is simple because of the platform’s direct connections with more than 500 exchanges, 75 wallets, and blockchains. To prepare crypto tax returns in under 20 minutes, you can use the platform’s intuitive and simple-to-browse design.
Profit and loss from futures and margin trades, as well as DeFi transactions, can all be determined with the help of this program, in addition to the ability to generate reports on gains and losses from cryptocurrency investments.
Coinpanda also provides a software suite that CPAs and other tax professionals can use to make tax reports for their clients. This is one of the features that appeals to me the most because, I must admit ── I am not the most experienced trader when it comes to creating tax reports.
Pros
- Provides tax assistance for more than 500 markets;
- It’s quick and simple to use;
- Includes everything you’ll need for tax filing.
Cons
- If you deal with cryptos in high volumes, there are cheaper alternatives.
Coinpanda Details
7. TaxBit – Best for NFT and DeFi Trades
Accounting professionals and tax lawyers collaborated on the development of TaxBit, making it a reliable tool for filing cryptocurrency taxes. Many of the crypto industry’s most recognised exchanges are its partners and customers, demonstrating the high regard in which it is held.
TaxBit collaborates with some of the world’s top organisations regarding government oversight. Your information is safe here since it has earned an independent SOC2 approval.
Connecting more than 4,200 cryptocurrency exchanges worldwide, this software is at the forefront of its field. If you have a TaxBit account, you can quickly manage and monitor your wallet portfolio, buy NFTs, sell your NFTs, participate in the DeFi market, execute payments using United States tax codes, and quickly swap coins.
The most notable benefit of using this software is that you only need TaxBit to access your portfolio traffic statistics, capital loss deduction, fund audit trail, and IRS 8949 tax filings.
Finally, priced at $500 a year for all of the premium capabilities, this innovative tax calculating software is not cheap.
Pros
- Combines information from over 500 different types of services (exchanges, wallets, DeFi protocols, NFT marketplaces, etc.);
- Determines taxable profits and losses in real-time;
- Customer support is available through live chat.
Cons
- Costly in comparison with other tax calculating software solutions;
- Doesn’t provide a mobile app.
TaxBit Details
8. Ledgible – Best for Client Management
How often have you asked yourself whether you should increase or decrease the size of your staff to accommodate your company’s crypto reporting and accounting requirements? With Ledgible, there are no licence costs or user caps since it offers a built-in dashboard for a more convenient native team management.
Using some of the best-in-class reporting algorithms this software has, you can also combine crypto data and generate the financial records you need for the tax preparation program you already employ.
When it comes to calculating crypto obligations and sending that information to your existing tax and accounting technology, Ledgible is by far the most effective and advanced crypto software platform available. Designed for certified public accountants, tax professionals, and institutions, Ledgible makes cryptocurrencies easily understandable to all tax accountants.
Pros
- Advanced crypto tax calculations;
- An easy-to-use, expert crypto tax preparation;
- Excellent client management;
- Transparent metrics for monitoring client development;
- Fast transaction matching.
Cons
- No free trial option.
Ledgible Details
9. Accointing – Best for Tracking Transactions and Coins
Accointing is a powerful software for keeping track of your cryptocurrency holdings and paying associated taxes. This platform gives both professional crypto traders and crypto enthusiasts to upload, monitor, and handle their trading activities, in addition to generating a tax report tailored to the trader’s jurisdiction.
This software is both straightforward and has all the necessary data you need for managing a cryptocurrency wallet displayed on the screen. With only a few taps, you can go into even greater detail regarding market prices and capital ratios.
To gather information, Accointing connects to APIs provided by cryptocurrency exchanges, accepts wallets that use public addresses, and allows you to manually upload transaction information, which I find to be especially useful when it comes to dealing with rare coins.
To wrap up, this tax tool’s low price and high quality of service could easily make it one of my top choices. There is, however, one caveat. Namely, Accointing can only provide assistance to five major countries.
Pros
- Able to track even the rarest coins;
- Supports over 400 exchanges;
- Direct API integrations;
- Fast and easy calculations;
- A highly responsive client support team.
Cons
- Supports only a handful of jurisdictions.
Accointing Details
10. Cryptio – Best for Back-Office Bitcoin and Crypto Tax Accounting
Spending on gas for contract deployment, NFT minting, and third-party contracts can add up. Thus, keeping tabs on these costs is essential for accurate bookkeeping regarding dApps and smart contracts. Luckily, Cryptio is here to help you.
Whether you’re a crypto hodler or a blockchain developer, this tax software will let you keep tabs on your cryptocurrency holdings in your accounts, including those at marketplaces, custodians, and DeFi networks. Moreover, Cryptio will allow you to integrate that data effortlessly into your traditional accounting practices.
To ease the tax calculating process even further, Cryptio enables you to sync transaction data across wallets, trading platforms, and corporate custody systems, making it easier to stay updated on your taxable income.
In addition, I discovered that accepting payments using the software was quite simple; all you need to do is link it to your cryptocurrency payment processor, invoicing software, or payment wallet. After doing so, you can easily handle your account statements and send the relevant information to your accounting software. I’m sure that whoever thought figuring out crypto taxes is hard hasn’t tried Cryptio.
Pros
- Suitable for corporations, hedge funds, DAOs, and crypto businesses;
- Easily synchronises an unlimited number of blockchain transactions, accounts, marketplaces, and custodians.
- Integrates and standardises crypto-based transactions into GAAP and IFRS-compliant databases.
- Keeps track of the gas fees you pay for contract deployment, NFT minting, and 3rd party contracts.
Cons
- Demo available only upon request;
- Somewhat pricey plans.
Cryptio Details
11. TokenTax – Integrates Information From All Available Markets and Wallets
If you use a cryptocurrency exchange that isn’t integrated with CoinLedger, you still have options, as TokenTax can import data from all of your cryptocurrency wallets and exchanges.
TokenTax is ideal for traders who have difficulty locating tax software compatible with their chosen exchange because it supports each trading platform, blockchain, protocol, and digital wallet in the crypto ecosystem. Simply upload a CSV file or sync with TokenTax using its API to get your tax information in one place. Rest assured that this software will be able to import your transaction history from whatever exchange you are using.
TokenTax also offers investors full reconciliation services that can be used for more complicated accounting needs. These services are done by tax experts versed with cryptocurrencies. You can safely rely on them to assist you in handling data of any complexity, including missing cost basis, large trading volume, and cross-chain currency exchanges.
Pros
- Complete compatibility with any cryptocurrency platform or wallet provider;
- Supports NFT and DeFi transactions;
- Includes a tax-loss-harvesting dashboard.
Cons
- No cost-free software evaluation; using the very minimum of this software’s features will cost you $65.
- Perhaps the costliest cryptocurrency tax software, with plans reaching an eye-popping $3,499.
TokenTax Details
12. Atani – Best for One-Stop Crypto Services
If you are someone who, much like me, likes having everything you need in one place, then you’ll definitely love Atani. All of your cryptocurrency trading, portfolio management, and tax reporting needs will be met with this convenient hub. Best of all, you can create an account in an instant at no cost to you.
With Atani’s crypto tax software, you can streamline your accounting by integrating your API connections or (soon!) by uploading your CSV files of transactions. It doesn’t matter how many transactions you’ve had, this software’s got you covered.
And while it’s true that you can calculate your taxes quickly, easily, and entirely free with Atani’s downloadable one-click tax reports, please note that Atani provides an easy-to-use data service for calculating cryptocurrency-related taxes incurred as a result of your in-app transactions. So, if you plan on doing tax calculations on transactions made through other platforms, you should look for some other software (and probably pay for it).
Pros
- Supports over 40 cryptocurrencies, 70+ exchanges and DEXs, and more than 30 countries;
- Fast crypto tax calculations;
- API integrations;
- Demo option available;
- Free downloadable crypto tax reports.
Cons
- Only trades made using this platform qualify for the no-cost tax reports.
Atani Details
13. BitcoinTax – Best for Flexible Pricing Plans
If you use a cryptocurrency wallet to trade cryptocurrency, BitcoinTax can generate comprehensive tax reports. For starters, this crypto tax software will immediately determine your tax liability and alert you whenever you make a purchase or sale using one of its partnering wallet solutions, mine coins, receive coins, or make investments.
Furthermore, this tool allows you to evaluate other pricing strategies, such as First-In, First-Out (FIFO), Last-In, First-Out (LIFO), average costing, and so on. Reports on capital gains, gift and gratuity valuations, donations, income, and other tax matters are also part of the service.
In my opinion, the best part of BitcoinTax is that it offers alternative price structures based on different wallet options. Various automated tax functions, trader and market wallets, business wallets, and retail investor wallets are all considered in the flexible plan of the software. And that’s why BitcoinTax is a trusted name in crypto accounting services.
Pros
- Fast tax calculations;
- Flexible plans;
- Extensive integrations;
- Full tax preparation service;
- Audit defence service;
- Free plan for up to 20 transactions;
- Multi-year pricing plans.
Cons
- The costs associated with data processing services are somewhat high.
BitcoinTax Details
How Do We Choose the Best Crypto Tax Software?
If you traded cryptocurrencies during the tax year, you could pick a crypto tax automated software to compute your taxable gains and losses. When it comes to choosing the best crypto tax solutions, these are the qualities that I believe are the most important.
Data Integrations
The types of data integrations should be your priority when choosing your crypto tax software. It’s essential to look into the types of imports your preferred software can handle and whether it connects to the major exchanges, websites, and platforms.
Namely, the imports via an API (Application Programming Interface) and via (CSV) Comma Separated Values file are two of the most common data integration methods for these tax apps.
The easiest and most reliable way to get your wallet and exchange transaction information into the tax software is to use an API. All you need to do is copy your wallet’s or exchange’s API key and enter it into the appropriate field in the tax app. The platform will automatically download and reconcile all your crypto transactions as soon as you do that.
On the other hand, importing data from a CSV file takes time and effort and is not the most convenient option. To achieve this, you will need to use a CSV export of your transaction history and import that data into your chosen cryptocurrency tax application. You may also need to modify this report of past transactions to fit the specifications of your software system. Consequently, there’s a chance that this method, in comparison to API import, is prone to more errors.
Because of this, the higher the number of API integrations a tax software offers, the more streamlined the tax return process will be, and the less cumbersome your life will get during tax season.
Features
Many of these tax software solutions mislead you by saying they can handle your cryptocurrency tax filings. The truth is, these services merely consolidate all of your cryptocurrency transactions in one place and convert any earnings or losses to your local fiat currency.
By the same token, keep in mind that these crypto tax software tools don’t figure out how much tax you have to pay on your cryptocurrency gains. That is calculated based on your tax return. Therefore, the software you use must have several mechanisms and tools to assist you in consolidating all of the information and producing a well-balanced tax return.
Some software platforms, for instance, include features such as free portfolio tracking, instructional webcasts, FIFO/AVCO/WAC cost basis methodologies, or financial planning tools in conjunction with the gain/loss financial statements.
Moreover, many crypto tax platforms include features such as free portfolio tracking, instructional webcasts, or financial planning tools, in conjunction with the gain/loss financial statements.
What I find to be one of the best features offered on these tax software solutions is the possibility to invite your accountant to check your portfolio without giving them access to your personal login information. This is certainly an excellent feature for protecting your data, not to mention that the accountant will appreciate the ease and security of this solution and help you save money in the long run.
Accurate Ready-to-Use Paperwork
Since even the slightest error in your final tax report might result in hefty fines levied by ATO, the cryptocurrency tax software you choose should be able to perform your tax computations with the utmost accuracy. Therefore, you should look for software that generates (and guarantees) high-precision paperwork that is ready to use, but remember that the more quality tax-reporting services can come under a price plan that is also more expensive.
Reliability
Given that crypto tax calculation is new ground for fintech software, you must ensure the integrity of any crypto tax software you want to employ. Therefore, I strongly advise you to research thoroughly before committing to a software vendor because you will be held responsible in front of the law for the information included in your tax return.
If you’re interested in the platform’s reliability, you might want to learn more about the engineers who designed it. Maybe you could identify team members with experience in tax reporting or legislative procedures. For example, companies composed entirely of programmers may have little to no practical working experience in the tax realm, which is necessary to successfully navigate this complex landscape.
Automated Data Input
Fast and dependable data access is a crucial competitive differentiator for today’s businesses and services. Data entry by hand is the norm rather than the exception. However, it is time-consuming and arduous to manually extract information from CSV documents or other sources, which also comes with high costs, a high error rate, and scalability problems.
Fortunately, there is a more effective method. When it comes to automating document-based operations, automated data input is a potential solution for a wide range of financial apps. Software designed to automate data entry and transmission from many sources saves time and improves the accuracy of the operation.
The information in PDF files, printed papers, emails, websites, and other similarly inaccessible data sources can be easily read by automated data entry systems. The obtained data is then converted into a format more conducive to long-term preservation, such as a database or a spreadsheet.
To that end, most cryptocurrency tax software solutions have a feature that allows you to enter transaction details automatically. However, not all software solutions will work with your particular cryptocurrency exchange or wallet, necessitating manual data entry.
Therefore, I believe it’s prudent to verify these two features before committing to specific tax software. Otherwise, you’re looking at several long days of tedious data entry to meet your tax-filing deadlines.
Flexibility
In addition to being user-friendly, the crypto tax software should be highly adaptable to accommodate various taxpayer scenarios. Naturally, I’m referring to the revised plan’s price, and the company’s readiness to accommodate your specific tax preparation needs should reflect the concept of flexibility.
Pricing
Depending on your circumstances, pricing can be your priority. Never forget that spending a little more for better features, bandwidth, and reliability is money well spent. For most tax calculating services, the number of transactions you conduct in a particular financial year determines your pricing tier.
One of the advice here would be to utilise services that will grant you a free trial if you satisfy the requirements. You should also anticipate higher costs if you’re a high-volume trader.
How Does Crypto Tax Software Work?
The purpose of cryptocurrency tax software is to streamline the process of declaring cryptocurrency-related profits, losses, and income to the tax authorities. The software accomplishes this by figuring out your tax liability for you.
With tax accounting software, you can import all of your cryptocurrency transaction history from multiple digital wallets and crypto trading exchanges. The software then organises this information into a report documenting your crypto gains and losses for the fiscal year. It can even prepare your tax returns by outlining the earnings you’ve made from staking and mining cryptocurrencies.
You can use these reports to fill in the necessary information on your tax form manually or provide them to your accountant so they can do it for you.
How we choose and rank the best crypto exchanges.
We test, review and rate exchanges by looking at their ease-of-use, trading features, customer support, and fees. Analyzing user reviews helps us assess the overall sentiment. However, we didn’t evaluate every exchange and your needs might dictate an exchange we haven’t reviewed yet.
Frequently Asked Questions
What is the best cryptocurrency tax software?
Your best option for crypto tax software is the one that meets all your requirements as a taxpayer. As a general rule, the best solution for crypto tax calculations is the software that allows you to generate profit and loss statements plus tax reports effortlessly, syncs your transaction data with the majority of trading platforms, and complies with your local crypto tax legislative.
Please consult this article’s Best Crypto Tax Software in Australia list to assist you further with this question.
How do I declare crypto taxes in Australia?
After you have calculated your taxes and ensured that the results are accurate, you should fill out the appropriate tax forms.
You can submit your tax return to ATO digitally (using the MyTax tool, which is accessible via your MyGov account) or physically (using a paper form). By clicking the checkbox labelled Capital gains tax (CGT) related items, you’ll be able to specify your capital gains and losses on your tax return.
If you prefer not to use MyTax to lodge your tax return, you can print off a CGT declaration form and submit it to the ATO via regular mail instead. You’ll need to fill out two forms: one for reporting income and another for reporting capital gains and losses.
Under the heading Current year capital gains of each form, you must report any profits on your crypto investments. To the right of the NET capital losses carried forwards to later income years label, you should enter the amount of your capital loss.
How does the ATO know if you have crypto?
The ATO is highly likely to have all information on your crypto trading activities if you’ve registered a trading account with any of the Australian cryptocurrency exchanges. It is possible that the ATO already has records of your cryptocurrency transactions dating back to 2014.
Since the Australian Taxation Office knows the details you submitted when creating an account with an Australian cryptocurrency exchange or wallet service, the taxation office continuously expands the range of information it may lawfully collect on your market activities.
Holding cryptocurrency or exchanging coins on forex offers you no cover from paying taxes. Due to the ATO’s increased vigilance in this area, those who have not adequately reported their cryptocurrency transactions may ultimately be saddled with significant tax bills and penalties. Therefore, I strongly advise you not to attempt to evade paying your tax obligations.
Is Koinly or Cointracker better?
As a starting point, both Koinly and Cointracker provide DeFi asset tracking tools that keep tabs on all user crypto holdings, including NFTs. Further comparison of these software offerings reveals that either platform is adequate for any cryptocurrency investor looking to monitor their crypto portfolio without resorting to a notepad and the time-consuming process of manual documenting of countless transactions, as well as gains and losses across multiple exchanges.
And while both tax calculating solutions are comparable in various respects, Koinly has an advantage over Cointracker because it provides tax software for a broader range of countries. Koinly also includes support for margin trades and DeFi at no additional cost, but CoinTracker makes you upgrade your plan to get these features. Therefore, if you’re looking for the cheaper and more integrated of the two options, my vote goes to Koinly.
How do I keep track of crypto taxes?
Keeping detailed records of your cryptocurrency transactions and activities to comply with applicable tax laws is among the crypto industry’s most vital best practices. Many traders have had trouble calculating their taxes after an exchange’s privacy breach or shutdown prevented them from accessing their trade history.
As a result, if you buy, sell, trade, or dispose of virtual money, you should retain records of the transaction and its fair market value.
As a result, I strongly advise you to regularly back up the CSV files containing your exchange transactions and store these backups in more than one location. In the same vein, for your protection, you must keep this information locked up and encrypted.
Is crypto tax software free?
You can choose from many different options when it comes to the cost of crypto tax software. Some platforms may require you to pay a fee while others may provide some services for free but then attempt to get you to subscribe to some more advanced, add-on and payable features related to your particular cryptocurrency transactions.
Having said that, if you are ready to spend a little bit more on your cryptocurrency tax services, you will benefit from the higher degree of automation and professional assistance available through the software.
In conclusion, I feel that determining which services are free before selecting a crypto tax software is the best way to go if you don’t want to pay more than you expected for tax reporting services.
Adam Morris
Adam is a seasoned crypto expert who has been researching and writing all about the topic since 2017.
He’s spoken on crypto podcasts as well as being featured in large media publications such as Yahoo, Fortune, TheStreet, Coindesk, and many others.
He’s passionate about blockchain technology and how it’s going to change the world for the better.