Tax
Tools to help you track and calculate Bitcoin taxes.
Koinly
Bitcoin tax reports in under 20 minutes; reports for 20+ countries
CoinLedger
Bitcoin & crypto tax software built to save you time & maximize your savings
The tools above are for people with many trades. If you have a few trades, you can use our free Bitcoin tax calculators below:
Crypto tax software helps you take the pain out of manually calculating crypto taxes.
This guide will tell you which one is best for your situation to save you time and money this tax year.
- Koinly, CoinLedger, and CoinTracking are three of the best software.
- All tax software will allow you to import into TurboTax, making it easy for users and accountants.
- These software all work for accountants. Your clients can export the forms and send them to you.
Expert Advice: Before getting software, consult a tax accountant. Tax expert Ian Corzine claims that's the best way to ensure you're running tax software properly.
Fact Check: Before trying one of these software, properly check all tax claims with an accountant or CPA.
Useful Tool: If you only have a few trades, try our free crypto tax software calculators that we created ourselves:
Best Tax Software For:
- The best overall tax software tool is Koinly and also best for TurboTax.
- Bitcoin.tax is the best free software if you have less than 20 trades. It allows you to generate IRS, TurboTax, TaxACT, and H&R Block forms for free if you have under 20 trades.
- CoinLedger is the best for DeFi since it allows you to easily track interest income and other income.
- CryptoTaxCalculator is the best for NFTs, as it was built for Web3.
Comparison
Software | Price Range | Integrations |
---|---|---|
Koinly | $49 to $400 per year | TurboTax, H&R Block, TaxAct. |
CoinLedger | $49 - $299 per year | TurboTax, TaxAct, TaxSlayer and H&R Block. |
Bitcoin.Tax | Not specified | TurboTax |
CoinTracking | $156 per year | TurboTax |
TaxBit | Not specified | Not specified |
Cointracker | $59 - $199 (Advanced: $599) | TurboTax, HRBlock, 500+ exchanges/wallets |
TokenTax | $65 per year (Advanced plans available) | TurboTax |
ZenLedger | $0 - $149 per year (Advanced: $999) | Turbotax |
CoinPanda | $0 - $189 per year | 800+ exchanges/wallets |
Compare Trustpilot Ratings
We made this tool to compare Trustpilot scores of any of the companies. (Scores as of June 2024.)
- Koinly
- CoinLedger
- Bitcoin.tax
- Cointracking
- Taxbit
- Cointracker
- TokenTax
- ZenLedger
- Coinpanda
- Blockpit
Koinly - Best Overall
Koinly is an app that makes it easy to import your data and download capital gains tax forms like the 8949, and Schedule D and export to Turbotax. The web interface is pretty simple to use and supports the US, UK, Canada, Australia, and many other countries. Check the website for supported countries
Price range: $49 to $400 per year based on features and number of crypto transactions(1).
Koinly is the first on the list because it is, by far, the most simple crypto tax software that we have tried.
Koinly does make it very simple to prepare tax forms for your crypto activity, but it doesn't do much else (unlike CoinLedger outlined below).
Stand-Out Features of Koinly
- Koinly syncs fast with exchanges and wallets
- Simple software that makes calculating taxes easy
- Good documentation for how to set up connections between every single exchange on the platform
Features That Could Be Improved
- The "free" account won't let you download tax forms, so it's not really free.
- No additional features beyond tax preparation
- The Koinly user interface can be a little bit unclear at times
For these reasons, I might recommend Koinly for users who need very minimal features and just want their tax software to produce tax forms quickly.
Countries Supported | Integrations | Features | Forms | Trustpilot Score |
---|---|---|---|---|
20+ | TurboTax, TaxAct | HMRC / ATO / CRA Report | Form 8949 & Schedule D | 4.8 |
Koinly | |
---|---|
Countries Supported | 20+ |
Integrations | TurboTax, TaxAct |
Features | HMRC / ATO / CRA Report |
Forms | Form 8949 & Schedule D |
Trustpilot Score | 4.8 |
CoinLedger
CoinLedger offers an easy way to calculate all your crypto taxes and has integration with TurboTax.
Price range: $49 - $299 per year based on the number of crypto transactions you made(2).
CoinLedger is very simple.
You'll go through a process of connecting all of your exchange accounts as well as your wallets to your CoinLedger account using API keys (don't worry, CoinLedger shows you how to do this for every single exchange). Once connected, you will import all of that data to your CoinLedger account. For US users, CoinLedger will generate Form 1040 and anything else you need.
If you don't trust CoinLedger to directly connect to your accounts, you can export the data from these wallets and exchanges as Excel sheets and import those sheets into your CoinLedger account.
All transactions go through 4 phases:
- Import (as explained above)
- Classify
- Review
- Tax Reports
Stand-Out Features of CoinLedger:
- Incredibly helpful blog posts with written instructions and videos to supplement.
- Differentiates between short and long-term gains
- A crypto income report that helps you understand your true annual salary for that year
- Direct import to Turbotax, making finalizing your total taxes very easy
Features That Could Be Improved
- Better looking and more versatile non-tax related features like portfolio performance tracking
- A free version of the product
For these reasons, I recommend CoinLedger (formerly CryptoTrader.tax) to users who want to make filing their crypto taxes as painless as possible as well as bookkeeping. If you are not overly worried about granting access to your accounts to your accounting software, then CoinLedger is the software for you. I also recommend CoinLedger to anyone who is mining Bitcoin or other cryptocurrencies.
Countries Supported | Integrations | Features | Forms | Trustpilot Score |
---|---|---|---|---|
USA, Canada, India, UK, Australia + 20 more | TurboTax, TaxAct, H&R Block, TaxSlayer | HMRC / ATO / CRA Report | Form 8949 & Schedule D | 4.8 |
CoinLedger | |
---|---|
Countries Supported | USA, Canada, India, UK, Australia + 20 more |
Integrations | TurboTax, TaxAct, H&R Block, TaxSlayer |
Features | HMRC / ATO / CRA Report |
Forms | Form 8949 & Schedule D |
Trustpilot Score | 4.8 |
Bitcoin.Tax
Top Features | Free? | Integrations | Forms | Trustpilot Score |
---|---|---|---|---|
Adjusted cost basis and superficial losses (Canada). Pooling, with same-day and 30-day rules (United Kingdom) | Free tax report for up to 20 transactions | TurboTax®, TaxACT® and H&R Block® | Form 8949 & Schedule D | 4.1 |
Bitcoin.tax is one of the oldest tools on this list. It was one of the first software.
We were early users of Bitcoin.Tax. However, in our recent testing of tools, it is clear that it's become out of date. Other tools have now surpassed it to become more modern and quick.
CoinTracking
Price Range: $156 per year
Integrations: TurboTax
Clients | Users | Integrations | Forms | Trustpilot Score |
---|---|---|---|---|
Used by over 25,000 CPAs | 1+ million users | TurboTax | Form 8949 & Schedule D | 3.2 |
Testimonial: CoinTracking is a comprehensive feature-rich finance, tax, accounting, and strategic planning crypto dashboard. - Kirk Phillips CPA, CMA, CFE, CBP, DCC & Author of "The Ultimate Bitcoin Business Guide"
Summary: CoinTracking is a crypto portfolio tracker and tax calculator that facilitates the management of digital assets, enabling imports from various wallets, blockchains, and legacy platforms. It supports a wide range of cryptocurrencies and provides features for bulk imports and custom price/NFT integrations.
Awaken
Price Range: $75 - $600 USD per year
Integrations: All major crypto exchanges, wallets, and blockchains. Turbotax, TaxAct, H&R block, Form 8949, Form 1040.
AI | Best For | Integrations | Forms | Trustpilot Score |
---|---|---|---|---|
Uses AI for calculations | Special focus on Defi and NFTs | TurboTax | Form 8949 & Schedule D | 3.2 |
Summary: Awaken is more expensive than some other software, but claims to have more features. It offers unique support for loans and staking. It also will give users credits if they show that other tax software generated taxes wrong.
TaxBit
Summary: TaxBit offers a premier end-to-end compliance and reporting solution for the digital economy, aimed at reducing manual work and improving operational efficiency through its API-powered platform for tax and accounting.
Our Take: In our experience, we find that TaxBit is more focused on companies and less on the average user.
Cointracker
Price Range: $59 and $199. $599 advanced plan available.
Integrations: TurboTax, HRBlock, and 500+ exchanges and wallets.
Support | Best For | Integrations | Forms | Trustpilot Score |
---|---|---|---|---|
10,000+ crypto assets | General tracking of crypto | TurboTax, OpenSea, Coinbase, H&R Block | Form 8949 & Schedule D | 4.1 |
Summary: CoinTracker is a platform for automated crypto and NFT tax calculation and portfolio tracking. It generates tax forms within minutes with a notable level of accuracy, ensuring users stay compliant with crypto tax rules. The platform also offers features like automated portfolio tracking, tax loss harvesting, and mobile apps for on-the-go portfolio monitoring. Users can download tax reports swiftly and file them through TurboTax or their preferred accountants, with full support for the US, UK, Canada, and Australia, and partial support for other regions. CoinTracker is trusted by over 1 million users and is the official tax partner of prominent platforms like Coinbase and TurboTax.
TokenTax
Price Range: $65 per year. Advanced plans are also available.
Integrations: TurboTax
Key Features | Best For | Integrations | Forms | Trustpilot Score |
---|---|---|---|---|
FBAR reporting | General tracking of crypto | TurboTax Online | Form 8949 & Schedule D | 4.8 |
Summary: TokenTax offers automated crypto tax form generation and real-time reports, aiding in time-saving, preparedness, and strategic tax decision-making. We didn't like that it only allows Coinbase for its cheapest plan and requires a $199 plan for other exchanges.
ZenLedger
Price Range: $0 - $149 per year, $999 plan available for super-advanced traders
Integrations: Turbotax
Summary: ZenLedger simplifies crypto tax filing and portfolio tracking. It's designed to handle DeFi, NFT, and crypto taxes, aiding in trade tracking and accurate profit/loss calculations to ensure users never overpay on crypto taxes.
CoinPanda
Price Range: 0 - $189 USD per year
Integrations: 800+ exchanges and wallets including all major crypto exchanges, wallets, and blockchains.
Summary: Coinpanda assists in managing crypto taxes and portfolios, offering features like capital gains reports, futures and margin trading support, DeFi, NFTs, and staking tracking across 65+ countries. With 800+ integrations, users can import transactions, preview capital gains, and download tax reports effortlessly.
Crypto.com Tax
Price Range: Free
Integrations: All major crypto exchanges, wallets, and blockchains.
Summary: While Crypto.com's service is free, there is usually a price. It does not offer as many features as the other software we've posted on our list.
BlockPit
Price Range: 0 - 249 EUR
Integrations: All major crypto exchanges, wallets, and blockchains.
Summary: We like Blockpit better for European users since the team is based in Europe. It likely offers more support for UK and EU users who are using smaller and less-known exchanges that the largest software don't support. Accointing was recently acquired by BlockPit.
Frequently Asked Crypto Tax Questions
How can I avoid paying taxes on Crypto?
Short of moving to Puerto Rico or El Salvador, if you are taking profits on crypto, there is no way to get out of paying taxes on it.
That said, there are a few strategies to minimize your tax burden.
- Use a Roth IRA to purchase paper crypto in bitcoin and crypto ETFs and trusts (such as Purpose Investment's BTC ETF or the Grayscale Bitcoin Trust). This allows you to use the money you've already paid taxes on to invest in Bitcoin and avoid capital gains at sale.
- If the year is ending and you are down on your crypto positions, sell your crypto to realize the loss and then buy back in again. This will put you in at a lower cost basis which will defer the taxes down the road should you ever make profits.
- Renounce your citizenship and move somewhere that doesn't tax capital gains.
What is Cryptocurrency accounting software?
Crypto tax software is pretty simple - instead of having to calculate all the taxes you owe on all your trades or crypto income, you can input your data into crypto tax software and it will generate what you owe.
The software always supports Bitcoin, Ethereum, Litecoin, Defi, and nearly any other coin.
It will also hand that information over to your regular tax software, like TurboTax.
If you make lots of trades, most crypto tax software will connect to your exchange accounts and import the data for you.
How does cryptocurrency taxes work?
If you have ever paid taxes on real estate or any other hard asset, then crypto works the same way. Any profits are taxed as capital gains.
That means you pay taxes on the difference between the price you bought the coins, and the price you sell them at. This is true whether you live in Canada, the US, or the UK, as well as many other countries.
Do I still pay taxes if I only made losses on my cryptocurrency?
You must report both profits AND losses. However, if you report losses, you may be entitled to reduce your crypto taxes in the future so it's actually in your interest to report these losses.
Are Crypto to Crypto Trades Taxed?
Yes, anytime you trade one cryptocurrency for another, you are effectively selling the first currency and buying the second one.
This creates either a profit or a loss for the first cryptocurrency and a new cost basis for reporting the second. Make sure to keep track of all crypto-to-crypto trades.
Do I have to pay tax if I transfer crypto from wallet to wallet?
If you do not own the second wallet, then yes, you must pay capital gains on the coins you transferred since you are effectively 'selling' them.
If you own both wallets, there is no sale, and therefore there is no tax-reporting liability.
Can I pay my taxes in the coins I hold?
Even in 2024, most jurisdictions will not allow you to pay any taxes in crypto of any kind. There are a few places, such as the Swiss city of Zug(7) and the US state of Ohio, among others, to allow residents to pay their taxes directly in Bitcoin. Overstock.com became the first US company to pay all of its taxes in Bitcoin(8).
- The Independent - Colorado wants to be first state to accept crypto for taxes
- Market Watch - Some Americans already pay their taxes in bitcoin
- Kanton Zug - Tax payments with cryptocurrencies
- U.S. Securities and Exchange Commission - Statement on Cryptocurrencies and Initial Coin Offerings
- IRS - Frequently Asked Questions on Virtual Currency Transactions
- Forbes - How The IRS Knows You Owe Crypto Taxes