Complete Your Crypto Taxes in Minutes!
Australia Crypto Tax can help you calculate your capital gains from your cryptocurrency trades. You can quickly and easily generate your capital gains taxes on Bitcoin, Ripple, Ethereum, Bitcoin Cash, Cardano (ADA), Litecoin, Dash, EOS, Monero, and all other crypto-currencies so that you can effortlessly pay your taxes.
How It’s Done: Import – Calculate – Export
- To start, import your trade data into the app using a .csv file.
- Next, use the app to calculate your capital gains or losses.
- Export your completed tax documents. Send to your accountant or import to a tax software to file. For example, you can upload your completed tax documents to common tax software platforms like TurboTax®. Alternatively, you can export your tax documents and file yourself or send to your accountant.
What Are the Benefits of using a cryptocurrency tax calculator?
Pay what you owe. Too often, crypto traders overpay on their taxes. This website calculates using the same methods that tax professionals use, minimizing concern about paying too much or too little. If you pay too little, there can be hefty fines later, leading you to owe more than necessary.
Ease of mind. It is not always easy to calculate your gains and losses for crypto. You’d have to know the cost-basis of every coin that you own and track the profits and new basis every time you spend or sell. Using a professional software minimizes your concern and overall crypto tax liability.
The Fundamentals of Crypto Taxes
In 2014, official IRS guidance stated that Bitcoin and other cryptocurrencies must be treated as property when filing your taxes. Most people would assume that their crypto use would be filed as currency. This is the case for all cryptocurrencies such as Ethereum, Dash, EOS, Monero, Litecoin, Ripple, etc.
All this means that your crypto will be considered property in the same way that real-estate or stocks are. For example, the way that you are required to report trading stocks then, you are also required to report your capital gains and losses from your cryptocurrency trades when filing your taxes if you fail to do so, its considered tax fraud to the IRS.
What You Need to Calculate Your Crypto Capital Gains / Capital Losses?
In order to calculate your capital gains and losses for your cryptocurrency trades, you only really need to understand what is and is not a taxable event. This platform does the rest.
Cryptocurrency – Taxable Events
When looking back at your cryptocurrency trades, a taxable event is any capital gain or a capital loss, both actions trigger a tax reporting liability and both must be reported on your tax return. The following list below is from the IRS and is what they consider a taxable event.
- Earning cryptocurrency as income is a taxable event
- Trading cryptocurrency to fiat currency like the US dollar
- Trading cryptocurrency to cryptocurrency
- Using cryptocurrency for goods and services
If any of the above scenarios apply to you, then you are required to report them when filing your taxes.
What is Not Considered a Taxable Event?
- A transfer is not a taxable event
- Giving cryptocurrency as a gift
- Buying cryptocurrency with USD
With capitals gains, a taxable event only occurs once you trade, use, or sell your cryptocurrency.
The concept of Get Crypto Tax was born out of the understanding that traders struggle when filing their cryptocurrency taxes and existing online tax preparation tools do not integrate easily with cryptocurrency. These difficulties motivated the innovation that is Get Crypto Tax.
Check out our Pricing here for more information on how to get started.