Crypto Tax Calculator CoinTracking.info Deploys Easy-To-Use Upgrades
If you are trading cryptocurrencies, reporting your gains or losses at tax time is not only a smart thing to do, it is a must. If you made a profit, not disclosing it will come back to haunt you later. At the same time, you may be entitled to a tax refund if your trading activity in 2018 resulted in a net loss.
The latest update to the most powerful crypto tax calculator on the market makes it even easier to use, regardless of your level of experience. The addition of new accounting methods, improved API support, simplified deposit / withdrawal reconciliation, and a new IRS Form 8949 attachment option are just a few of the latest changes.
All the updates listed below are already live. Create a free CoinTracking account today and try out the new features for yourself.
CoinTracking.info: the tool of choice for cryptocurrency CPAs
Crypto Tax Girl Laura Walter is just one of the many CPAs who prefer CoinTracking. The reason: It is quite simply the most powerful and versatile crypto tax tool available.
âI’ve tried over 20 different crypto-tax software, and CoinTracking is by far the best. I have used CoinTracking to prepare crypto win and loss reports for over 100 clients, and it was able to handle all types of traders. I have worked with clients who only have a few hundred transactions, and I have worked with clients who have over 100,000 transactions. I have worked with clients who have complete and perfect data and some who have lost half of their data or can no longer access it, and CoinTracking has worked for all of them. And in addition to being able to create the tax gain and loss reports, CoinTracking also provides useful reports on unrealized gains and losses, current holdings, balances per exchange, and more. which I use frequently for tax planning purposes to help my clients minimize their tax liability now and in the months and years to come. – Laura, founder of Crypto Tax Girl
Here’s a quick look at some of the latest software updates.
Hassle-free data management
Calculating how much you owe in taxes can get tricky quickly, especially if you’ve deposited gifts, mining rewards, or payments for services into the same cryptocurrency wallet that you use to transact. If your income isn’t labeled correctly, your statement won’t make sense.
Easier reconciliation of deposits / withdrawals
If you are using your crypto wallet for more than just trading cryptocurrencies, you should go back and identify each time you have deposited mining rewards and any other type of crypto income before submitting. This can be a big deal, especially if you haven’t kept track of it as you go.
A new tool called Missing transactions allows you to instantly identify any pending deposit or withdrawal without using a spreadsheet. All you need to do to reconcile your deposits and withdrawals is to connect your crypto wallet or exchange account to CoinTracking, import your data, and run the report.
Scan and eliminate duplicate transactions
Another improvement in usability is the addition of a new duplicate transaction checker called Duplicate Transactions. This tool analyzes all the data you imported to see if you accidentally entered a transaction twice.
Even better API support
One of the main reasons traders prefer CoinTracking is the fact that no other crypto tax calculator supports cryptocurrency exchange APIs better. API data imports are more accurate than other data import methods, such as CSV imports.
Since exchanges often change their APIs, staying on top of these updates requires a level of engagement that competing crypto tax calculators lack. Bitfinex, HitBTC, and Binance are just a few exchanges that have recently changed their APIs. Every API change was quickly encountered with an update to CoinTracking’s API import feature. Additionally, CoinTracking recently added API support for Cobinhood, BitMex, itBit, and several other exchanges.
Less paperwork for US-based crypto traders
Previously, US-based CoinTracking users had to export multiple 8949 forms if the number of transactions completed exceeded the number of rows on the page. Now you can choose to send an attachment with your 8949 instead. This dramatically reduces the amount of paperwork you have to worry about when doing your taxes. Alternatively, you can choose to consolidate all of your coins into a single transaction line, another improvement that cuts down on paperwork.
New features for UK and Canadian traders
Before the recent update, CoinTracking already had more accounting methods than any other crypto tax calculator. The addition of ACB (Adjusted Cost Basis) makes it easier for Canadians to use CoinTracking. ACB is the accounting method that the Canada Revenue Agency requires Canadians to use to determine capital gains or losses for income tax purposes.
In addition to ACB, CoinTracking now offers the accounting methods that HMRC requires UK citizens to use. The default method of tax accounting used by the British is called traditional accounting. Some traders may be able to use cash accounting. CoinTracking supports both methods.
DrakeSoftware – a tax software solution aimed at CPAs and businesses with features like support for almost all IRS tax forms – now integrates with CoinTracking. If you own an accounting firm or blockchain business, CoinTracking and DrakeSoftware make it easy to generate all the documents you are required to submit at tax time.
Check your return before submitting it
The new CoinTracking Progress report is an auditing tool that allows you to make sure your return makes sense before you submit it. The report detects if there is any missing data that you must provide with your return before filing.
If you suffered a loss in the cryptocurrency markets in 2018, you may be entitled to a generous tax deduction. The IRS currently allows US citizens to deduct up to $ 3,000 in crypto losses from your daily working income. Plus, there’s no limit to the amount you can deduct from income from property sales, stock transactions, and other types of capital gains.
There is no better tool to use to determine your tax situation than CoinTracking. Our commitment to upgrade and improve the software has earned us an excellent reputation within the cryptocurrency community since 2014 and over 370,000 users. Get started for free and connect all your trading accounts today.