Cryptocurrency has been the most talked-about topic these days. Cryptocurrency trading can make you earn millions. Traders are involved in cryptocurrencies in huge numbers. Do you all trade in cryptocurrencies and pay taxes? If yes, then we have something for you. We have listed the best crypto tax software to help you calculate tax within minutes.
Being an investor, you can’t afford to miss out on the strong wave of cryptocurrencies. If you believe that trading cryptocurrencies don’t include any taxes. You should be aware that it qualifies as a taxable event if you buy, sell, or exchange cryptocurrencies. Even if the government has not legalized cryptocurrencies, it is still taxable.
If you are involved in cryptocurrencies, it is significant to comply with tax laws. It is quite difficult to calculate taxes as, being an investor, you do various transactions in a year as an investor. It is troubling to record all these transactions and calculate your net profit or loss. Well, don’t worry! You can choose the best crypto tax software.
You need to know the best crypto tax software to calculate your taxes and solve your problem. They will help you focus more on trading and calculate taxes within a few clicks. You can easily get your final tax reports and file for taxes using any of the best tax software.
Here is a guide that includes the best crypto tax software. So, let’s quickly jump into the post and check out the best crypto tax software.
Best Crypto Tax Software
We have listed the best crypto tax software below. Go through the best crypto tax software and choose the right one.
1. CoinTracker
You can try CoinTracker as it is one of the best crypto tax software. It has a free tier available for beginners. You don’t need to pay anything up to 25 transactions. The platform performs crypto accounting and tracks the performance of your crypto portfolio. It also helps you to share the report with tax professionals.
2. TaxBit
The platform integrates with more than 500 crypto exchanges, DeFi, and wallets. It has native support for the US taxpayers. But others with similar tax regimes can also use this platform. It is a free platform for unlimited transactions. You can easily realize your capital gains before a transaction using the TaxBit optimizer.
3. TokenTax
TokenTax supports LIFO, FIFO, and HIFO systems of reporting. It has a base plan that only supports Coinbase accounts or Coinbase Pro accounts. If you want to use multiple platforms, you need to upgrade to higher tiers. You need to sign up for subscriptions, otherwise, you can’t perform anything. It also allows manual entry or CSV upload of transaction data.
4. BearTax
This platform supports LIFO and FIFO reporting systems. You don’t need to pay anything for previewing capital gains or losses. However, you need to pay for tax documents if you want to download them. You can classify crypto income from 11 categories: staking, airdrops, gifts, etc. It allows you to import from exchange platforms through CSV uploads or API keys.
5. CryptoTrader
The platform initially started for the US but later added support for Australians. It is now available for everyone who supports LIFO, FIFO, or HIFO systems of reporting. It allows users to preview reports and import data for free. You need to opt for subscription plans as per the number of your transactions in a financial year.
6. Koinly
It is one of the best crypto tax software that can easily connect to any of your exchanges or wallets. The platform helps you to calculate tax liability on the crypto exchange. It also allows you to export the results on other tax software. Koinly supports LIFO, FIFO, the average cost basis for tax accounting.
7. ZenLedger
If you are looking for the best crypto tax software, you can choose ZenLedger. It supports LIFO, HIFO, and FIFO systems of reporting. The platform allows you to choose a free tier for 25 transactions. It allows you to report various crypto income such as NFTs, DeFi, donations, staking, etc.
8. Accointing
Accointing is one of the best crypto tax software calculates crypto tax and tracks your assets. You can use the platform if your country supports LIFO, HIFO, or FIFO systems of reporting. You can monitor your crypto portfolio with this platform. It supports iOS, Android, and web interfaces.
9. Crypto Tax Calculator
It is a platform that supports various exchanges. The list of features depends on the subscription you have opted for. It is a premium tool without any free trials. It only has a 30-day free trial that allows you to calculate tax, import data, and review transactions.
10. Coinpanda
Try this platform if you are searching for the best crypto tax software without spending any amount. You can try this platform if the tax regime supports ACB, LIFO, FIFO, etc. The platform supports more than 7000 cryptocurrencies. The free plan is applicable only up to 25 transactions. You can generate crypto income from options such as staking, gifts, donations, mining, etc.
11. Tax.Crypto
The platform allows users to calculate taxes without paying a penny. There are no paid subscription fees on this platform. This is one of the best crypto tax software with native support for Canada, Australia, the United Kingdom, Germany, and the United States of America. Users can add API keys and wallets to sync transactions on this platform.
12. CryptoTax
The platform supports exchanges such as Kraken, Coinbase, Binance, etc. It complies with countries’ tax laws, including France, Spain, Switzerland, Austria, Germany, and the United States. Users can opt for CSV and API import. The free tier is applicable only up to 25 transactions on this platform. It also includes an error check and auto-transaction classification.
13. BitcoinTaxes
One of the best crypto tax software allows you to find out your crypto taxes with specific identification accounting methods, including FIFO. You can manually upload your transaction entries on this platform. The platform has a free tier that includes similar features as that of many subscription plans. You can also enjoy services such as converting CSV files, creating custom reports, result analysis, etc.
14. Cryptio
The platform is quite similar to Crypto Tax Calculator. The platform doesn’t include a free tier but allows you to go for a free trial. It has plenty of subscription-based features. This option aims at tax accounting firms. It allows you to subscribe for the 14-days fully-fledged trial, and you check if it suits you or not.
Wrapping-Up:
High chances of earning profits in cryptocurrency have increased the number of traders worldwide. You should not forget that you need to pay taxes if you are involved in cryptocurrency trading. But it is quite tricky to calculate the profits or losses to pay tax. You need to know the best crypto tax software to calculate taxes.
We have listed the best crypto tax software that you can try to calculate your taxes. Share your experience using these best crypto tax software with us by commenting below.
Frequently Asked Questions
Q1. Do I Need To Report Cryptocurrency On Tax?
A. Yes, cryptocurrencies are taxable assets. Since they yield an income for the traders, you need to report it on taxes.
Q2. How Is Crypto Taxed In The United States?
A. If you are a US citizen, you need to pay crypto tax as per the capital gains tax rate. Different tax rates are applicable for short and long-term capital gains.
Q3. Which Is The Best Crypto Tax Software?
A. Various crypto tax software is available, but CoinTracker, TaxBit, TokenTax, Koinly, BearTax, CryptoTrader, etc., are some of the best crypto tax software to try out.
Looks like you did your research. I’ve been using cointracking for the last couple years. It’s pretty decent. Just gotta make sure you enter your time zone in the settings so it can get the dates and times correct since it finds your cost based on those times. Also you may want to add tradesquish to your list. But I’m glad you did not add cointracker because I ended up having to get a refund because it was frusterating to use. Anyways thanks for the review. 🙂
Hey Robert, we are glad that you approached us for the updation. Well, if you want the link insertion you can contact our business team, at [email protected].