Best Crypto Tax Software in 2024

Best crypto tax software review

Koinly

Koinly offers a user-friendly interface suitable for beginners. Its extensive free version provides tax reports and supports up to 10,000 transactions. With generic tax reports available for 34 countries and support for various cost-basis methods, Koinly caters to a global audience. US customers benefit from seamless integration with tax filing software like TurboTax and TaxACT. Koinly supports over 20,000 cryptocurrencies, multiple exchanges, wallets, and blockchains, including compatibility with DeFi and futures trading. Notable features include error reconciliation tools and basic NFT support for popular blockchains. The annual subscription costs range from $49 for 100 transactions to $279 for more than 10,000, making it accessible for users with different transaction volumes.

Best for: Beginner-friendly interface and seamless tax reporting for global users.

Koinly dashboard source: app.koinly.io

TurboTax Premium

TurboTax Premium is a tax preparation software offered by a leading company in the industry. It caters to individuals looking to report their cryptocurrency transactions, particularly those with complex tax situations. The software features a user-friendly interface, helpful tooltips, easy navigation, and access to customer support services. Notably, TurboTax Premium allows users to import their crypto sales data directly into the software from third-party crypto accounts for accurate tax filing. It is the only crypto tax product that offers filing of the full tax return directly through its platform. Cost for this platform is $129, including tax filing services.

Best for: Individuals with complex tax situations seeking easy tax filing capabilities.

CoinTracker

CoinTracker is a versatile crypto tax software that allows users to track their cryptocurrency transactions across multiple platforms in one convenient location. With a user-friendly interface, it offers tax reporting on trades, which can be uploaded into popular tax preparation software like TurboTax and TaxAct. CoinTracker stands out for its free tier, offering essential features such as tax reports, auto-sync with unlimited exchanges and wallets, and basic portfolio tracking for users with up to 25 transactions. It supports over 300 exchanges and 8,000 cryptocurrencies, with the ability to connect to tax filing platforms for seamless e-filing in the US. Country-specific tax support is available for several countries, and users can share their tax reports with professionals for further guidance. Pricing is transaction-based, starting at $59 annually for up to 100 transactions, with higher tiers available for larger transaction volumes.

Best for: Individuals with up to 25 transactions seeking a free tier option for basic tax reporting.

CoinTracker dashboard source: cointracker.io

ZenLedger

ZenLedger is a straightforward and effective platform for calculating cryptocurrency, DeFi, and NFT-related taxes. It seamlessly integrates with TurboTax, making it a suitable choice for individuals familiar with the platform. Supported by significant funding and positive reviews, ZenLedger offers robust support for over 400 exchanges, 50 blockchains, and 100 DeFi and NFT protocols. It imports transaction history from exchanges and automatically populates tax documents, including capital gains, donations, and income from cryptocurrencies. ZenLedger's IRS-friendly reports can be submitted directly or used alongside other tax reporting solutions. It offers various pricing tiers based on transaction volumes, ranging from $49 to $999 per tax year.

Best for: Users seeking seamless integration with TurboTax and support for a wide range of exchanges and protocols.

Available cryptocurrency wallets in ZenLedger source: www.zenledger.io

TokenTax

TokenTax is a comprehensive crypto tax software that caters to a wide range of users, from novice to advanced traders. It syncs with all wallets and accounts, streamlining data entry and analysis. With support for DeFi, NFT, margin, and futures trading, TokenTax offers FIFO, LIFO, Minimization, and average cost tax liability calculations, along with tax loss harvesting features and customized enterprise reports. While it lacks a free trial, TokenTax provides an intuitive interface and the option to file taxes independently or with assistance from crypto-savvy tax professionals. Pricing starts at $65 per tax year for up to 500 transactions, with higher tiers offering additional features and transaction limits.

Best for: Individuals and businesses requiring comprehensive tax reporting and support for advanced trading strategies.

TokenTax dashboard source: tokentax.co

TaxSlayer

TaxSlayer offers a straightforward approach to tax filing, catering to individuals who prefer minimal assistance. Its software streamlines the process, allowing users to access relevant sections directly without unnecessary interview screens. While it lacks synchronization with bank and brokerage accounts, TaxSlayer provides personalized tax guidance and offers one of the most affordable options for complex tax situations. Active-duty military personnel can file federal tax returns for free, and there's an option to upgrade for professional tax advisor assistance. Additional features include audit defense and identity protection services for added peace of mind. The Classic package costs $37.95, with an additional $44.95 for state returns.

Best for: Individuals seeking affordable tax filing solutions with minimal assistance.

H&R Block

H&R Block simplifies tax preparation with its user-friendly interface, providing clear instructions and explanations through interview-style questions. It offers various options, from DIY preparation with expert review to full-service filing by a virtual tax pro. This flexibility makes it suitable for users who prefer to file independently but want access to professional help if needed. The Deluxe package, priced at $54.99 for federal returns and $44.99 per state, allows for itemized deductions, health savings account contributions, and freelance income reporting.

Best for: Individuals looking for a user-friendly tax software with options for both DIY and professional assistance.

Comparing the Best crypto tax software: key metrics and features

What is crypto tax software?

A Crypto tax software simplifies the process of calculating and filing taxes related to cryptocurrency transactions for individuals and businesses. These transactions include buying and selling cryptocurrencies, receiving rewards from staking or mining, making purchases with cryptocurrencies, and exchanging one cryptocurrency for another. The software typically integrates with popular cryptocurrency exchanges and wallets to import transaction data automatically, track performance, and generate tax reports. It may also identify opportunities for tax optimization, like tax loss harvesting.

As governments worldwide increase scrutiny on crypto-related income, traders now have to focus more on choosing the right software for compliance and avoiding costly mistakes or audits. Tax regulations vary widely between countries, with some having detailed frameworks for different asset classes and others adopting a broader approach. Keeping accurate records and staying informed about tax laws is essential for traders, miners, and enthusiasts alike.

Top 3 crypto exchanges

1

9.4/10

Go to broker

Your capital is at risk.

Minimum deposit:

$1

Review

The Binance exchange is one of the largest cryptocurrency exchanges in the world with its headquarters in Hong Kong. According to the CoinMarketCap cryptocurrency portal, Binance holds the top spot in terms of aggregate indicators of the platform's daily turnover, the number of novices and active users, liquidity, and web traffic (ranking, queries, statistics in search engines, etc.). The exchange is also a cryptocurrency startup that has its own “native asset” used in the Binance ecosystem as the “basis gas” (payment internal unit). More about Binance Card

Pros/Cons

•low commissions due to liquidity and trading volumes.

•high platform performance;

•proprietary BNB Coin which allows Binance to reduce the commission size;

•a proprietary cold wallet guarantees the security of your crypto assets by storing them.

•complex verification procedure;

•the exchange is not licensed by a regulator;

•The platform can go offline without warning;

•there are complaints about the technical functionality of the platform;

•there is an intricate mechanism for calculating commissions and rewards (grid system Maker/Taker).

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2

9.2/10

Go to broker

Your capital is at risk.

Minimum deposit:

₮1

Review

The BitGet crypto exchange provides traders with the opportunity to trade in spot, futures, and cryptocurrency. Cryptocurrency is used exclusively as instruments at the exchange: BTC (₿), LTC (Ł) ETH (Ξ), USDT (₮) and others. Trades are carried out on the crypto exchange’s own platform, which is available as a web terminal and an application for mobile devices. BitGet's fees are lower than its competitors in the market, with maker fees of 0.02% and takers of 0.06%. The commission can also be paid with bonus funds that each BitGet client receives upon registration, verification, and a trading account replenishment. There are no fees for maintaining an account, but a commission is charged upon withdrawal, the amount of which depends on the cryptocurrency in which the withdrawal is made. For investors, BitGet offers its own service for copying trades, and it is available at the exchange and at an affiliate program. Novice traders can use demo accounts to hone their trading skills, but there are no educational materials on the website. The BitGet cryptocurrency exchange provides services on an international level and cooperates with traders from different countries.

Pros/Cons

•availability of demo accounts;

•convenient ways to contact the support service;

•a wide range of cryptocurrencies for account replenishment;

•service of copying trades for receiving passive income;

•ability to reduce commissions using credits earned in the bonus program;

•ability to engage in algorithmic trading;

•the exchange uses hot and cold cryptocurrency wallets to store client funds.

•Deposits and withdrawals in fiat currencies are not available.

•There are no educational materials for novice traders on the exchange website.

Study Review

3

9.1/10

Go to broker

Your capital is at risk.

Minimum deposit:

$1

Review

The Kraken exchange is a trading platform for Bitcoin, Ethereum, Tether, Cardano, XRP, other cryptocurrencies, and stablecoins. Fiats are represented by EUR, USD, CAD, CHF, AUD, GBP, and JPY. In addition to margin trading, Kraken has indices and futures trading. The exchange provides traders with x5 leverage for margin trading and x50 for futures. Commission fees are among the lowest on the market - up to 0.26%. The crypto exchange has a proprietary trading terminal for an internet browser, as well as mobile applications for iOS and Android devices. The platform offers an extensive knowledge base, tutorials, and video podcasts with news and analytics. The referral program is the standard single-level model with a yield of 20% of the referral’s commission fees.

Pros/Cons

•convenient, intuitive terminal with one-click trading;

•all major cryptocurrencies, as well as seven fiats;

•margin trading, as well as futures and indices trading ;

•large leverage (x5 for margin, x50 for futures trading);

•an extensive database of information and training materials;

•large trading volumes on the exchange provide high liquidity;

•some of the lowest fees in the cryptocurrency market.

•no investment programs;

•no call center.

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Why use crypto tax software?

Using a crypto tax software offers several key benefits that make it a valuable tool for managing cryptocurrency taxes effectively. Here are the main advantages: time-saving, efficiency, cost-effectiveness, reduced risk of penalties.

How is crypto taxed around the world in 2024?

In the United States, cryptocurrencies are classified as property by the Internal Revenue Service (IRS), subjecting them to taxation as either Capital Gains Tax or Income Tax. When an individual buys, sells, or exchanges cryptocurrencies, they trigger taxable events, but no tax is incurred when simply holding or transferring crypto between wallets. Gifts of cryptocurrency are generally tax-free, although exceeding certain thresholds may require additional reporting.

The tax rates on crypto gains in the US depend on various factors, including the duration of asset holding and the individual's income tax bracket. Short-term capital gains, generated from assets held for less than a year, are taxed at rates aligned with the taxpayer's ordinary income tax bracket, ranging from 10% to 37%. In contrast, long-term capital gains, arising from assets held for over a year, are subject to reduced tax rates of 0%, 15%, or 20%, depending on the taxpayer's income level.

Australia, like the US, treats cryptocurrencies as property and subjects them to Capital Gains Tax or Income Tax. Individuals in Australia are taxed based on the duration of asset holding and their income tax brackets. Capital gains from cryptocurrencies are eligible for a 50% discount if held for over a year. Losses can be carried forward indefinitely to offset future gains, offering taxpayers a means to mitigate their tax liabilities over time.

In the United Kingdom, cryptocurrency taxation aligns with the treatment of property, with Capital Gains Tax or Income Tax applied to gains derived from digital assets. The UK offers tax-free allowances for capital gains up to specific thresholds, with rates varying based on the taxpayer's income level. Similarly, Canada views cryptocurrencies as commodities, subjecting them to Capital Gains Tax or Income Tax based on the individual's tax bracket and the duration of asset holding.

How to choose the best crypto tax software?

To choose the best crypto tax software you need to follow these steps:

Identify your needs

Firstly, take some time to consider what exactly you need from a crypto tax software. Think about how complex your crypto portfolio is and how many different exchanges, wallets, and blockchain addresses you use. Understanding your specific requirements will help you narrow down your options and find the software that best fits your needs.

Determine the complexity of your portfolio and the number of exchanges, wallets, and blockchain addresses you need to track. The more comprehensive your portfolio is, the more robust the software you'll require to manage it effectively.

Check compatibility

Before making a decision, it's important to ensure that the crypto tax software you're considering is compatible with the tax regulations in your country. Different countries have different tax laws when it comes to cryptocurrency, so you'll want to make sure that the software you choose can generate reports that align with the specific requirements of your country's tax authorities.

Importing capabilities

One of the most important features to look for in crypto tax software is the ability to automatically import transaction data from your exchanges, wallets, and blockchains. Manually entering all of your transactions can be time-consuming and prone to errors, so choosing software that can streamline this process for you will save you a lot of time and hassle in the long run.