Welcome to this guide about reporting and paying crypto taxes with Cointracking. Contracking is one of the best crypto tax software to analyze all your cryptocurrency trades.
By analyzing all your trades, it can easily create tax reports which is the main focus of this article.
Cointracking can be used for many other purposes like generating real-time reports and keeping track of your crypto trading results across various exchanges and wallets.
Cointracking VS Koinly Summary
- For almost all crypto traders, both crypto tax software will cover what you need.
- There are some differences in the pricing models where Koinly comes in a bit cheaper.
- Cointracking has more advanced features that might not be needed for everyone.
- Cointracking has a corporate option for businesses managing several crypto-portfolios on behalf of their clients.
What is Cointracking crypto tax software?
CoinTracking analyzes your trades and generates real-time reports on profit and loss, the value of your coin’s realized and unrealized gains, tax reports, and much more.
With the prices for over 20.000 coins and assets, you’ll always have a complete overview.
What is Koinly crypto tax software?
Koinly is a simple and very user-friendly automated crypto tax software. Compared to Cointracking, Koinly is cheaper and supports more exchanges and wallets in fewer countries.
Koinly has a FREE version for up to 10.000 transactions.
- Available in 20+ countries
- Free report preview
- Form 8949 & Schedule D
- TurboTax & TaxAct
- HMRC / ATO / CRA Report
What are crypto tax reports?
Crypto tax reports are statements, or summaries, of your cryptocurrency profits and losses.
Read more about how to report crypto trading, earnings, income, and gains.
For US customers, you can connect Cointracking directly to TurboTax.
Cointracking VS Koinly - Pricing Plans
In the table below, you can see a price comparison of Cointracking VS Koinly. Here, you can compare prices and the number of transactions included for that particular price. However, many more features might be included or excluded from a specific price plan.
For complete price plans, see the screenshots below.
Cointracking Price List 2022
In the screenshot below, you can see the complete Cointracking pricing list. Compare the Koinly pricing plan further down.
Koinly Price List 2022
Here, you will find the Koinly pricing plan. As you can see, Koinly’s free version is much better than Cointracking. In addition, the prices are much lower than Cointracking.
How to report and pay crypto taxes with Cointracking?
Let’s go through, step-by-step, how to report and pay crypto taxes with Cointracking. We also have a general guide where we help to automate crypto tax calculations and filings with software.
1. How to Sign Up with Cointracking?
Click on the button below and sign up with the orange button Login/Register.
2. Login to Cointracking and import data
Login into your account and start to import data from your exchanges.
Find the “Enter coins” tab in the header menu, and here, you same some alternatives
- Overview and Manual Import
- Exchange Imports (CSV)
- Exchange Imports (API)
- Wallet Imports
- Bulk Imports
3. Set API on Cointracking
Here, we will explain how you can automatically import cryptocurrency trading data to Cointracking using an API.
You need to set an API per exchange you want automatically import data from.
This is done by generating an API key from Cointracking and creating an API on the exchange. After you have logged into the crypto exchange you want to track, you enter the API key made from Cointracking.
These are step-by-step instructions for each exchange. First, you go to “Enter Coins” and then “Exchange Imports (API).”
Here, you can choose between all available exchanges. If you can’t find the crypto exchange you are looking for, Cointracking doesn’t support API import for that particular exchange.
4. Create a tax report on Cointracking
First, you must log in to your account to create tax reports on Cointracking.
Once you are logged in, you want to look after the “Tax Report” tab in the header menu.
Here you will find several alternatives
- Tax Report
- Tax Information
5. Set criteria for tax report on Cointracking
You will be asked many questions for the tax report creation in Cointracking.
Since there are so many differences between countries, you must know what your specific country asks for in crypto taxes.
Below is a screenshot of all questions you need to answer before Cointracking can create an accurate tax report for you.
Is Cointracking Safe?
Cointracking is one of the oldest crypto tax software and can be considered a safe tax reporting tool.
In addition, you only give Cointracking reading access if you give them API access. Since crypto tax software will not execute any orders and only read historical information, they can be considered as more safe compared to other crypto trading tools and software where you might have to give access to executive API keys.
Also, you can upload all your transactions manually by exporting a CSV file from your exchange and importing it to Cointracking. This method is not as convenient but might be even more secure.
They provide complete data and API encryption along with two-factor authentication. In addition, the data is stored securely on their servers.
Is Koinly Safe?
Koinly does not require your private keys or gain access to any funds held on your exchange accounts.
Koinly simply connects with your accounts via only readable API.
Here, you should disable the ability to withdraw and trade when configuring your API connections.
In addition, all API keys are encrypted using AES-256 before being stored, and the website is served over HTTPS, with all data sent to or from Koinly also being encrypted using 256-bit encryption.
What is Cointracking and Koinly API?
You can give Cointracking access to read your trading history in any crypto exchange buy connecting them via an API (application programming interface). It means that from your exchange, you give Cointracking access to read and import all your historical information about your trades.
This method is very convenient; you only have to do it once since it can automatically update after this.
The other option is to manually export a CSV file from your exchange and import it manually to Cointracking.
How is crypto trading taxed?
Reporting tax for cryptocurrencies can be very time-consuming, and the best way is to use the software described above. However, it is also essential to understand the basics of how crypto trading is taxed, so you have a chance to control the calculations. Also, it is necessary to understand the rationale behind the tax rules so you can build an excellent crypto trading strategy.
Other Crypto Trading Tools and Software
While crypto tax software is a great tool to help you with your tax reporting files, other great crypto trading software for automating and analyzing your trades and making them even more profitable, read more about crypto trading tools that can help streamline your trading procedures and maximize your profitability.
We review Koinly, which is one of the best crypto tax software. We also have the best Koinly promo code on the market and gives
Welcome; this article will explain how crypto trading, earning, income, and gain are taxed. we will answer the following questions What are cryptocurrencies defined as?
Welcome, we will help you to automate crypto tax calculations and filings with a software with our 4 step guide. Crypto tax reporting can be