Calculating Capital Gains and Losses on Taxable Cryptocurrency Events
- Calculate the cost basis by summing the amount of money you spent to purchase the cryptocurrency plus any related brokerage commissions and transaction fees.
- Determine fair market value, which was the value of the cryptocurrency at the time you disposed of the asset.
- Calculate the capital gain or loss by subtracting the cost basis from the fair market value of the disposed cryptocurrency.
Crypto Tax Services by Goldin Group
As the industry leader in custom cryptocurrency tax preparation, we provide our clients with one-on-one, personalized crypto tax services that are tailored to their unique investing styles, positions, and circumstances. Here is an overview of our core crypto tax services:
- Calculating the true cost basis can be complex if you’ve had a lot of trades and transactions over the last year. Not to worry! At Goldin Group, we do the heavy lifting of aggregating all your crypto transactions to determine your true cost basis.
- Identifying your total capital gain or loss. At Goldin Group, we are experts at advising our clients on strategies such as loss harvesting and staking to reduce capital gains from cryptocurrency activities. We’re laser-focused on making sure you don’t end up paying any unnecessary taxes.
- Ensuring your cryptocurrency transactions are properly reflected on your tax return and properly reported to the IRS. Many clients aren’t familiar with the process for reporting cryptocurrency activities to the IRS. At Goldin Group, we guide you every step of the way so you can rest easy knowing you’re in compliance with the IRS.
- Staying current with all new legislation to ensure you remain compliant year after year. Cryptocurrency tax codes are constantly evolving.
Professional Crypto Tax Consultation Available Now
We understand the excitement and uncertainty that comes with buying, selling, and holding crypto. That’s why we’re committed to keeping you compliant and minimizing the stress that comes with crypto tax management. If you have questions related to cryptocurrency taxes, reach out to the experts at Goldin Group CPAs today by contacting Ariel Goldin, CPA, Director of Client Relations at firstname.lastname@example.org.