Accounting Service For Cryptocurrency Trading – One Hour

We offer our trade accounting service only with our tax compliance service, not as a stand-alone service.

If you invested in cryptocurrencies and sold or spent some during the year, it likely triggered a capital gain, loss, or other income, which you should report on your tax return. There is taxable income or loss on all cryptocurrency transactions, including cryptocurrency-to-currency trades, cryptocurrency-to-cryptocurrency trades, receipt of cryptocurrency in some hard fork or split transactions, purchases of goods or services using a cryptocurrency, and mining income. There are various fees related to cryptocurrency transactions, and the tax treatment varies.

Cryptocurrency tax reporting is complicated and voluminous. We use a cryptocurrency accounting solution to download cryptocurrency transactions from your cryptocurrency exchanges. You need to review the download file to be sure all your transactions were imported correctly. It's normal to have some transactions entered manually.

By default, we use the first-in-first-out (FIFO) accounting method for cost-basis on cryptocurrency capital gain and loss transactions. The IRS requires the "specific identification" (SI) accounting method on intangible property. Still, most cryptocurrency traders are unable to use SI. (See https://greentradertax.com/fifo-vs-specific-identification-accounting-methods).

As intangible property, cryptocurrencies are not subject to wash-sale loss rules for securities. A Section 475 election also cannot apply to cryptocurrencies since they're not a security or commodity. (See our coin tax and accounting content.)

How our service works

We download your cryptocurrency transactions into cryptocurrency accounting software and generate Form 8949. You can give this Form 8949 and other tax reporting to your tax preparer or our CPAs for our tax compliance service.

Want a quote?

Please email us a list of your cryptocurrency exchanges for the year. Tell us the type of trading you did and how you spent cryptocurrency during the year.

Cost Calculator

Our trade accounting service averages 2 to 3 hours per year.  The number of hours depends on the number of cryptocurrency exchanges you used and if the imports went smoothly.

We have a good idea of the total cost after the first hour of reviewing your files and situation. So you can go ahead and purchase that one hour to get started.