To keep our website running, we partner up with some of the companies featured in our
reviews. This means that SmallBizGenius may receive a commission when you sign up for a service or purchase
a product using one of our links.
Our website also includes reviews of products or services for which we do not receive monetary compensation;
information included in these reviews has been collected by SmallBizGenius.
Product/service details may vary. Please see the issuer’s website for current information.
Opinions expressed on the pages of this website belong to the author and do not represent the views of
companies whose products and services are being reviewed.
Some pages may include user-generated content in the comment section. The opinions expressed in the comment
section do not reflect those of SmallBizGenius.
The Best Crypto Tax Software: Our Top Picks for 2022
Taxes are probably the least fun part of being an adult with an income. And if you are a crypto investor or trader, you also have to add those taxes to your to-do list, making it all rather cumbersome. Luckily, there is software that can help you manage the entire process and automate certain aspects of it.
To further help streamline your tax preparations, we’ve done the research for you. Here’s our list of the best crypto tax software you can use to make those tax-related nightmares a thing of the past.
1. Koinly
GOOD
EXCELLENT
GOOD
EXCELLENT
EXCELLENT
- Custom pricing available
- Excellent selection of bonus features
- Available in more than 20 countries
2. CoinLedger
EXCELLENT
EXCELLENT
GOOD
EXCELLENT
EXCELLENT
- Excellent selection of features
- 100% money-back guarantee
- Practical tax calculator
3. TaxBit
EXCELLENT
GOOD
EXCELLENT
GOOD
EXCELLENT
- Offers both consumer and enterprise solutions
- Founded by CPAs, tax attorneys, and software developers
- Reputable crypto partners
4. TokenTax
EXCELLENT
GOOD
EXCELLENT
EXCELLENT
GOOD
- Supports numerous exchanges
- Crypto and regular tax filing in one place
- Customer support willing to take on custom requests
5. ZenLedger
GOOD
EXCELLENT
EXCELLENT
GOOD
GOOD
- Packages of professionally prepared reports by tax experts
- Free accounts for blockchain-companies employees
- Detailed reports
Why Do You Need Cryptocurrency Tax Software?
Even though we’re used to perceiving them as virtual cash, cryptocurrencies are not treated as regular cash by the Internal Revenue Service. Cryptocurrency is, in fact, taxed as property in the US or as an investment if you decide to sell it. Even buying something with it counts as selling it.
If, on the other hand, you’re getting paid in crypto, that counts as taxable income, not property. Furthermore, any money you earn either as income payments or from your investments will become a part of your gross income. To make a long story short, every transaction you make with crypto is very likely taxable.
If you’ve been in the crypto world for a while, you probably also know that you should report each transaction and pay crypto tax on time. Otherwise, you risk accruing penalties and interest, which is most certainly not in your best interest.
This is where a piece of good tax software for cryptocurrencies can be a lifesaver. Just like some of the top-notch tax software for fiat money, these tools are essentially data aggregators that collect cryptocurrency transaction data from various sources. Once these programs have all the necessary data, they start calculating your crypto taxes. The program uses methods in accordance with the IRS to help you come up with accurate numbers and simplify your task of doing taxes.
How We Evaluated the Best Crypto Tax Software in 2022
So, how did we determine which program is good enough to help you with your taxes? We’ve looked at all the aspects that make a program an excellent tax-calculating tool, such as the number of features it has, the quality of customer support, and the price-to-quality ratio. Needless to say, the programs on this list passed all these assessments with flying colors. Let’s discuss some of the criteria in more detail.
Features
If you are looking for crypto taxes software to make your life easier, it must have all the necessary features. Your new software should be able to complete the tasks you need it for without you having to waste too much time figuring out how it all works or manually entering everything. Just like with accounting software for your regular taxes - getting the job done as efficiently and as quickly as possible is the top priority.
Of course, that doesn’t mean a program should overwhelm you with features you have no use for. Keep your eye on the prize, or to be more precise, on the features you need, and resist wasting your budget on fancy extra features you’ll never really need.
Integrations
A standalone crypto tax program will likely do you no good. Having to import data every time you trade would take too much of your precious time. You need your software to keep up with your modern, fast-paced crypto lifestyle. This is why integrations are one of the key aspects of every tax software.
We’ve investigated how well and to what extent each of these programs integrates with other tools. Most rely on solid APIs to communicate with other programs or employ CSV files for transferring data.
Reputation
You should do your homework and investigate the provider’s reputation every time you decide to trust a piece of software with your funds. Even though all crypto tax software on this list comes from reputable and verified companies, you should be informed about potential pitfalls and learn from other people’s experiences. Keep in mind, some of them might be using reputation management services to get excellent scores, too.
After all, the IRS certainly won’t let you get away if you blame the software for any mistakes in your tax report. Instead, you’ll likely end up needing legal advice - which could cost you more than you’d have spent on good software for your taxes. Familiarize yourself with the pros and cons of each program before you trust it to do your taxes for you.
Customer Support
The importance of having a knowledgeable customer support team behind the crypto tax apps you use can’t be stressed enough. That’s why we’ve rigorously tested each team for swiftness, politeness, and competency.
Price
Just because a cryptocurrency in your e-wallet took a dive last month doesn’t mean you should choose the cheapest software or vice versa. Paying for a premium feature that’ll make your life easier is practically a must. However, don’t get carried away with all the extra features you’ll never use.
Note that some providers will charge you fees per transaction or other additional expenses you should know of in advance and factor them in before you make a decision.
Best Crypto Tax Software - A Quick Overview
- Koinly
- CoinLedger
- TaxBit
- TokenTax
- ZenLedger
Top Crypto Tax Software Reviews
Koinly Review
GOOD
EXCELLENT
GOOD
EXCELLENT
EXCELLENT
- ⦿ More than 17,000 cryptocurrencies supported
- ⦿ Affordable pricing
- ⦿ Automated data import and handling
Intro
Koinly is a strong contender for the title of the best crypto tax software solution you can get entirely for free. Its free plan covers unlimited transactions and a fantastic selection of invaluable features. However, there’s a catch. More about it in our next section.
Tax Form Options
With the free version, you can only get the preview but won’t be able to download any actual reports to file with the IRS. By upgrading to a paid plan, you’ll get downloadable Form 8949 and Schedule D reports.
Furthermore, you can use Koinly’s software to generate international cryptocurrency tax reports if you’re from the US, the UK, Canada, Germany, Sweden, and a range of other supported countries.
Features
Koinly’s well-organized dashboard will provide you with a quick overview of your actual ROI and invested fiat. At the same time, you can keep track of your crypto income from mining, staking, and other crypto-related activities. The dashboard will also display your profits/losses and unrealized capital gains.
Koinly offers auto-import verification, which takes importing data off your to-do list. It also highlights missing transactions, and its built-in duplicate-handling feature ensures that no data clashes result in duplicates. It’ll also warn you of negative balance. Koinly will recognize transactions among your own wallets to prevent overpaying your crypto taxes.
Integrations
Koinly supports numerous services, such as Nexo, BlockFi, Paxful, and Purse.io. Furthermore, it integrates seamlessly with more than 6,000 blockchains, allowing for automatic transaction syncing. Probably the most interesting capability of Koinly for crypto traders is that it accepts virtually all cryptocurrencies. It also supports more than 350 exchanges, so you’re unlikely to make a transaction Koinly won’t be able to support.
Reputation & Customer Support
Koinly’s reputation is top-shelf, with a rating of 4.7 on Trustpilot at the moment of writing these crypto tax software reviews. Most customers’ reviews praise this tool for its easy-to-use interface and the quality of its customer support. We did find a couple of negative reviews from customers who weren’t satisfied with the agents’ reply times. However, others highlight that the detailed and helpful answers they got were well worth the wait.
To counter the few negative customer support comments, numerous positive reviews thank them for being polite, knowledgeable, and quick to resolve any issues.
Pricing
Choose from four pricing plans, with the first one being 100% free forever. However, since it only offers previews of the results from its crypto tax calculator, you might want to consider investing $49 yearly into the Newbie plan to get downloadable reports for up to 1,000 transactions. The next plan is Hodler, which goes for $99 per tax-year, while the most advanced plan is Trader, which starts at $179 per year.
CoinLedger Review
EXCELLENT
EXCELLENT
GOOD
EXCELLENT
EXCELLENT
- ⦿ Easy-to-use tax calculator
- ⦿ Affordable pricing
- ⦿ Excellent tool for tax professionals
Intro
CoinLedger is the best crypto tax calculator for anyone looking to simplify doing their taxes. It allows creating all the reports you need within seconds. It also has one of the most affordable pricing structures, making it a great choice for crypto enthusiasts on a budget.
Tax Form Options
CoinLedger has a great selection of reports you can create, so it’s a suitable option for covering all your bases using a single piece of software. You can use it to create the IRS Form 8949, as well as short and long-term sales reports. It can also help you with cryptocurrency income reports, and international gain and loss reports. CoinLedger is also an excellent crypto tax app for keeping your audit trail. Finally, not only can it help with tax-loss harvesting, but you can also effortlessly create a report for that as well.
Features
CoinLedger is all about providing a simplistic route to getting your tax calculations and documents. You shouldn’t expect anything flashy with this solution. It’s likely the most straightforward calculating tool you’ll ever use for DIY management of your taxes.
It features an excellent calculator that’ll have all your cryptocurrency taxes numbers crunched in no time. It also comes with the standard tax-loss harvesting features.
We also recommend CoinLedger to tax professionals looking to add the option of handling crypto taxes to their range of services. This software offers a streamlined dashboard and automatic import of clients’ data. It also automates filling out tax documents, freeing a lot of time you could use for landing new clients.
Integrations
CoinLedger boasts an impressive list of integrations with some of the most reputable e-wallets and exchanges. Under the Integration tab on its website, you’ll find some popular names, including Coinbase, Binance, and eToroX. You’ll also likely find your preferred wallet among the integrations, as it covers MetaMask, MyEtherWallet, Ledger, and Trezor, among many others.
Its crypto tax services for tax professionals also include integrations with some popular solutions for tax filing, such as ProConnect, Drake, ATX, and UltraTax, on top of its integrations with TurboTax and TaxAct.
Reputation & Customer Support
CoinLedger currently has a stellar score of 4.8 out of 5 on Trustpilot, which is quite impressive. Positive reviews praise the swiftness of its customer support through the live chat available on the site. Overall, customers are satisfied with how much time using this solution has saved them.
One consumer did point out in their CoinLedger review that their tax report wasn’t accurate, but the complaint was promptly answered by the support team. But you don’t have to go via Trustpilot: You can always contact CoinLedger’s support representatives via live chat and get swift and knowledgeable answers you can rely on.
Pricing
CoinLedger comes in four pricing plans. The first one, Hobbyist, costs $49 per tax season and covers up to 100 transactions. The next plan is Day Trader, which will set you back $99 per tax season, while the High Volume plan starts at $199 per tax season. The highest tier is the Unlimited one, named after the unlimited amount of transactions it covers. It costs $299 per tax season. All plans come with a 14-day money-back guarantee, so you really can’t lose anything if you give this cryptocurrency tax reporting software a try and see if it works for you.
TaxBit Review
EXCELLENT
GOOD
EXCELLENT
GOOD
EXCELLENT
- ⦿ Top-notch security
- ⦿ Help tickets answered by CPAs and tax attorneys
- ⦿ Available in 100-plus countries
Intro
TaxBit is certainly one of the most famous solutions for handling your crypto taxes. Where other software focuses on saving you time - TaxBit focuses on providing excellent accuracy, security, and customer support.
Tax Form Options
TaxBit can help you save hours of manual crypto tax tracking of your transactions and filling in forms to submit to the IRS. It can help you take care of your 8949 tax forms, as well as with audits, by keeping an audit trail for you. All TaxBit’s data records are immutable, so you can be sure that the data presented in your reports is accurate and hasn’t been altered.
Features
TaxBit offers a well-rounded selection of must-have features, bound to make your tax-handling a whole lot easier. The first thing you’ll notice is its dashboards. You’ll be able to get an overview of your real-time tax position in a glance, tax-loss harvesting options, and also see your unrealized gains and losses. This will allow you to calculate your cryptocurrency taxes more easily.
As for the security aspect we’ve mentioned, it’s actually based on the security measures implemented by your exchanges. They make sure TaxBit communicates with them only via read-only API keys, which don’t allow making any updates to your account or changing any of your data. This allows for immutable records and secure harvesting and syncing of your data.
TaxBit also offers a suite of tax features for enterprises. It doesn’t only provide software, as some other companies on this list. Its team of CPAs and tax lawyers will become an extension of your team once you sign up for the service.
Integrations
TaxBit supports over 2,000 cryptocurrencies, and more than 150 exchanges. But what really differentiates it from other cryptocurrency tax software on this list is the fact that it’s available in 100-plus countries.
Reputation & Customer Support
On Trustpilot, TaxBit has a score of 4.3 out of 5. Many people praise its customer service representatives and mention fast reply times. However, it’s important to note that, even though they received adequate help, many users had technical issues they needed support to resolve. A recurring comment is that TaxBit isn’t compatible with several exchanges.
TaxBit promises that your support tickets will be forwarded to experienced CPAs or tax lawyers if need be. It’s a useful option to have on offer when you’re handling your crypto tax paperwork.
Pricing
TaxBit’s Basic plan offers greater value for the price than any other on this list. It covers 250 transactions for $50 per year. Unfortunately, that doesn’t cover any advanced features such as tax-loss harvesting. The next tier that does include it is Plus, which costs $175 per year. The highest tier is Pro, with a price tag of $500 per year.
TokenTax Review
EXCELLENT
GOOD
EXCELLENT
EXCELLENT
GOOD
- ⦿ Superb customer support
- ⦿ Tax support for international trading
- ⦿ Integrates with almost all exchanges
Intro
If you are looking to outsource everything tax-related, then TokenTax could well be the best software for both crypto taxes and fiat taxes available at the moment.
Tax Form Options
TokenTax offers to take many different types of forms off your plate. You can rely on it to create your crypto Form 8949 that you can submit with your tax report. It can also help you create an income crypto report. This includes your mining, staking, and other crypto income from airdrops or other promotions.
You can also trust it to create an exceptionally detailed international gain/loss report and the highest yearly balance report for international exchanges so that you can file the FBAR with the Financial Crimes Enforcement Network in case you exceed the reporting threshold.
Features
Not quite as feature-rich as many other crypto tax software solutions from this list, TokenTax still offers a decent selection of carefully selected features, which simplify taxes management without overwhelming you with options.
Apart from generating excellent reports by tracking your trading history, TokenTax can help you with tax-loss harvesting. Furthermore, the website promises that even when a particular feature you need is not listed, the team behind TokenTax can handle it.
Integrations
This tool truly shines when it comes to integrations. It brags about being compatible with all exchanges, which is a significant aspect of its practicality. Thanks to this compatibility, this crypto tax tool can collect data from whichever exchange you’re using and present you with the most accurate reports.
TokenTax also integrates seamlessly with TaxBit to help you submit and file your crypto reports. It’s the perfect solution for those with a DIY approach to taxes. Others can always hire a TokenTax team to outsource filing altogether.
Reputation & Customer Support
At the moment of compiling this list of the best tax software for crypto, TokenTax had an enviable score of 4.7 on Trustpilot, with only two negative comments, both addressed.
The customer care representatives’ politeness and competent handling of all issues could easily be a sufficient reason to opt for TokenTax. You can contact the agents via phone, email, and live chat available on the site.
Pricing
TokenTax has pricing plans tailored toward both casual crypto investors and professionals with large trading volumes. The Basic plan starts at $69 per tax year, which is slightly more expensive than the cost of other crypto tax apps we’ve reviewed here. The next two plans are Premium ($199 per tax year), and Pro ($799 per tax year). The ultimate VIP plan, which includes assistance from a crypto accountant, starts at $2,500 per tax year.
ZenLedger Review
GOOD
EXCELLENT
EXCELLENT
GOOD
GOOD
- ⦿ Numerous discounts available
- ⦿ Solutions for tax professionals
- ⦿ More than 400 supported exchanges
Intro
ZenLedger is the solution to go with if you’d like to outsource doing your taxes altogether. Its software is a top-notch option you can use to quickly (and painlessly) prepare your cryptocurrency tax reports for filing. You can also hire ZenLedger’s team of professionals to help you manage your fiat taxes.
Tax Form Options
ZenLedger is an excellent option if you need help with multiple tax forms. Some of the forms ZenLedger can help you with are the IRS Schedule 1 and D, used to submit additional income and capital gains and losses. Furthermore, you can trust it to help you with reporting your cryptocurrency capital gain and losses, as it can generate the IRS Form 8949 for you.
If you’d like to outsource all of your taxes - both crypto and fiat ones - you’ll be glad to hear that ZenLedger is not only the best crypto tax service around but can also match you with one of its tax professionals who’ll handle fiat taxes for you.
Features
ZenLegder offers many great features that’ll certainly reduce the stress of doing your taxes to the minimum. First of all, its automated tax-loss harvesting tool will come up with excellent recommendations on tax-saving based on your portfolio.
It also offers a unique feature called Grand Unified Accounting. Thanks to this feature, you’ll be able to see your full transaction history from all of your wallets and exchanges on a single spreadsheet. If you’ve had issues tracking your transactions in the past, this feature alone is going to be a game-changer.
For tax professionals looking to add crypto tax services to their portfolio, ZenLedges is an excellent solution. It allows managing multiple clients within a single dashboard. It also offers effortless data import and doesn’t impose any hidden fees as your clients will cover the cost of ZenLedger software.
Integrations
The list of integrations available with ZenLedger is a long one. It accepts more than 400 exchanges. If you are using Coinbase, Binance, CEX.IO - to name a few - you can effortlessly add them to your ZenLedger account. There is also an option to request an exchange that is not currently supported. You can further rely on ZenLedger to assist you with uploading your files from unsupported exchanges. It’s compatible with more than 40 blockchains, including all the major decentralized ledgers, and 20-plus DeFi protocols.
Reputation & Customer Support
At the moment of writing this crypto tax software review, ZenLedger had a score of 4.2 on Trustpilot. However, this rating should be taken with a pinch of salt - ZenLedger has claimed its Trustpilot account merely a year ago and only has 16 reviews.
The reviews praise ZenLedger’s ease of use, helpfulness of its customer support team, and the results achieved by hiring its tax professionals. The most notable complaint we feel is worth mentioning is the lack of a dashboard. This is not such a deal-breaker for us, but if having an effortless preview of your finances is your priority, you should probably look at some other options from this list.
Pricing
ZenLedger’s pricing list is pretty much in line with the pricing of other crypto tax tools we’ve reviewed here. It offers a free plan, which is limited to 25 transactions but packs nearly all the features of paid plans. The next one is the Basic plan, which costs $49 per year, followed by Premium ($149 per year). The most comprehensive plan, Executive, will set you back $399 per year. ZenLedger also offers a 20% discount for new users and a further 20% if you purchase more than one year of subscription.
Yes, ever since 2017, Coinbase has been reporting to the IRS ahead of the yearly tax season, and it will report your transactions as well. To avoid getting a letter from the IRS, you should report cryptocurrency gains worth more than $600.
In the US, cryptocurrency is taxed the same way as traditional stocks as it is considered property. The IRS, which requires crypto exchanges to report user activity, will treat it as a capital asset.
For example, for crypto trading, the IRS has 10 tax brackets that range from 0% to 37%. The applicable percentage depends on the amount of capital gain and how long you’ve kept the cryptocurrency.
You should keep a record of all your crypto transactions, both online within the exchange and in a backup CSV file. For tax purposes, you should keep a record of the type and amount of currency used for the transaction. Also, you note whether it was bought, sold, earned, or exchanged, as well as the date of the transaction. Keeping a record of the value at the moment of transaction, as well as any bank statements, might be handy. To simplify the whole process, you can always rely on some of the best crypto tax software from this list to automate keeping track of your crypto and taxes due on it.
