Cryptocurrency investors are a pretty forward-thinking group. After all, they are the figureheads of a ground-breaking new fintech revolution. You could imagine that such an enterprising group would be able to handle something that seems as simple as filing crypto taxes. However, may coin traders are facing the most challenging tax season of their lives.
The IRS established a broad tax policy that includes extensive reporting requirements. Just about anything you can do with cryptocurrencies – whether you’re trading, spending, or cashing out – is a taxable event. As a result, even the most practiced self-preparer may find it difficult, or nearly impossible, to DIY their taxes this year.
When it comes right down to it, there is nothing that can replace good professional advice. A professional cryptocurrency accountant can really put your mind at ease this tax season, and even save you some money this year. While there are some helpful online tools that you can use to help you prepare this tax season, they don’t provide everything you need to file your cryptocurrency taxes this year. CryptoTaxPrep.com is the only one-stop-shop on the web for all of your crypto tax preparation needs.
Online Crypto Tax Tools Just Don’t Cut It
There are a few services available online that can help you collect the information you need to start your taxes. Cointracking.info, for example, is a tool that allows you get all of your tax information in one place by importing account data from across several cryptocurrency exchanges. This software is particularly helpful for traders who are active across many different exchanges. It helps to document taxable transactions without requiring investors to go through each exchange one-by-one. But once you have all of this information in one place, what do you do with it?
Crypto taxes are based on the capital gains rules, which means investors are facing the daunting task of figuring out their cost basis, gains, and losses for every single cryptocurrency transaction they made during 2017. There are tools online that can help you estimate your capital gains and losses, including the popular Bitcoin.tax site. However, it’s important to understand that these tools only provide estimates. The capital gains rules have evolved over time to accommodate several different accounting approaches. Each approach raises different tax liabilities, and only a human accountant has the skill and creativity needed to effectively minimize any particular investor’s individual tax liability.
Connect With a Pro at CryptoTaxPrep.com
When it comes time to file your crypto taxes, there’s no replacement for good, solid advice from a tax professional. And that’s exactly what you’ll find at CryptoTaxPrep.com, the industry leader in cryptocurrency accounting services. CryptoTaxPrep.com offers three different crypto tax assistance packages suitable for everyone from the entry-level investor to the most active coin traders on the web. Rather than trying to figure out how to properly report your crypto investments to the IRS, let the experts at CrypoTaxPrep.com manage your tax returns this year.