Best Crypto Tax Software (Free and Paid)

Whether you’re a beginner in crypto trading or have been in the space for a while, you’ll need to pay taxes. As regulations are kicking in, you must calculate crypto taxes correctly.

Crypto tax software allows you to calculate profit and loss from your crypto trading and take deductions on expenses. Therefore, this article lists some best crypto tax software, their top features, and some key statistics.

Summary What is a Crypto Tax Software?

Crypto tax software calculates your crypto taxes and simplest the entire process of filing taxes. This software is already programmed, so it becomes easy for crypto traders to use it and file their taxes without technical knowledge.

Besides, crypto tax software helps you in tracking your crypto portfolio. These features allow you to sort the transactions into gains and losses, which automatically translates into tax filing.

What features to look for in crypto tax software?

Before choosing crypto tax software for your tax preparation, you should look over a few features. Some of these features are mentioned below:

1. The crypto tax software you choose should allow you to seamlessly upload multiple CSV files and data and connect APIs and wallets.
2. Try looking for tax software that ensures the safety of your actual data.
3. The crypto tax software should allow you to export files to all the major tax filing platforms, such as TaxAct or TurboTax.
4. The software should help you track your transaction history.
5. It should help you with complete audit support.
6. The chosen cryptocurrency tax software should provide tools for studying crypto coins and trading tools like charting.

CoinTracking – Best for preparing taxes via mobile application

CoinTracking is known to be the world’s first crypto portfolio manager and tax reporting tool. It was launched in 2013 to make crypto enthusiasts’ lives easier.

Further, CoinTracking analyzes your trades and generates real-time reports on profit and loss, taxes, coin value realized and unrealized gains, etc.

CoinTracking Features

• CoinTracking tax software allows you to import data from more than 110 exchanges and supports direct sync with the blockchain. Further, it will enable you to export files in various formats like CSV, XML, PDF, etc.
• The platform helps you in tax report generation for over 100 countries by considering various factors like income, capital gains, etc.
• You can use 25 customizable crypto reports and interactive charts for all your trades and coins.
• The most significant advantage of CoinTracking is that you have a complete history of all 10,914 coins and access to these assets’ latest prices.
• Also, you can access all the top coins by trades and volume, coin statistics, trends, and analysis.

Also, read CoinTracking vs Koinly: Simplify Your Crypto Taxes

CoinTracking Pricing

Every new investor of CoinTracking gets a free plan with upto 200 transactions and a desire to extend functionality encourages the investors to choose from the 3 paid plans as mentioned below.

Is CoinTracking safe?

Yes, Cointracking is safe and has been in the market for over 12 years. It supports anonymous registration and offers complete data and API encryption that can also be protected with 2FA.

Further, Cointracking cannot access your withdrawal rights on the exchanges you connect with the app. They only can see activity in your account, which means that even in case of Cointracking going through a hack attack, your coins will be safe on the exchange/wallet you stored them on.

Visit CoinTracking Now! Accointing – Best for novice crypto traders

Accointing is an excellent one-stop solution for all your crypto tax problems. In addition, the platform offers a wide range of tools that assist you in tracking and managing your crypto taxes in a simple and user-friendly manner.

Moreover, Accointing has flexible features that allow you to create personalized tax strategies, including a crypto tax calculator that automatically classifies and calculates your crypto tax and a Crypto tracker which tracks your crypto portfolio for insights tools.

Accointing Features

• Accointing software is known to automate the process of crypto tax calculation. 
• It offers various insight tools and effortlessly manages your crypto portfolio. Further, you get an asset allocation chart that suggests what crypto asset you should buy next.
• You can also link your exchanges and wallets to the platform and automatically import data. 
• Accointing offers a complete breakdown of all your transactions in a consolidated report.

Accointing Pricing

Accointing is the one that provides the most accessible prices in the market with free transaction reports. It also includes transaction features. There are 4 plans offered by this platform.

Is Accointing safe?

Yes, Accointing is safe to use. It secures the entire inter-service or client/server communication with SSL. Further, to simplify the platform’s complexity, it uses Identity authentication and management through OAuth, an open-standard authorization protocol.

You can export your data from the platform anytime with no restriction. If you decide to delete your account, all your data is erased from its databases.

Visit Accointing Now! Koinly – Best for automating tax reports

Koinly is undoubtedly among the top crypto tax software founded in 2018. It automatically tracks crypto transactions across your exchange accounts and wallet addresses.

Besides, it effectively recognizes transfers within your exchange accounts/wallets and keeps all traces of original acquisition costs when you exchange cryptocurrencies.

Further, the platform supports tax reporting across the globe, allowing you to import data via APIs, CSV files, x/y/z pub keys, and generate reports that can be downloaded in pdf formats.

In addition, it supports various accounting methods like First In First Out (FIFO), Last in First Out (LIFO), Shared pool method and generates International tax reports, Schedule D Reports, and many more, thus facilitating services across multiple countries.

Koinly Features

• Koinly tax software allows its users to track their crypto investments by using actual ROI and invested fiat. Besides, it offers a detailed income overview of your income-generating activities, such as mining, staking, etc.
• The platform allows automated data import and provides a solitary picture of your entire trading activity. 
• Koinly releases reliable crypto tax reports and abides by all the applicable cryptocurrency tax laws worldwide. 
• Furthermore, the platform allows you to fix issues with your transactions with various tools, including a double ledger system, highlighting errors due to incorrect or missing transactions, and auto-import verification.

Also, read CoinTracking vs Koinly: Simplify Your Crypto Taxes

Koinly Pricing

Koinly offers competitive pricing when compared to other platforms. Further, it allows a lifetime free trial period without the need for submission of your credit cards. 

Is Koinly Safe?

Yes, Koinly is entirely safe to use as it encrypts the API keys using aes-256-gcm before storing them. Besides, all the services and data are hosted on an application that applies several security checks at every layer to protect the customers from threats.

Only authorized employees, who require the data for their job, can access customers’ data. Further, Koinly performs pen tests and vulnerability scanning through third-party security tools.

Additional security checks by Koinly include Security and Awareness training annually for employees, a detailed set of security policies, Confidentiality contracts that employees have to sign, etc.

Visit Koinly Now! TokenTax – Best for integration with popular exchanges

TokenTax was founded in 2017 and is a tax filing company offering services across 18 countries. The company offers a standalone application that effectively calculates taxes for crypto transactions and a full-service filing.

Further, being a tax-first company, it specializes in tax minimization strategies. The company supports manual data entry and CSV uploads from different exchanges that don’t have API connections.

TokenTax Features

• TokenTax syncs with all your wallets and accounts, eliminating manual data entry and letting you see all your data in one place.
• You can track and preview your tax liability, so you’re never caught unprepared. The company’s tax reports include FIFO, LIFO, Minimization, and average cost tax liability calculations, Tax loss harvesting dashboard, Mining and staking income reports, Ethereum gas fee reports, and custom enterprise reports.
• The software automatically generates every tax form you need to complete your filings—whether you file with TokenTax or a different provider, such as TurboTax.
• TokenTax offers advanced reconciliation services from crypto-savvy tax professionals for investors with more complex accounting needs. They’re well-equipped to handle data that includes: Missing cost basis or messy data situations, High transaction volume, Cross-chain transactions, and Enterprise solutions.

TokenTax Pricing

TokenTax offers a unique pricing plan for crypto traders. To begin with, it provides two types of services- one specifically for crypto tax calculations and the other to handle all your tax filing needs.

Is TokenTax safe?

Yes, TokenTax is safe and secure software. It uses encryption and read-only access to keep all the information safe. Besides, the company protects your data with multiple forms of security.

Visit TokenTax Now! TaxBit – Best for upfront tax planning

TaxBit is an easy-to-use crypto tax solution founded by CPAs and tax attorneys. The software automatically imports all your trades directly from the exchange APIs. It does all the calculations for you to do your trading activities instead of accounting easily.

Further, Taxbit is unique because it does not require you to prepare the tax forms before filing them. It supports calculating capital gains and losses in Ethereum, Bitcoin, Ripple, Polkadot, and several other Altcoins. Besides, TaxBit helps you to calculate your taxable income based on real-time exchange rates.

TaxBit Features

• The software supports more than 150 exchanges and over 2000+ currencies.
• It offers a dashboard showing your asset balances, tax position, and unrealized profits/losses.
• TaxBit offers features such as tax-loss harvesting and portfolio performance analysis.
• TaxBit allows all the Pro users to schedule an annual phone call with a CPA to review their forms before filing.

TaxBit Pricing

The pricing of TaxBit is quite similar to other crypto tax software in the market. There are three paid tiers to choose from and a free trial for every type of account you decide to purchase.

Is TaxBit safe?

Yes, TaxBit is absolutely a secure crypto tax software. The company has successfully achieved an independent SOC 2 certification, which means it has excellent security practices to keep user information safe.

Besides, TaxBit uses database servers hosted by AWS RDS, and all the data is encrypted using AES 256 in transit and at rest.

Visit TaxBit Now! CryptoTaxCalculator – Best for complex tax calculations

CryptoTaxCalculator works in such a way that it can understand your tax obligations. Moreover, their tools help identify, organize, and track all your crypto activities across hundreds of exchanges and blockchains with accuracy and ease. 

Besides, the platform came into the picture in 2018 with its headquarters in Sydney, Australia. Moreover, don’t struggle with excel anymore and use Crypto Tax Calculator to get configurable tax settings. Furthermore, it integrates significant exchanges, wallets, and chains and covers NFTs, DEX, and Defi trading.

CryptoTaxCalculator Features

1. The platform offers powerful and accurate tax reports. It performs all your tax calculations with high accuracy. Also, they carefully consider all complex scenarios like DEX transactions, leveraged trading, staking rewards, Defi loans, and gas fees. 
2. CryptoTaxCalculator provides a complete breakdown of each calculation. It quickly makes you understand how exactly your taxes are calculated and what rules it applies.
3. The platform supports Defi and DEX trading. 
4. CryptoTaxCalculator is trusted by industry-leading accountants who value accurate and detailed reports. 
5. It integrates with over 500 exchanges, including all the major international exchanges.

CryptoTaxCalculator Pricing

The CrytoTaxCalculator pricing structure offers you four different plans for your accounts. So, to get your crypto tax reports, you need to pay for the desired plan. Besides, the pricing structure in the platform works with the yearly subscription method, and all the plans come with a 30-day money-back guarantee if you are unsatisfied with it.

Is CryptoTaxCalculator safe?

Yes, CryptoTaxCalculator is safe and never asks for your crypto wallet’s private keys. Besides, all the API keys are securely stored and encrypted in transit and at rest. 

Furthermore, the platform is SOC 2 Type 1 certified, with security mechanisms in place to ensure the safety of your data. Again, CryptoTaxCalculator enforces a password complexity standard to maximize security for users, and all credentials are stored using a salt + bcrypt hash function.

Visit CryptoTaxCalculator Now! ZenLedger – Best for tax professionals

ZenLedger crypto tax software is best for crypto traders and tax professionals who need a way to simplify the process of crypto tax accounting during this new wave of decentralized finance (Defi). 

Besides, similar to many other crypto trackers on the market, ZenLedger integrates with a wide variety of exchanges and cryptocurrency networks to offer full coverage for traders who operate in these volatile markets.

ZenLedger Features

1. ZenLedger offers a tax-loss harvesting tool that automatically analyzes your trade history and provides a list of all the tax savings opportunities to take advantage of before the annual December 31st deadline. 
2. It easily integrates your transaction data with TurboTax Desktop or Online.
3. ZendLedger previews your entire transaction history across wallets and exchanges in the readable spreadsheet. 
4. The platforms offer plans with Tax consultant services to guide and file tax returns.
5. It supports 400+ exchanges, 40+ blockchains & 20+ Defi projects.
6. The platform also renders on-demand customer service teams for free & paid plans.
7. It Supports US tax compliance users.

ZenLedger Pricing

ZenLedger offers various account types for their crypto tax accounting platform to ensure that they can provide services to a wide range of crypto users. So whether you’ve only recently made your first bitcoin purchase or have been trading various crypto assets regularly for years, ZenLedger will have an account tier that fits your needs.

Is ZenLedger safe?

ZenLedger is a safe and trusted platform as it only has read-only access to all your transactions. Further, the platform encrypts customer data and avoids all personally identifiable information as much as possible to increase its security.

Visit ZenLedger Now! Blockpit – Best for simple and interactive UI,

Blockpit has been dealing with compliance with digital currencies such as Bitcoin and has developed a software platform that combines all the sources of digital currencies. This simplifies processes resulting from complex regulations, anti-money laundering guidelines, and tax laws. 

Besides, it integrates a beneficial real-time tax reporting feature for its platform users and increases effectiveness in compliance and AML processes through seamless integration into your (crypto) custodian solutions.

Blockpit Features

1. Blockpit helps you frame legally compliant tax reports (DE, AT, CH, USA, ES, FR).
2. After connecting your exchange/wallet to Blockpit app, you’ll get an overview of all your holdings. Therefore, you can look at how you have been doing overall.
3. You can import transactions through manual input or auto-sync and download all your country reports in one file.
4. On the reports page, you can watch your calculated realized gains and losses for your connected exchanges/wallets.
5. After connecting your exchanges to Blockpit through an API key, you can enable auto-sync, and all displayed information will be in real-time.
6. The Blockpit crypto tax app checks your depots to ensure your reports are accurate. 

Blockpit Pricing

Blockpit charges its users per tax year. So, choose a plan that fits you the most.

Is Blockpit safe?

Yes, Blockfit is safe to use, and all the exchanges are connected through an API key that does not permit withdrawals. Therefore, all of your assets remain on your exchange. Further, when it comes to wallets, they are connected through a public key and never require your private key.

Visit Blockpit Now! Conclusion

Trading cryptocurrencies demands paying taxes, and for the said purpose, you need software that accurately calculates your capital gains and losses. Thus, crypto tax software makes this extremely easy and automatically syncs different crypto exchanges and wallets to provide you with tax reports within minutes.

Undoubtedly, CoinTracking and Accointing are the best tax software for cryptocurrencies. Both the software manages your crypto portfolios, offers accurate tax reports, and supports different exchanges and wallets. Further, both of these platforms are ideal for novice as well as professional traders.

Frequently Asked Questions What is the Best tax software for Beginners?

Some of the best tax software for beginners are Koinly, CoinTracking, and Accointing. 

What to look for in a crypto tax solution?

It will help if you look for Automated Data Input, Flexibility, Pricing, Reliability, Features, Tax Reports Quality, Customer Support, and Ease of Use of the crypto tax solution before using it. If you’re new to crypto, avoid juggling between two tools to manage your crypto portfolio and taxes.

Is it necessary to pay taxes on cryptocurrency capital gains?

Yes, you must pay taxes on your cryptocurrency gains based on your jurisdiction.

How to avoid crypto tax?

There are some ways by which you can strategically and logically avoid crypto taxes. A few of these are:
Invest crypto into an IRA, pension, or annuities fund
Offset gains with losses
Hold on to your cryptocurrencies and qualify for a long-term capital gains rate

How to file crypto taxes?

Using any of the cryptocurrency tax calculators mentioned above, once completed above software is also linked with CPAs which can help you file your crypto taxes.