Koinly Cryptocurrency Tax Software Review 2021

Koinly Overview

Whether you’re a seasoned trader or new to investing in cryptocurrencies, trying to navigate crypto tax is something that will likely cause your head to spin. In this quickly evolving space, tax rules vary significantly, depending on which country you’re tax resident. While tax authorities try to get to grips with concepts such as airdrops, DeFi, yield farming, and NFTs, the crypto tax landscape is a patchwork of confusing and oft-changing rules.

Thankfully, over the past few years, a number of software platforms have emerged which simplify the process. Koinly is one of the most popular cryptocurrency tax platforms, which enables users to import their data from a wide variety of sources, including exchanges, wallets, and other platforms (such as Nexo and Blockfi). Koinly allows users to view their capital gains, crypto income from sources like staking and mining, amount of fiat invested and generate detailed tax reports.

What are the main features of Koinly?

Koinly offers a useful set of features, which help investors and traders keep track of their portfolio, while also ensuring they stay compliant with tax regulations.

• Koinly features a dashboard where users can track their ROI, the amount of fiat invested, P/L and estimated capital gains.

• Users are also provided with an overview of their mining, staking, lending and other crypto income.
• Koinly generates tax reports for a wide array of countries, including USA, Canada, UK, Germany and Sweden. Reports are detailed and faciltate margin trading, options and futures.
• The software also allows users to account for gifts, donations and losses of crypto. This is useful as in a number of countries, losing crypto could account for a capital loss.
• Data can easily be exported to other tax software platforms, such as TurboTax.

Exchanges and Platforms Supported by Koinly

If you’re trading cryptocurrency, it’s unlikely that you’ll have all your coins in one place. Most people use a variety of exchanges, wallets (mobile, online, or hardware), and other platforms (such as Blockfi),

Koinly currently supports:

• Over 350 exchanges
• 50 wallets
• 50 blockchains
• 11 Additional services including Nexo, BlockFi, Paxful, NiceHash, Purse.io & others
• All cryptocurrencies in existence

You can connect exchanges and wallets to Koinly via API, which will then simply and automatically import your data. Alternatively, you can upload CSV files manually into Koinly’s database. For blockchain wallets, data can easily be imported by simply using a public address.

Which Countries Does Koinly Support?

Koinly supports over 100 countries globally and states that if your country uses their supported cost basis methods, such as FIFO or LIFO, the software is suitable for your needs. This is cryptocurrency tax software that can be used in any jurisdiction around the world.

Koinly Pricing

Koinly has a tiered approach to pricing. You can sign up for a free account, which gives you access to a few basic features to try Koinly out before committing to purchasing their paid plans. Koinly’s free plan allows you to import up to 10000 transactions and generate an overview of your capital gains liabilities.

See Also

KeepKey Review: Cryptocurrency Hardware Wallet

However, in order to generate a detailed tax report, users have to sign up for one of Koinly’s paid subscriptions. Annual subscriptions increase in price, mainly based on the number of transactions. The most basic plan allows users to import up to 100 transactions and costs $49 per tax year. For users with 100-1000 transactions, Koinly offers a plan costing $99 per annum.

Users with up to 3000 trades per year can avail of Koinly’s “Trader” plan for $179 per year. Serious traders with upwards of 10000 transactions per year can upgrade to their $279 plan. Both these plans include email support – something which is unfortunately excluded from all other paid plans. Chat support is available for users of all plans.