Crypto Tax Reports
It can be daunting to go through thousands of transactions to prepare an accurate crypto tax report. Our Australian crypto accountants make the process of reporting crypto tax simple by taking care of the grunt work to ensure you remain complaint and stress-free.
Proud
member of
Tax reporting that reflects your crypto journey.
Tax On Chain is a leader in crypto tax reporting, employing proprietary techniques to deliver efficient and precise documentation of crypto activity. Our team of expert crypto accountants go through a meticulous process of aggregating your crypto data from all sources and will use their crypto and tax expertise to ensure precise transaction reconciliation for tax compliance. The outcome is a set of comprehensive reports to be used in the preparation of your tax return and as supporting evidence for any potential tax audits.
Whether you’re into leverage trading, yield farming, DeFi, NFTs, or anything in between, our crypto reports will provide you with detailed insight into your capital gains, income, expenses, trading stock, and your complete transaction history – all detailed with timestamps and transaction hashes/IDs.
Investors
Our reports will track your investment’s cost bases across all sources (centralised exchanges, private wallets etc) and will detail your short and long-term capital gains. Capital gains are calculated using the most tax effective methodology, ensuring you pay the least amount of tax possible.
Traders
High frequency and leverage trading are all captured in our crypto tax reports. 100,000 transactions? No problem, we’ve seen it all before!
DeFi
Transactions occurring on DeFi applications like Aave, Dydx and Uniswap are all aggregated from the wallet addresses you provide and are captured in our detailed crypto tax reports. Many of these transactions have complex tax implications and so it is important to ensure they have been accounted for correctly to ensure compliance.
NFTs
Whether you’re an NFT creator or NFT trader, you’re NFT transactions will be reconciled and reported accurately in our crypto tax reports. From Opensea to Magic Eden and Bored Apes to NBA Top Shots – we help clients who are active in the NFT ecosystem accurately report their NFT activity.
Network Validators
We help clients accurately report the income and expenses generated from validating networks and from other similar activities. Whether you’re mining Bitcoin, staking Ether or validating through other derivatives like Rocket Pool, our crypto tax reports will take the headache out of recording your validating activity.
Reporting your crypto activity should be easy.
Initial meeting
(optional)
Our 45-minute consultation with our crypto tax accountants allows us to provide tax advice (crypto and non-crypto related) that is specific to you and propose ways to help reduce your tax liabilities. We ensure you are aware of the tax implications of crypto, allowing you to make better decisions when engaging in various activities on-chain.
We provide a
fixed quote
After receiving your crypto transaction data, we will provide you with a personalised fixed quote to prepare your crypto tax reports and crypto tax return.
Preparation of crypto tax reports & crypto tax return
On most occasions, our crypto accountants aim to prepare your crypto tax report and crypto tax return within a 4 week timeframe. We provide a comprehensive set of crypto tax reports which separately details your capital gains, income, derivative trading, inventory on hand, and full transaction history
Ongoing
communication
We pride ourselves on being available to our clients at all times. We encourage our clients to contact us at any time throughout the year should they need some general tax advice from time to time at no extra cost.
What it’s like to work with
our crypto accountants.
Our relationships with our clients go beyond the services we provide. We believe that crypto thrives on community and we aim to develop a network of likeminded individuals home to enriching conversations fuelled by innovations occurring on-chain.
After trying several different crypto tax software and speaking to several different accountants, leaving more confused than ever, I finally found Tax On Chain, who were able to easily break it all down for me and sort out my crypto taxes. Finally, I can sleep at night and on the right path with my finances.
Anonymous
Tax On Chain was an absolute lifesaver for me. Navigating the complexities of crypto taxation was daunting, but their expertise and professionalism made the process seamless. I couldn’t be more grateful for their assistance and would highly recommend them to anyone in the crypto space looking for top-notch accounting.
Anonymous
What’s in a crypto tax report?
Report Summary
Our Report Summary neatly summaries your crypto tax position and separates your activity into its relevant categories for tax purposes. Our crypto tax accountants are able to prepare and lodge your crypto tax return based off the figures in your crypto report summary.
Crypto Balances
The Report Balances will accurately detail your crypto balances at the end of each reported period, saving you the time to aggregate your cryptocurrency holdings balances from various sources such as exchanges, private wallets and staking deposits.
Detailed Reports
Complementing the Report Summary, our comprehensive crypto tax reports also include the following detailed sub-reports:
- Capital Gains Report
- Income Report
- Derivative Trading Report
- Inventory Report
- Miscellaneous Expense Report
- Trading Stock Report (for businesses/traders)
Transaction History
Our Transaction History report will detail each transaction you have made within the reported period from all sources, including on-chain wallets. Our Crypto Tax Reports don’t miss a thing!
Break free from crypto tax confusion.
Take the first step towards managing your crypto tax reporting obligations. Enquire today and one of our friendly team members will be in touch with you within 48 hours.
Crypto Tax Report FAQs
I already have an accountant, can you just prepare my crypto tax reports?
Yes, we have many clients who engage us solely to prepare their crypto tax reports. They will then provide these reports to their traditional accountant who will use them to prepare their tax return.
I work for a DAO and get paid in crypto/stablecoins, do I need to report this income?
All income that is generated for providing services needs to be reported, regardless of whether it is paid in fiat, cryptocurrency or by some other means and is taxable when it is earned (usually when it hits your designated wallet address). Income earned for providing services to DAOs is generally treated as “personal services income” where specific rules apply to how this income is taxed and so it is important to understand if these rules apply to you.
What do the crypto tax reports contain?
We prepare a comprehensive set of reports depending on your requirements and tax classification (investor or trader). The reports we prepare can include a report summary/overview, capital gains report, income report (staking, interest etc), expense report, inventory report, trading stock report and a transactions report. All reports are incredibly detailed, including timestamps, transaction hashes, data source etc – everything you will need in case of an audit.
I’ve only ever traded crypto for crypto – do I still need to report my trades?
All crypto trades, regardless of whether they are crypto to fiat or just crypto to crypto (e.g. trading BTC for ETH) are taxable events and gains/losses need to be calculated and reported.
I’ve only made losses – do I still need to report this?
All trades, regardless of whether a profit or loss was made, need to be accounted for and reported. Further, any losses you have made can be carried forward to future years where they can be used to offset any future gains which can lead to substantial tax savings in the future!
I’m an NFT trader, can you help with my tax reporting?
Absolutely! We assist many high-volume NFT traders navigate the reporting requirements for their trading activities and prepare their NFT trading reports. Depending on your specific circumstances, NFT traders are often subject to the trading stock rules, and so it is important to understand how these rules apply to you to ensure compliance with current tax legislation.
I’ve been hacked and my wallet has been drained – can I claim this as a loss?
In most circumstances, yes, you can claim a loss when you have had assets stolen. It is important to ensure that the events surrounding the hack are appropriately documented and recorded in case these losses are ever questioned by the tax office.
How is my DeFi (decentralised finance) activity taxed?
The tax implications of your DeFi activity will vary depending on what the specific activity is. For example, swapping tokens on dexes are all taxable events and gains/losses need to be recorded for the tokens being sold. Further, income earned from providing liquidity to pools or from staking will generally be classed as assessable income. There are many different DeFi protocols available for use, all with subtle differences and potentially varying tax consequences, and so it is important to understand how different types of transactions are taxed to ensure compliance with current tax legislation.
Does the tax department know about my on-chain activity/trades?
Public blockchains are exactly that – public! Therefore, it is very easy to trace a crypto wallet to an individual, and the latest crypto analysis software employed by large organisations like tax agencies makes it even easier.
I have tens of thousands of transactions, can you help?
Yes, we assist clients with any number of transactions. Most of our clients are extremely active and accumulate thousands and thousands of transactions which we will sort through and ensure they are accounted for correctly.
I have accounts with many crypto exchanges and have countless crypto wallets – can you still help?
Yes, we use specialised software to aggregate your crypto data from all sources, which simplifies and streamlines the crypto reporting process. Most of our clients have accounts with several exchanges and use many different crypto wallets for their on-chain activities.
What information do I need to provide you for my crypto tax reporting?
You will need to provide data from all centralised exchanges (either in the form of read-only APIs or CSV exports) along with the addresses of all crypto wallets you have used. Once we have this information, we use specialised software to aggregate all of your crypto data so we can begin reconciling your transaction history.
Can you prepare my whole tax return?
Yes! As registered tax agents we prepare tax returns on behalf of our clients. We will use the crypto tax reports we prepare and will then request additional information pertaining to your other non-crypto activity such as share trading, rental properties, work deductions etc and will then prepare and lodge your tax return with the ATO.
I work for a DAO and get paid in crypto/stablecoins, do I need to report this income?
All income that is generated for providing services needs to be reported, regardless of whether it is paid in fiat, cryptocurrency or by some other means and is taxable when it is earned (usually when it hits your designated wallet address). Income earned for providing services to DAOs is generally treated as “personal services income” where specific rules apply to how this income is taxed and so it is important to understand if these rules apply to you.
How much do your crypto tax reports cost?
Costs will vary depending on the volume and complexity of your transactions. We can’t estimate fees until we have reviewed your crypto data so we know how much work is involved. If you would like a no obligation quote, please get in contact with us!