Navigating the Complexity of Crypto Taxes
Crypto taxes can feel daunting, especially when you’re managing multiple wallets and transactions. At JCT Tax Solutions, we understand that going through all of your transactions across multiple wallets and multiple blockchains can be a lot. You shouldn’t have to navigate this complexity alone.
Why Accurate Record-Keeping Matters
Accurate record-keeping is crucial for a smooth tax return process. If you can’t identify when you bought a particular amount of cryptocurrency, the IRS will assume you got it for free, and you’ll pay taxes on the whole amount. You don’t want that. If you bought for $100 and sold for $120, you only want to pay tax on that $20 – not on the full $120.
Streamlining Your Tax Process
There are new regulations set to take effect in 2025 (which we will hopefully see the benefit of when we file 2025 taxes in 2026) that will require crypto platforms to provide you with the same level of data that stock platforms are required to do today. This should make things a lot easier when tax time rolls around. Until then, we have a bit more work to do to take care of things. If your transaction lists aren’t huge, we can simply work through the transactions and figure it out. If you have a lot going on in your crypto wallets, we have 3rd party tools that we can use to aggregate and organize all of that.
By working with us, you can rest easy knowing that your crypto transactions will be correctly recorded, ultimately saving you time and stress during tax season.
Ready to Learn More?
Schedule a Discovery Call where you can learn more about our processes and we can learn more about your situation, and we can make a recommendation on how best to proceed. We’d love to help if we can!
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