Taxes | Tax Reporting | Cointracking.info

I’ve seen tax reporting or recording trade history being brought up a couple of times, but I’m not seeing any progress or implementation. For people in the US this is extremely important as we approach tax season. Also, this is a great way to attract new users to the community, because some don’t wish to pursue a project that isn’t interested in following local laws. I could give you a break down of things that I would be looking for in reporting like transaction history, dates, times, and earnings, but I’m sure I would be forgetting to add something that maybe someone else in the community is needing for their tax reporting. The Incognito Team should reach out to the crypto tax reporting website called Cointracking.info . This website can track and calculate taxes based off of the parameters that you set and they are supported by all major exchanges and they have tax support for 100+ countries. By adding support from Cointracking.info with Incognito this will only attract more to this community. It’s best that someone on the Incognito Team reach out to them to see what they’re requirements are for uploading CSV files or if they have a way to connect to the API like most exchanges and wallets are able to do on this website.

7 Likes

Welcome to the community Evolved22…and well time will tell what or how the community looks into this suggestion for tax purposes…bottom line is thank you for the suggestion and welcome to the community… :sunglasses:

2 Likes

There was more discussion on this feature request (I.E. a way to calculate tax obligations) on the January PRV Holders call.

@andrey spoke at quite some length about this with a potential developer (sorry I do not know who was on the call). The discussion starts around 39mins into the call - https://youtu.be/o-u9ShfVq4s?t=2385
Andrey said on the call that the Incognito team would not build this but will provide assistance to a community developer. I think this is good news and I’ll be happy to share with the developer my thoughts on how this should work.

I totally agree with your point @Evolved22, this project needs to be seen as being compliant from a taxation standpoint.

My initial thoughts on this would be a very simply CSV export of all transactions with columns for Date & Time, transaction type (E.g. Deposit/Withdrawal/Interest/Staking Reward/ etc…), Quantity (Amount of crypto), Currency (coin/Token symbol), Fee Amount (in crypto), Fee Currency.

Because we have an international audience, I’m not sure if we should include USD prices or not. Best we leave it up for discussion.

I’ll be happy to share with the developer a same spreadsheet (CSV output file) with some dummy data, if that helps in building out this feature.

3 Likes

I had hoped the team would prioritize this but it didn’t get done. In the meantime a very helpful member created this spreadsheet:

2 Likes

Not every user needs this information. For me it would have no value.

True, not everyone needs it, but some people want it–even if they don’t require it for tax purposes.

Call me crazy but I try to keep as detailed records as I can in life.

3 Likes

Thanks for sharing this spreadsheet @marko

I remember asking about this a year ago. Tracking transactions on all the different wallets within Incognito should be clean and simple regardless of whether it is needed for tax purposes.

Would love to have this as an option. I’m not looking forward to try to report my incognito transactions. I actually use the platform less because of this very reason.

I appreciate wanting to be able to provide documentation to an organization like the IRS for payment of taxes or in the event of an audit. Currently I am focused primarily on Bitcoin for retirement and a hedge against the devaluation of the US dollar. So I do not need a sophisticated tracking solution for my purchases, trades and expenditures of cryptos. I think that a better solution for myself and others like me would be a spreadsheet which has two significant advantages. First is that I am not saddled with periodic fees for a service. Secondly, it provides privacy for any purchases I may make.

1 Like