Introduction
For me, every single year, doing crypto taxes has been a massive pain. It feels like all crypto tax software is built for people who primarily use Coinbase or Binance or those who do really simple transactions. Being that I almost exclusively transact on-chain, using a ton of different wallets and blockchains, and doing a lot of really complex transactions, it can be extremely difficult to find good tax software that works for me.
The Search for the Best Crypto Tax Software
This year, I decided to try almost every piece of crypto tax software out there, hoping to find one that would actually work for me and wasn’t a complete nightmare to use. One of them ended up being a clear winner and was head and shoulders better than the rest. To be clear, this isn’t sponsored. I have no financial motivation to rank them this way. I have an affiliate link for one of the projects, but it’s not my favorite or even my second or third favorite. This is my honest assessment.
Ranking Criteria
I’m going to be ranking across a few different categories:
- Best Software for Exchange Users: For those who primarily use exchanges like Coinbase and Binance.
- Best Software for Advanced Users: For those who interact on-chain, across various blockchains, and perform complex transactions.
- Best Software for Managed Services: For those who want everything done for them, without dealing with the details.
- Best Overall: The best crypto tax software overall.
1. KoinLe
Overview
CoinLe was the tax software I used last year and was my previous all-time favorite. However, this year, it has lost that coveted number one position to a new up-and-coming piece of crypto tax software.
Pros
- Dashboard: The dashboard section is really nice and has a clean UI/UX.
- Tax Optimization: It lets you know when you can harvest tax losses to offset gains.
- Ease of Use: Overall, the software is easy to understand and navigate.
- Labeling Transactions: It does a decent job labeling transactions, mostly getting it right.
- Network and Wallet Support: Supports most networks and wallets like Ethereum, Solana, etc.
Cons
- Manual Network Addition: You have to add each network individually, which is tedious.
- Transaction Navigation: Navigating transactions can be a pain, especially when fixing mislabeled ones.
- Context for Transactions: It’s difficult to figure out the context of transactions without additional research.
Pricing
- Under 100 transactions: $49
- 1,000 transactions and under: $99
- 3,000 transactions and under: $179
- Over 10,000 transactions: $279
2. Crypto Tax Calculator
Overview
Crypto Tax Calculator is like CoinLe on steroids. It’s a pumped-up version with more features and better usability.
Pros
- Ease of Use: Beautiful piece of software, simple to navigate.
- Portfolio Section: Slightly better than CoinLe’s.
- Automatic Network Loading: Input your address, and it loads all transactions across different networks.
- Tax Loss Harvesting: Shows you what cryptos to sell to offset gains.
- Granular Search: Easier to search through transactions and flag problem transactions.
Cons
- Labeling Transactions: Still tough to label transactions you don’t recognize.
- Context Tools: Provides some context, but often not enough to understand the transaction fully.
Pricing
- Basic users: $49
- On-chain users with <1,000 transactions: $99
- All features and <10,000 transactions: $249
- Up to 100,000 transactions: $499
3. TokenTax
Overview
TokenTax was recommended by a member of the Obsidian Council. It’s unique for its done-for-you taxes feature, allowing you to hire a professional.
Pros
- Professional Services: You can hire a professional to do your taxes.
- Support for All Chains: Supports every chain, platform, and exchange.
Cons
- Basic Features: Limited compared to CoinLe and Crypto Tax Calculator.
- High Cost: Around $2,999 plus extra fees for certain chains.
4. CoinTracker
Overview
CoinTracker used to be just okay, but a recent revamp has improved it significantly.
Pros
- Automatic Network Loading: Similar to Crypto Tax Calculator, saving time.
- Transaction Flagging: Better system for flagging and updating transactions.
Cons
- Not Specified: No major cons mentioned, but implied that it’s not as advanced as Crypto Tax Calculator.
5. ZenLedger
Overview
ZenLedger falls below all the previously mentioned software. It feels clunky and isn’t worth diving into in detail.
6. Awaken
Overview
Awaken is my absolute favorite crypto tax software in 2024. Initially, it doesn’t look impressive but performs exceptionally well.
Pros
- Automatic Network Loading: Similar to Crypto Tax Calculator.
- More Integrations: Supports more chains and provides workarounds for unsupported ones.
- User-Friendly: Intuitive with helpful tutorials and guides.
- High Impact Issue Separation: Prioritizes high-impact issues for easier resolution.
Cons
- Basic UI: The UI isn’t as nice as others, lacking a dashboard and tax loss harvesting feature.
Conclusion
In conclusion, finding the right crypto tax software depends on your specific needs. For exchange users, KoinLe might suffice. Advanced users might prefer Crypto Tax Calculator. If you want everything done for you, TokenTax is a good choice. However, my personal favorite for 2024 is Awaken, due to its intuitive design and extensive features.
