How To Combining Multiple Crypto Tax Softwares Together

In this article, I will guide you on how to accurately report and remain compliant when combining different crypto tax software together. Given how complicated crypto taxes can get in relation to the variety of exchanges and wallets available, relying on a single platform is seldom sufficient.

Understanding how to integrate different tools will, undoubtedly, simplify your tracking processes, reduce costly mistakes, and keep you tax-ready.

What Is Crypto Tax?

Crypto tax applies to any transactions done on the cryptocurrency platform like buying, selling, trading, mining, staking, and earning any digital assets. Most governments treat cryptocurrency assets like property or capital and hence, any profits made on it are subjected to capital gains tax. Income from crypto mining or staking is ordinary income.

These, however, are classified as taxable events: selling crypto, trading it for another coin, or buying goods and services. Having a record of every transaction including the cost basis and holding period is crucial. Compliance is country-specific crypto tax rules, hence users should adhere to their nation’s laws.

How To Combining Multiple Crypto Tax Softwares Together

Example: Combining Koinly with Other Crypto Tax Softwares

Suppose you use Koinly as your main crypto tax software because of its capability in supporting global tax laws and report generation for multiple countries. The shortcoming of Koinly however is that it does not cover every DeFi protocol you trade nor does it cover every NFT platform you trade on. The solution is as follows:

Start with Koinly

Retrieve the tax report and upload proportionate tax records for your primary trading websites and wallets which include: Binance, Coinbase, Ledger, and the like. Construct a preliminary tax report.

Add a Secondary Tool

For Koinly’s blind spots on DeFi and NFT transactions, use CryptoTaxCalculator. Retrieve your transaction history as a CSV file from CryptoTaxCalculator.

Standardize & Merge Data

Retrieve the CSV file in Excel/Google Sheets. Rename your files that are Koinly to the primary title, remove extras, check time of upload and put the files in correct order.

Cross-Check Results

Out of the totals provided for gains/losses, take the results from both tools. Look for differences that need to be addressed.

Finalize in Koinly

Koinly will take the DeFi and NFT that has been cleaned. From Koinly, you will derive the final tax report and from your CryptoTaxCalculator file you will retain it for your records.

Why Crypto Tax Reporting is Complex

Reporting taxes on cryptocurrencies is much more challenging than other forms of assets because crypto assets span multiple platforms, blockchains, and forms of transactions.

With stocks, they are traded at centralized exchanges and a firm with standard reporting. In comparison, crypto transactions occur at decentralized exchanges (“DEXs”), peer-to-peer exchanges, and even private crypto wallets, where we do not have the luxury of having tax submissions done on our behalf.

As we dive deeper into crypto activities, such as earning staking rewards, receiving mined crypto, and trading NFTs, tax liabilities on crypto such as airdrops and yield farming tokens further individualize tax reporting. In addition, with wallets, unjustified transfers can appear to taxable occurrences.

As with crypto, the tax regulations are also dynamic and differ from one country to the other, as such, crypto owners are obliged to track all transactions. In certain circumstances, missing data, replicated counts, and different reporting standards among exchanges make accuracy reporting challenging.

Why You Might Need More Than One Crypto Tax Software

• Coverage gaps – some tools don’t support certain exchanges, wallets, or DeFi protocols.
• Regional compliance – certain tools specialize in U.S., U.K., or India tax rules.
• Data accuracy – using a secondary tool to cross-check gains, losses, and cost basis.
• Portfolio complexity – advanced traders may need more detailed analytics than one platform offers

Challenges of Using Multiple Crypto Tax Tools

Data duplication and inconsistencies
When several files are uploaded, the same transaction duplicates across systems, leading to broken records, low balances, and tax errors.

File format mismatches (CSV, API imports, custom reports)
Softwares print data in specified idiosyncratic ways, requiring file scrubbing and transformations, which increases errors and reconciliation complexities.

Different calculation methods (FIFO, LIFO, HIFO)
Different methods of gaining and losing, lessons and profits, confuse traders while merging multiple reports because they all use different tax structures.

Risk of overreporting or underreporting gains
These systems might misreport profits and under report losses. This “tax gap” can cause regulatory attention which is undesired.

Best Practices for Managing Multiple Crypto Tax Tools

Always export data backups after every import Regular backups avoid losses, help recover from technical failures, maintain history, and even recover from erroneous record additions.

Document which tool handled which exchange/wallet Accurate tool notes minimize confusion and duplicated entries and help with later reconciliation during tax season.

Maintain a clear audit tail to tax authorities Clear, disorganized audit trails help to verify compliance, make tax assessments easier, and avoid penalties for straying outside regulations.

Use cloud storage or drives to hold sensitive data Secure holders for audit and compliance records maintain integrity, control access, and reduce the chance of breaches.

Conclusion

In concluson using more than one tax software will guarantee comprehensive coverage, compliant concise report generation, and accuracy across several wallets and exchange and even across DeFI.

By using one as primary and others as secondary and careful data reconcoliation, traders can elimination erros and enhance report accuracy. Properly archived and documented, the method streamlines complex tax duties and prevents expensive errors.

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