Cryptocurrency Tax Calculator

Quick summary

The Cryptocurrency Tax Calculator handles every taxable crypto event the IRS recognizes: sales for cash, crypto-to-crypto swaps, NFT trades, staking rewards, mining rewards, airdrops, and charitable donations. It applies the correct tax rate for each event under the IRS's 2026 crypto framework.

Crypto is treated as property (Notice 2014-21), so dispositions trigger capital gains: short-term (≤1 year) at ordinary rates, long-term (>1 year) at 0/15/20% LTCG. NFTs that are collectibles (Notice 2023-27) hit a 28% maximum LTCG rate. Staking, mining, and airdrops are ordinary income at fair market value on receipt (Rev. Rul. 2023-14). And critically — the wash-sale rule does NOT apply to crypto, opening tax-loss harvesting strategies stocks can't use.

2026 is the first year brokers must file Form 1099-DA with cost basis. Reconcile your exchange data with your records before filing season — discrepancies trigger CP2000 notices.

Transaction type

Holding period

Filing status

Asset type

Sale proceeds (USD)

Cost basis

Sale fees / gas

Other ordinary income

State capital gains rate

Share with friends

How to use

1 Choose transaction type: Sale, Crypto-to-crypto swap, Staking, Mining, Airdrop, or Donation. Each has different tax treatment under IRS 2026 rules.
2 Enter sale proceeds (USD value at the moment of disposition or receipt) and your cost basis (purchase price + acquisition fees). Sale-side gas/exchange fees are deductible.
3 Choose holding period: short-term (held ≤ 1 year) or long-term (>1 year). Long-term gets the 0/15/20% LTCG rates instead of ordinary rates.
4 Choose asset type: regular crypto (BTC, ETH, etc.) or NFT collectible (Notice 2023-27 = 28% max LTCG). Enter filing status and other ordinary income for bracket stacking.
5 Click Calculate to see federal tax, NIIT, state tax, total liability, and net-after-tax. Donations show charitable deduction; staking/mining shows ordinary-income tax + new cost basis for the received coins.

2026 IRS Crypto Tax Framework — Quick Reference

Transaction	Tax Treatment	Form / Schedule
Sell crypto for USD	Capital gain/loss (STCG or LTCG)	Form 8949 + Schedule D
Crypto-to-crypto swap	Taxable disposition (no §1031 since 2018)	Form 8949 + Schedule D
NFT collectible sale (LT)	28% maximum LTCG (Notice 2023-27)	Form 8949 + Schedule D
Staking rewards	Ordinary income at FMV on receipt (Rev. Rul. 2023-14)	Schedule 1 line 8v
Mining rewards	Ordinary income (self-employed if business)	Schedule C if trade/biz
Airdrops	Ordinary income at FMV when received	Schedule 1 line 8v
Hard fork (Notice 2014-21)	Ordinary income on the new coins received	Schedule 1 line 8v
Crypto gift	No gain to giver under $19K. Recipient takes carryover basis.	Form 709 if > $19K
Crypto donation to charity	FMV deduction (no gain) — Form 8283 if > $500, appraisal if > $5K	Schedule A (itemize)

Form 1099-DA — New Crypto Reporting (2025-2026)

Brokers (Coinbase, Kraken, Gemini, etc.) must now issue Form 1099-DA reporting customer dispositions:

Year	What's Reported
2025	Gross proceeds only (no cost basis)
2026	Gross proceeds + cost basis (for covered transactions)
2027+	Full reporting including stablecoins and certain NFTs

Mismatched data triggers IRS CP2000 notices. Reconcile your CoinTracker / Koinly / TaxBit reports with each exchange's 1099-DA before filing.

Tax-Loss Harvesting — The Wash-Sale Loophole

The IRS wash-sale rule (IRC §1091) prohibits buying back the same stock within 30 days of selling at a loss. This rule does NOT apply to crypto in 2026 — meaning you can sell BTC at a loss to harvest the deduction, then immediately buy it back, lock in the loss, and reset basis. Up to $3,000/year of net capital loss offsets ordinary income; the rest carries forward indefinitely.

Cost-Basis Methods for Crypto

2026 brings new wallet-by-wallet basis tracking under Rev. Proc. 2024-28. You can choose:

Method	How It Works	When to Use
FIFO (default)	First coins bought = first coins sold	Long-held positions, simplicity
LIFO	Last coins bought = first sold	Recently bought above current price
HIFO (Highest In First Out)	Sell highest-cost lots first	Minimizes current-year gain
Specific Identification	Choose exact lot at sale	Best optimization, requires records

FAQ

Q How is cryptocurrency taxed in the US?

The IRS treats crypto as property (Notice 2014-21). Sales and crypto-to-crypto swaps trigger capital gains: short-term (≤1 year) at ordinary rates, long-term (>1 year) at 0/15/20% LTCG. Staking, mining, and airdrops are ordinary income at fair market value on receipt.

Q Do I have to pay tax on crypto-to-crypto swaps?

Yes. Swapping BTC for ETH is a taxable disposition — you sell BTC at FMV and buy ETH. There is no §1031 like-kind exchange for crypto since the 2017 TCJA limited §1031 to real estate. Track the USD value of both coins at the moment of swap.

Q How are NFTs taxed in 2026?

Under IRS Notice 2023-27, NFTs whose underlying is a §408(m) collectible (digital art, music, sports cards) are taxed at the COLLECTIBLES rate — up to 28% maximum LTCG (vs. standard 20% LTCG max). NFTs of utility tokens or non-collectibles get standard capital gains rates.

Q Does the wash-sale rule apply to crypto?

NOT in 2026. IRC §1091 wash-sale rule applies only to "stock or securities" — crypto is property. You can sell BTC at a loss, immediately buy it back, lock in the deduction, and reset basis. Congress has proposed extending wash sales to crypto multiple times but has not enacted it.

Q What is Form 1099-DA?

A new IRS form (introduced 2025) brokers must use to report customer crypto sales. 2025: gross proceeds only. 2026: gross proceeds PLUS cost basis for covered transactions. 2027+: full reporting including stablecoins and certain NFTs. Mismatched data triggers CP2000 notices.

Q How are staking rewards taxed?

Ordinary income at fair market value on receipt — when you have "dominion and control" over the rewards (Rev. Rul. 2023-14). Each reward creates a new tax lot at that FMV cost basis. When you later sell, you recognize gain/loss from there. Reported on Schedule 1 line 8v.

Q Can I deduct crypto losses?

Yes. Up to $3,000 of net capital loss offsets ordinary income each year ($1,500 if MFS). The rest carries forward indefinitely. Combined with no wash-sale rule, this makes crypto tax-loss harvesting a powerful strategy — especially in down markets where you can rebuy immediately.

Q What if I donate crypto to charity?

Donating appreciated crypto held >1 year to a qualified §501(c)(3) charity gives you the FMV deduction (up to 30% of AGI) AND avoids capital gains tax entirely. Form 8283 required for donations over $500; qualified appraisal required over $5,000 (CCA 202302012). One of the most efficient charitable strategies for HNW crypto holders.