Tax optimization - swaps | Integration requests (public)

Tax optimization - swaps

complete

Orange Perch

If you use swaps for crypto2crypto trades it will not be shown as short-term gain or loss in the tax optimization list. Makes the short term profit/loss useless.

February 28, 2024

Jack

marked this post as

complete

As mentioned by other users in comments "Swap" tag has a special function in Koinly - it turns a trade to a non-taxable and should be used for token migration, symbol changes, etc.
Ref. Token rebases and symbol swaps (AMPL, DOT, BTT) | Koinly Help Center
As such, the fact that a trade tagged as "Swap" doesn't generate any capital gains/losses is expected.
PS. Having the toggle "Realize gains on crypto-to-crypto trades" OFF in your settings will result in a similar outcome (for all crypto-to-crypto trades, no matter if tagged or not)

Regional Puffin

The tag swap is meant for contract migration. For this case you should no tag and mark it as exchange

Subsequent Camel

Depends on the local tax rules.

E.g Crypto2Crypto is a non taxable event in France.

Magenta Giraffe

I agree. The swaps need to be shown and accounted for in a simpler and more straight forward manner in Koinly