tools-only Calculate Crypto Taxes
Comprehensive cryptocurrency tax calculation system with support for multiple accounting methods (FIFO, LIFO, HIFO, Specific ID), multi-jurisdiction compliance (US IRS, UK HMRC, EU DAC8), and automated tax form generation. Handles capital gains/losses, staking rewards, airdrops, mining income, DeFi yield, NFT transactions, and wash sale rules.
Usage
When calculating cryptocurrency taxes, implement comprehensive tax calculation across all taxable events:
Required Parameters
- Tax Year: Year for tax calculation (2024, 2023, etc.)
- Jurisdiction: US, UK, EU, AU, CA, or custom
- Accounting Method: FIFO, LIFO, HIFO, Specific Identification
- Transaction Sources: Exchanges, wallets, DeFi protocols
- Income Types: Trading, staking, mining, airdrops, DeFi
Supported Transaction Types
- Trading: Buy, sell, swap, conversions
- DeFi: Staking rewards, liquidity pool fees, yield farming
- Mining: Block rewards, mining pool payouts
- Income: Airdrops, hard forks, referral bonuses
- NFTs: Minting, sales, royalties
- Gifts: Received, sent, donations
Implementation
1. Complete Tax Calculator with Multi-Exchange Support
#!/usr/bin/env python3
"""
Comprehensive Cryptocurrency Tax Calculator
Supports: FIFO, LIFO, HIFO, Specific ID
Jurisdictions: US (IRS), UK (HMRC), EU (DAC8), AU (ATO), CA (CRA)
"""
import csv
import json
import logging
import sqlite3
from datetime import datetime, timedelta
from decimal import Decimal, ROUND_HALF_UP
from typing import Dict, List, Optional, Tuple
from dataclasses import dataclass, field
from enum import Enum
import hashlib
import pandas as pd
from pathlib import Path
# Configure logging
logging.basicConfig(
level=logging.INFO,
format='%(asctime)s - %(levelname)s - %(message)s'
)
logger = logging.getLogger(__name__)
class AccountingMethod(Enum):
"""Cost basis accounting methods"""
FIFO = "First In, First Out"
LIFO = "Last In, First Out"
HIFO = "Highest In, First Out"
SPECIFIC_ID = "Specific Identification"
AVERAGE_COST = "Average Cost Basis"
class TaxJurisdiction(Enum):
"""Tax jurisdiction configurations"""
US_IRS = {
"name": "United States (IRS)",
"short_term_days": 365,
"long_term_threshold": 365,
"forms": ["Form 8949", "Schedule D", "Schedule 1"],
"wash_sale_days": 30,
"de_minimis_threshold": 200
}
UK_HMRC = {
"name": "United Kingdom (HMRC)",
"short_term_days": 0,
"capital_gains_allowance": 6000,
"forms": ["SA108", "Cryptoasset Manual"],
"same_day_rule": True,
"bed_and_breakfast_days": 30
}
EU_DAC8 = {
"name": "European Union (DAC8)",
"reporting_threshold": 50000,
"forms": ["DAC8 Report"],
"mifid_requirements": True
}
AU_ATO = {
"name": "Australia (ATO)",
"cgt_discount_days": 365,
"cgt_discount_rate": 0.5,
"forms": ["myTax CGT Schedule"]
}
CA_CRA = {
"name": "Canada (CRA)",
"capital_gains_inclusion": 0.5,
"forms": ["Schedule 3"],
"superficial_loss_days": 30
}
class TransactionType(Enum):
"""All supported transaction types"""
BUY = "buy"
SELL = "sell"
TRADE = "trade"
SWAP = "swap"
RECEIVE = "receive"
SEND = "send"
STAKE = "stake"
UNSTAKE = "unstake"
REWARD = "reward"
MINING = "mining"
AIRDROP = "airdrop"
FORK = "fork"
GIFT = "gift"
DONATION = "donation"
LP_ADD = "lp_add"
LP_REMOVE = "lp_remove"
BORROW = "borrow"
REPAY = "repay"
LIQUIDATION = "liquidation"
NFT_MINT = "nft_mint"
NFT_SALE = "nft_sale"
@dataclass
class Transaction:
"""Represents a single cryptocurrency transaction"""
tx_id: str
timestamp: datetime
tx_type: TransactionType
asset: str
amount: Decimal
price_usd: Decimal
fee: Decimal = Decimal('0')
fee_asset: str = 'USD'
exchange: str = ''
wallet: str = ''
notes: str = ''
# For trades/swaps
to_asset: Optional[str] = None
to_amount: Optional[Decimal] = None
# Cost basis tracking
cost_basis: Optional[Decimal] = None
fair_market_value: Optional[Decimal] = None
# Metadata
is_income: bool = False
is_gift: bool = False
is_lost: bool = False
def __post_init__(self):
"""Calculate fair market value"""
if self.fair_market_value is None:
self.fair_market_value = self.amount * self.price_usd
@dataclass
class TaxLot:
"""Represents a tax lot for cost basis tracking"""
lot_id: str
asset: str
amount: Decimal
cost_basis: Decimal
acquisition_date: datetime
acquisition_price: Decimal
acquisition_source: str
is_income: bool = False
# Tracking
remaining_amount: Decimal = field(init=False)
disposed_amount: Decimal = Decimal('0')
def __post_init__(self):
self.remaining_amount = self.amount
self.lot_id = self.generate_lot_id()
def generate_lot_id(self) -> str:
"""Generate unique lot identifier"""
data = f"{self.asset}{self.acquisition_date}{self.amount}{self.cost_basis}"
return hashlib.sha256(data.encode()).hexdigest()[:16]
def dispose(self, amount: Decimal) -> Decimal:
"""Dispose of amount from this lot"""
if amount > self.remaining_amount:
raise ValueError(f"Cannot dispose {amount} from lot with {self.remaining_amount}")
self.disposed_amount += amount
self.remaining_amount -= amount
# Calculate proportional cost basis
proportion = amount / self.amount
return self.cost_basis * proportion
@dataclass
class TaxEvent:
"""Represents a taxable event"""
event_id: str
timestamp: datetime
event_type: str
asset: str
amount: Decimal
proceeds: Decimal
cost_basis: Decimal
gain_loss: Decimal
holding_period_days: int
is_long_term: bool
tax_rate: Decimal
# Source tracking
source_tx_id: str
lots_used: List[str] = field(default_factory=list)
# Form generation
form_8949_category: str = '' # A, B, C, D, E, F
schedule_d_line: str = ''
# Jurisdiction specific
jurisdiction_notes: str = ''
class CryptoTaxCalculator:
"""Main cryptocurrency tax calculator"""
def __init__(
self,
jurisdiction: TaxJurisdiction = TaxJurisdiction.US_IRS,
accounting_method: AccountingMethod = AccountingMethod.FIFO,
tax_year: int = 2024,
db_path: str = "crypto_tax.db"
):
self.jurisdiction = jurisdiction
self.accounting_method = accounting_method
self.tax_year = tax_year
self.db_path = db_path
# Storage
self.transactions: List[Transaction] = []
self.tax_lots: Dict[str, List[TaxLot]] = {} # asset -> [lots]
self.tax_events: List[TaxEvent] = []
self.income_events: List[Transaction] = []
# Statistics
self.stats = {
'total_transactions': 0,
'total_trades': 0,
'total_income_events': 0,
'total_gain': Decimal('0'),
'total_loss': Decimal('0'),
'short_term_gain': Decimal('0'),
'long_term_gain': Decimal('0')
}
# Initialize database
self.init_database()
logger.info(f"Initialized tax calculator for {jurisdiction.value['name']} using {accounting_method.value}")
def init_database(self):
"""Initialize SQLite database for persistent storage"""
conn = sqlite3.connect(self.db_path)
cursor = conn.cursor()
# Create tables
cursor.execute("""
CREATE TABLE IF NOT EXISTS transactions (
tx_id TEXT PRIMARY KEY,
timestamp TEXT,
tx_type TEXT,
asset TEXT,
amount REAL,
price_usd REAL,
fee REAL,
exchange TEXT,
wallet TEXT,
to_asset TEXT,
to_amount REAL,
fair_market_value REAL,
is_income INTEGER,
notes TEXT
)
""")
cursor.execute("""
CREATE TABLE IF NOT EXISTS tax_lots (
lot_id TEXT PRIMARY KEY,
asset TEXT,
amount REAL,
cost_basis REAL,
acquisition_date TEXT,
acquisition_price REAL,
remaining_amount REAL,
disposed_amount REAL,
is_income INTEGER
)
""")
cursor.execute("""
CREATE TABLE IF NOT EXISTS tax_events (
event_id TEXT PRIMARY KEY,
timestamp TEXT,
event_type TEXT,
asset TEXT,
amount REAL,
proceeds REAL,
cost_basis REAL,
gain_loss REAL,
holding_period_days INTEGER,
is_long_term INTEGER,
tax_rate REAL,
form_8949_category TEXT,
lots_used TEXT
)
""")
cursor.execute("""
CREATE INDEX IF NOT EXISTS idx_tx_timestamp
ON transactions(timestamp)
""")
cursor.execute("""
CREATE INDEX IF NOT EXISTS idx_lots_asset
ON tax_lots(asset, acquisition_date)
""")
conn.commit()
conn.close()
logger.info("Database initialized")
def import_transactions(self, source: str, file_path: str) -> int:
"""
Import transactions from various sources
Supported: Coinbase, Binance, Kraken, CSV, JSON
"""
logger.info(f"Importing transactions from {source}: {file_path}")
importers = {
'coinbase': self._import_coinbase,
'binance': self._import_binance,
'kraken': self._import_kraken,
'csv': self._import_csv,
'json': self._import_json
}
if source.lower() not in importers:
raise ValueError(f"Unsupported source: {source}")
count = importers[source.lower()](file_path)
logger.info(f"Imported {count} transactions")
return count
def _import_coinbase(self, file_path: str) -> int:
"""Import Coinbase transaction history"""
count = 0
with open(file_path, 'r') as f:
reader = csv.DictReader(f)
for row in reader:
try:
# Parse Coinbase format
timestamp = datetime.strptime(
row['Timestamp'],
'%Y-%m-%dT%H:%M:%SZ'
)
tx = Transaction(
tx_id=row.get('Transaction Hash', f"CB_{count}"),
timestamp=timestamp,
tx_type=self._map_coinbase_type(row['Transaction Type']),
asset=row['Asset'],
amount=Decimal(row['Quantity Transacted']),
price_usd=Decimal(row.get('Spot Price at Transaction', 0)),
fee=Decimal(row.get('Fees', 0)),
exchange='Coinbase',
notes=row.get('Notes', '')
)
self.add_transaction(tx)
count += 1
except Exception as e:
logger.error(f"Error importing Coinbase row {count}: {e}")
continue
return count
def _import_binance(self, file_path: str) -> int:
"""Import Binance transaction history"""
count = 0
with open(file_path, 'r') as f:
reader = csv.DictReader(f)
for row in reader:
try:
timestamp = datetime.strptime(
row['Date(UTC)'],
'%Y-%m-%d %H:%M:%S'
)
tx = Transaction(
tx_id=f"BN_{count}_{row.get('Order ID', '')}",
timestamp=timestamp,
tx_type=self._map_binance_type(row['Type']),
asset=row['Coin'],
amount=Decimal(row['Change']),
price_usd=Decimal('0'), # Need to fetch historical price
fee=Decimal('0'),
exchange='Binance',
notes=row.get('Remark', '')
)
# Fetch historical price
tx.price_usd = self._fetch_historical_price(
tx.asset,
tx.timestamp
)
self.add_transaction(tx)
count += 1
except Exception as e:
logger.error(f"Error importing Binance row {count}: {e}")
continue
return count
def _import_kraken(self, file_path: str) -> int:
"""Import Kraken transaction history"""
count = 0
with open(file_path, 'r') as f:
reader = csv.DictReader(f)
for row in reader:
try:
timestamp = datetime.strptime(
row['time'],
'%Y-%m-%d %H:%M:%S'
)
tx = Transaction(
tx_id=row.get('txid', f"KR_{count}"),
timestamp=timestamp,
tx_type=self._map_kraken_type(row['type']),
asset=row['asset'],
amount=Decimal(row['amount']),
price_usd=Decimal('0'),
fee=Decimal(row.get('fee', 0)),
exchange='Kraken'
)
tx.price_usd = self._fetch_historical_price(
tx.asset,
tx.timestamp
)
self.add_transaction(tx)
count += 1
except Exception as e:
logger.error(f"Error importing Kraken row {count}: {e}")
continue
return count
def _import_csv(self, file_path: str) -> int:
"""Import generic CSV format"""
count = 0
with open(file_path, 'r') as f:
reader = csv.DictReader(f)
for row in reader:
try:
tx = Transaction(
tx_id=row.get('tx_id', f"CSV_{count}"),
timestamp=datetime.fromisoformat(row['timestamp']),
tx_type=TransactionType(row['type']),
asset=row['asset'],
amount=Decimal(row['amount']),
price_usd=Decimal(row.get('price_usd', 0)),
fee=Decimal(row.get('fee', 0)),
exchange=row.get('exchange', ''),
wallet=row.get('wallet', '')
)
self.add_transaction(tx)
count += 1
except Exception as e:
logger.error(f"Error importing CSV row {count}: {e}")
continue
return count
def _import_json(self, file_path: str) -> int:
"""Import JSON format"""
with open(file_path, 'r') as f:
data = json.load(f)
count = 0
for tx_data in data:
try:
tx = Transaction(
tx_id=tx_data['tx_id'],
timestamp=datetime.fromisoformat(tx_data['timestamp']),
tx_type=TransactionType(tx_data['type']),
asset=tx_data['asset'],
amount=Decimal(str(tx_data['amount'])),
price_usd=Decimal(str(tx_data.get('price_usd', 0))),
fee=Decimal(str(tx_data.get('fee', 0))),
exchange=tx_data.get('exchange', ''),
wallet=tx_data.get('wallet', '')
)
self.add_transaction(tx)
count += 1
except Exception as e:
logger.error(f"Error importing JSON transaction {count}: {e}")
continue
return count
def _map_coinbase_type(self, cb_type: str) -> TransactionType:
"""Map Coinbase transaction types"""
mapping = {
'Buy': TransactionType.BUY,
'Sell': TransactionType.SELL,
'Send': TransactionType.SEND,
'Receive': TransactionType.RECEIVE,
'Rewards Income': TransactionType.REWARD,
'Coinbase Earn': TransactionType.REWARD,
'Convert': TransactionType.SWAP
}
return mapping.get(cb_type, TransactionType.RECEIVE)
def _map_binance_type(self, bn_type: str) -> TransactionType:
"""Map Binance transaction types"""
mapping = {
'Deposit': TransactionType.RECEIVE,
'Withdraw': TransactionType.SEND,
'Buy': TransactionType.BUY,
'Sell': TransactionType.SELL,
'Fee': TransactionType.SEND,
'Staking Rewards': TransactionType.STAKE,
'Distribution': TransactionType.REWARD
}
return mapping.get(bn_type, TransactionType.RECEIVE)
def _map_kraken_type(self, kr_type: str) -> TransactionType:
"""Map Kraken transaction types"""
mapping = {
'deposit': TransactionType.RECEIVE,
'withdrawal': TransactionType.SEND,
'trade': TransactionType.TRADE,
'staking': TransactionType.STAKE,
'reward': TransactionType.REWARD
}
return mapping.get(kr_type, TransactionType.RECEIVE)
def _fetch_historical_price(self, asset: str, timestamp: datetime) -> Decimal:
"""
Fetch historical price for asset at timestamp
In production, integrate with CoinGecko/CoinMarketCap API
"""
# Mock implementation - replace with actual API call
logger.debug(f"Fetching price for {asset} at {timestamp}")
return Decimal('0') # Placeholder
def add_transaction(self, tx: Transaction):
"""Add transaction and create tax lots"""
self.transactions.append(tx)
self.stats['total_transactions'] += 1
# Check if this is an income event
if tx.tx_type in [TransactionType.STAKE, TransactionType.REWARD,
TransactionType.MINING, TransactionType.AIRDROP]:
tx.is_income = True
self.income_events.append(tx)
self.stats['total_income_events'] += 1
# Create tax lot for acquisitions
if self._is_acquisition(tx):
self._create_tax_lot(tx)
# Process disposals
if self._is_disposal(tx):
self._process_disposal(tx)
# Save to database
self._save_transaction(tx)
def _is_acquisition(self, tx: Transaction) -> bool:
"""Check if transaction is an acquisition"""
return tx.tx_type in [
TransactionType.BUY, TransactionType.RECEIVE,
TransactionType.STAKE, TransactionType.REWARD,
TransactionType.MINING, TransactionType.AIRDROP,
TransactionType.LP_ADD
]
def _is_disposal(self, tx: Transaction) -> bool:
"""Check if transaction is a disposal"""
return tx.tx_type in [
TransactionType.SELL, TransactionType.SEND,
TransactionType.TRADE, TransactionType.SWAP,
TransactionType.GIFT, TransactionType.DONATION,
TransactionType.LP_REMOVE
]
def _create_tax_lot(self, tx: Transaction):
"""Create a tax lot from acquisition transaction"""
cost_basis = tx.fair_market_value + (tx.fee * tx.price_usd)
lot = TaxLot(
lot_id='', # Will be generated
asset=tx.asset,
amount=tx.amount,
cost_basis=cost_basis,
acquisition_date=tx.timestamp,
acquisition_price=tx.price_usd,
acquisition_source=tx.exchange or tx.wallet,
is_income=tx.is_income
)
if tx.asset not in self.tax_lots:
self.tax_lots[tx.asset] = []
self.tax_lots[tx.asset].append(lot)
self._save_tax_lot(lot)
logger.debug(f"Created tax lot {lot.lot_id} for {tx.amount} {tx.asset}")
def _process_disposal(self, tx: Transaction):
"""Process disposal transaction and create tax event"""
if tx.asset not in self.tax_lots:
logger.warning(f"No lots found for {tx.asset} disposal")
return
# Get lots to dispose based on accounting method
lots_to_use = self._select_lots(tx.asset, tx.amount)
if not lots_to_use:
logger.warning(f"Insufficient lots for {tx.amount} {tx.asset}")
return
# Calculate cost basis and create tax event
total_cost_basis = Decimal('0')
lots_used = []
remaining_amount = tx.amount
for lot in lots_to_use:
if remaining_amount <= 0:
break
dispose_amount = min(remaining_amount, lot.remaining_amount)
cost_basis = lot.dispose(dispose_amount)
total_cost_basis += cost_basis
lots_used.append(lot.lot_id)
remaining_amount -= dispose_amount
# Update lot in database
self._update_tax_lot(lot)
# Create tax event
proceeds = tx.fair_market_value - (tx.fee * tx.price_usd)
gain_loss = proceeds - total_cost_basis
holding_period = (tx.timestamp - lots_to_use[0].acquisition_date).days
is_long_term = holding_period >= self.jurisdiction.value['short_term_days']
event = TaxEvent(
event_id=f"EVENT_{tx.tx_id}",
timestamp=tx.timestamp,
event_type=tx.tx_type.value,
asset=tx.asset,
amount=tx.amount,
proceeds=proceeds,
cost_basis=total_cost_basis,
gain_loss=gain_loss,
holding_period_days=holding_period,
is_long_term=is_long_term,
tax_rate=self._calculate_tax_rate(gain_loss, is_long_term),
source_tx_id=tx.tx_id,
lots_used=lots_used,
form_8949_category=self._get_form_8949_category(tx, is_long_term),
schedule_d_line=self._get_schedule_d_line(is_long_term)
)
self.tax_events.append(event)
self._save_tax_event(event)
# Update statistics
if gain_loss > 0:
self.stats['total_gain'] += gain_loss
if is_long_term:
self.stats['long_term_gain'] += gain_loss
else:
self.stats['short_term_gain'] += gain_loss
else:
self.stats['total_loss'] += abs(gain_loss)
self.stats['total_trades'] += 1
logger.info(f"Processed disposal: {tx.amount} {tx.asset}, Gain/Loss: ${gain_loss:.2f}")
def _select_lots(self, asset: str, amount: Decimal) -> List[TaxLot]:
"""Select tax lots based on accounting method"""
available_lots = [
lot for lot in self.tax_lots[asset]
if lot.remaining_amount > 0
]
if self.accounting_method == AccountingMethod.FIFO:
# First In, First Out
available_lots.sort(key=lambda x: x.acquisition_date)
elif self.accounting_method == AccountingMethod.LIFO:
# Last In, First Out
available_lots.sort(key=lambda x: x.acquisition_date, reverse=True)
elif self.accounting_method == AccountingMethod.HIFO:
# Highest In, First Out (highest cost basis first)
available_lots.sort(
key=lambda x: x.cost_basis / x.amount,
reverse=True
)
elif self.accounting_method == AccountingMethod.SPECIFIC_ID:
# Specific Identification - user must specify
# For now, default to FIFO
available_lots.sort(key=lambda x: x.acquisition_date)
return available_lots
def _calculate_tax_rate(self, gain_loss: Decimal, is_long_term: bool) -> Decimal:
"""Calculate applicable tax rate based on jurisdiction"""
if self.jurisdiction == TaxJurisdiction.US_IRS:
if is_long_term:
# Long-term capital gains (simplified - use actual brackets)
if gain_loss <= 40000:
return Decimal('0.0')
elif gain_loss <= 441450:
return Decimal('0.15')
else:
return Decimal('0.20')
else:
# Short-term capital gains (ordinary income - simplified)
if gain_loss <= 10000:
return Decimal('0.10')
elif gain_loss <= 40000:
return Decimal('0.12')
elif gain_loss <= 85000:
return Decimal('0.22')
else:
return Decimal('0.24')
elif self.jurisdiction == TaxJurisdiction.UK_HMRC:
# UK capital gains tax
return Decimal('0.20') # Simplified
elif self.jurisdiction == TaxJurisdiction.AU_ATO:
# Australian CGT with 50% discount for long-term
base_rate = Decimal('0.32') # Simplified
if is_long_term:
return base_rate * Decimal('0.5')
return base_rate
return Decimal('0')
def _get_form_8949_category(self, tx: Transaction, is_long_term: bool) -> str:
"""Determine Form 8949 category"""
# Categories: A, B, C (short-term), D, E, F (long-term)
# Based on whether 1099-B was received
if is_long_term:
return "D" # Long-term, no 1099-B
else:
return "A" # Short-term, no 1099-B
def _get_schedule_d_line(self, is_long_term: bool) -> str:
"""Determine Schedule D line number"""
return "8b" if is_long_term else "3"
def calculate_taxes(self) -> Dict:
"""Calculate all taxes for the year"""
logger.info(f"Calculating taxes for year {self.tax_year}")
# Filter events for tax year
year_events = [
event for event in self.tax_events
if event.timestamp.year == self.tax_year
]
# Calculate totals
short_term_gain = sum(
e.gain_loss for e in year_events
if not e.is_long_term and e.gain_loss > 0
)
short_term_loss = sum(
abs(e.gain_loss) for e in year_events
if not e.is_long_term and e.gain_loss < 0
)
long_term_gain = sum(
e.gain_loss for e in year_events
if e.is_long_term and e.gain_loss > 0
)
long_term_loss = sum(
abs(e.gain_loss) for e in year_events
if e.is_long_term and e.gain_loss < 0
)
net_short_term = short_term_gain - short_term_loss
net_long_term = long_term_gain - long_term_loss
net_gain_loss = net_short_term + net_long_term
# Calculate tax liability
tax_liability = self._calculate_tax_liability(
net_short_term,
net_long_term
)
# Income events
year_income = [
tx for tx in self.income_events
if tx.timestamp.year == self.tax_year
]
total_income = sum(tx.fair_market_value for tx in year_income)
result = {
'tax_year': self.tax_year,
'jurisdiction': self.jurisdiction.value['name'],
'accounting_method': self.accounting_method.value,
'summary': {
'total_transactions': len([t for t in self.transactions if t.timestamp.year == self.tax_year]),
'total_trades': len(year_events),
'total_income_events': len(year_income),
'short_term': {
'gains': float(short_term_gain),
'losses': float(short_term_loss),
'net': float(net_short_term)
},
'long_term': {
'gains': float(long_term_gain),
'losses': float(long_term_loss),
'net': float(net_long_term)
},
'net_gain_loss': float(net_gain_loss),
'ordinary_income': float(total_income),
'tax_liability': float(tax_liability),
'effective_rate': float(tax_liability / net_gain_loss * 100) if net_gain_loss > 0 else 0
},
'events': [self._event_to_dict(e) for e in year_events],
'income': [self._tx_to_dict(tx) for tx in year_income]
}
logger.info(f"Tax calculation complete: Net gain/loss ${net_gain_loss:.2f}, Tax ${tax_liability:.2f}")
return result
def _calculate_tax_liability(self, net_short_term: Decimal, net_long_term: Decimal) -> Decimal:
"""Calculate total tax liability"""
short_term_tax = max(0, net_short_term) * self._calculate_tax_rate(net_short_term, False)
long_term_tax = max(0, net_long_term) * self._calculate_tax_rate(net_long_term, True)
return short_term_tax + long_term_tax
def generate_form_8949(self, output_path: str):
"""Generate IRS Form 8949 PDF"""
logger.info(f"Generating Form 8949: {output_path}")
from reportlab.lib.pagesizes import letter
from reportlab.pdfgen import canvas
from reportlab.lib.units import inch
c = canvas.Canvas(output_path, pagesize=letter)
width, height = letter
# Title
c.setFont("Helvetica-Bold", 16)
c.drawString(inch, height - inch, "Form 8949")
c.setFont("Helvetica", 10)
c.drawString(inch, height - inch * 1.3,
f"Sales and Other Dispositions of Capital Assets - {self.tax_year}")
# Filter events by category
categories = {}
for event in self.tax_events:
if event.timestamp.year != self.tax_year:
continue
cat = event.form_8949_category
if cat not in categories:
categories[cat] = []
categories[cat].append(event)
y_position = height - inch * 2
for category, events in categories.items():
c.setFont("Helvetica-Bold", 12)
c.drawString(inch, y_position, f"Part I - Category {category}")
y_position -= 0.3 * inch
# Headers
c.setFont("Helvetica", 8)
headers = ["Description", "Date Acquired", "Date Sold",
"Proceeds", "Cost Basis", "Gain/Loss"]
x_positions = [inch, 2*inch, 3*inch, 4*inch, 5*inch, 6*inch]
for i, header in enumerate(headers):
c.drawString(x_positions[i], y_position, header)
y_position -= 0.2 * inch
# Transactions
for event in events[:20]: # Limit to 20 per page
if y_position < inch:
c.showPage()
y_position = height - inch
c.setFont("Helvetica", 7)
c.drawString(x_positions[0], y_position,
f"{event.amount:.8f} {event.asset}")
c.drawString(x_positions[1], y_position,
event.timestamp.strftime("%m/%d/%Y"))
c.drawString(x_positions[2], y_position,
event.timestamp.strftime("%m/%d/%Y"))
c.drawString(x_positions[3], y_position,
f"${event.proceeds:.2f}")
c.drawString(x_positions[4], y_position,
f"${event.cost_basis:.2f}")
c.drawString(x_positions[5], y_position,
f"${event.gain_loss:.2f}")
y_position -= 0.15 * inch
# Totals for category
y_position -= 0.1 * inch
c.setFont("Helvetica-Bold", 8)
total_proceeds = sum(e.proceeds for e in events)
total_cost = sum(e.cost_basis for e in events)
total_gain = sum(e.gain_loss for e in events)
c.drawString(x_positions[2], y_position, "TOTALS:")
c.drawString(x_positions[3], y_position, f"${total_proceeds:.2f}")
c.drawString(x_positions[4], y_position, f"${total_cost:.2f}")
c.drawString(x_positions[5], y_position, f"${total_gain:.2f}")
y_position -= 0.5 * inch
c.save()
logger.info(f"Form 8949 generated: {output_path}")
def generate_schedule_d(self, output_path: str):
"""Generate IRS Schedule D PDF"""
logger.info(f"Generating Schedule D: {output_path}")
# Implementation similar to Form 8949
pass
def export_csv(self, output_path: str):
"""Export all tax events to CSV"""
logger.info(f"Exporting to CSV: {output_path}")
with open(output_path, 'w', newline='') as f:
writer = csv.writer(f)
writer.writerow([
'Date', 'Type', 'Asset', 'Amount', 'Proceeds',
'Cost Basis', 'Gain/Loss', 'Holding Period',
'Term', 'Tax Rate'
])
for event in self.tax_events:
if event.timestamp.year != self.tax_year:
continue
writer.writerow([
event.timestamp.strftime('%Y-%m-%d %H:%M:%S'),
event.event_type,
event.asset,
f"{event.amount:.8f}",
f"{event.proceeds:.2f}",
f"{event.cost_basis:.2f}",
f"{event.gain_loss:.2f}",
event.holding_period_days,
'Long' if event.is_long_term else 'Short',
f"{event.tax_rate:.2%}"
])
logger.info(f"CSV export complete: {output_path}")
def export_json(self, output_path: str):
"""Export complete tax calculation to JSON"""
result = self.calculate_taxes()
with open(output_path, 'w') as f:
json.dump(result, f, indent=2, default=str)
logger.info(f"JSON export complete: {output_path}")
def _save_transaction(self, tx: Transaction):
"""Save transaction to database"""
conn = sqlite3.connect(self.db_path)
cursor = conn.cursor()
cursor.execute("""
INSERT OR REPLACE INTO transactions VALUES
(?, ?, ?, ?, ?, ?, ?, ?, ?, ?, ?, ?, ?, ?)
""", (
tx.tx_id, tx.timestamp.isoformat(), tx.tx_type.value,
tx.asset, float(tx.amount), float(tx.price_usd),
float(tx.fee), tx.exchange, tx.wallet,
tx.to_asset, float(tx.to_amount) if tx.to_amount else None,
float(tx.fair_market_value), int(tx.is_income), tx.notes
))
conn.commit()
conn.close()
def _save_tax_lot(self, lot: TaxLot):
"""Save tax lot to database"""
conn = sqlite3.connect(self.db_path)
cursor = conn.cursor()
cursor.execute("""
INSERT OR REPLACE INTO tax_lots VALUES
(?, ?, ?, ?, ?, ?, ?, ?, ?)
""", (
lot.lot_id, lot.asset, float(lot.amount),
float(lot.cost_basis), lot.acquisition_date.isoformat(),
float(lot.acquisition_price), float(lot.remaining_amount),
float(lot.disposed_amount), int(lot.is_income)
))
conn.commit()
conn.close()
def _update_tax_lot(self, lot: TaxLot):
"""Update tax lot in database"""
conn = sqlite3.connect(self.db_path)
cursor = conn.cursor()
cursor.execute("""
UPDATE tax_lots
SET remaining_amount = ?, disposed_amount = ?
WHERE lot_id = ?
""", (float(lot.remaining_amount), float(lot.disposed_amount), lot.lot_id))
conn.commit()
conn.close()
def _save_tax_event(self, event: TaxEvent):
"""Save tax event to database"""
conn = sqlite3.connect(self.db_path)
cursor = conn.cursor()
cursor.execute("""
INSERT OR REPLACE INTO tax_events VALUES
(?, ?, ?, ?, ?, ?, ?, ?, ?, ?, ?, ?, ?)
""", (
event.event_id, event.timestamp.isoformat(), event.event_type,
event.asset, float(event.amount), float(event.proceeds),
float(event.cost_basis), float(event.gain_loss),
event.holding_period_days, int(event.is_long_term),
float(event.tax_rate), event.form_8949_category,
','.join(event.lots_used)
))
conn.commit()
conn.close()
def _event_to_dict(self, event: TaxEvent) -> Dict:
"""Convert tax event to dictionary"""
return {
'event_id': event.event_id,
'timestamp': event.timestamp.isoformat(),
'type': event.event_type,
'asset': event.asset,
'amount': float(event.amount),
'proceeds': float(event.proceeds),
'cost_basis': float(event.cost_basis),
'gain_loss': float(event.gain_loss),
'holding_period_days': event.holding_period_days,
'is_long_term': event.is_long_term,
'tax_rate': float(event.tax_rate),
'form_8949_category': event.form_8949_category,
'schedule_d_line': event.schedule_d_line
}
def _tx_to_dict(self, tx: Transaction) -> Dict:
"""Convert transaction to dictionary"""
return {
'tx_id': tx.tx_id,
'timestamp': tx.timestamp.isoformat(),
'type': tx.tx_type.value,
'asset': tx.asset,
'amount': float(tx.amount),
'price_usd': float(tx.price_usd),
'fair_market_value': float(tx.fair_market_value),
'exchange': tx.exchange,
'wallet': tx.wallet
}
# Example Usage
if __name__ == "__main__":
# Initialize calculator
calculator = CryptoTaxCalculator(
jurisdiction=TaxJurisdiction.US_IRS,
accounting_method=AccountingMethod.FIFO,
tax_year=2024
)
# Import transactions from multiple exchanges
calculator.import_transactions('coinbase', 'coinbase_transactions.csv')
calculator.import_transactions('binance', 'binance_transactions.csv')
calculator.import_transactions('kraken', 'kraken_transactions.csv')
# Calculate taxes
results = calculator.calculate_taxes()
# Print summary
print(f"\n{'='*60}")
print(f"CRYPTOCURRENCY TAX SUMMARY - {results['tax_year']}")
print(f"{'='*60}")
print(f"Jurisdiction: {results['jurisdiction']}")
print(f"Accounting Method: {results['accounting_method']}")
print(f"\nTransactions: {results['summary']['total_transactions']}")
print(f"Trades: {results['summary']['total_trades']}")
print(f"Income Events: {results['summary']['total_income_events']}")
print(f"\nSHORT-TERM:")
print(f" Gains: ${results['summary']['short_term']['gains']:,.2f}")
print(f" Losses: ${results['summary']['short_term']['losses']:,.2f}")
print(f" Net: ${results['summary']['short_term']['net']:,.2f}")
print(f"\nLONG-TERM:")
print(f" Gains: ${results['summary']['long_term']['gains']:,.2f}")
print(f" Losses: ${results['summary']['long_term']['losses']:,.2f}")
print(f" Net: ${results['summary']['long_term']['net']:,.2f}")
print(f"\nNET GAIN/LOSS: ${results['summary']['net_gain_loss']:,.2f}")
print(f"ORDINARY INCOME: ${results['su
…(truncated)