What is Koinly?
Think of Koinly as an intelligent excel sheet. You add your transactions (rows) and it fetches market rates, matches transfers between your own wallets and generates your capital gains and income tax reports. The accuracy and completeness of Koinly's tax reports rests entirely on the transactions you add to it.
Let's look at how you go about using Koinly step by step.
Step 1. Add your wallets
In Koinly all your crypto exchange platforms, wallets, lending services etc are referred to as "Wallets".
To create a wallet, go to the Wallets page and click on Add Wallet. There you can select your wallet by searching for it or finding it in the list.
Can't find your wallet?
Try searching for your exchange/wallet/service, you will see the option to create a custom wallet as seen below.
Step 2. Import your data
Once you have clicked on a wallet, you will be able to choose how you want to import your transactions.
For ex. I selected Kraken on the previous page which takes me to this page:
For most exchanges you will find a Setup auto-sync option which uses API keys to download your transaction history automatically and keep your data in sync even in the future. This is the recommended method as you won't have to deal with csv files.
Step 3: Wait for gains to update and review data
Koinly does a couple of things after you import new transactions, such as fetching market prices, matching transfers between your own wallets and calculating your capital gains. You will see an indicator while this is happening.
Once this is complete you should ensure your data is accurate by reviewing some wallets/transactions.
Step 4: Download your tax reports
Go to the Tax Reports page to see a brief summary of your capital gains and income for any tax year.
Scroll to the bottom to download one of the tax reports. Koinly offers a number of tax reports that you can download in csv, excel and pdf formats.