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 rest entirely on the transactions you add to them.
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 example, I selected Kraken on the previous page which takes me to this page:
For most exchanges, you will find a Setup auto-sync option that uses API keys to download your transaction history automatically. 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.
If you see a warning that says Review Needed then you should check out this article
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.
There is no limit to how many reports you can generate for a given year. You can always revise your data and generate new reports.