Can't merge two transaction for pairying a NFT purchase and sell

Koinly Support
1

I tried to merge 2 transaction that were a buy and sell of a nft but it doesn’t work.

I’ve bought the nft for 0.31 eth and sold it for 0.16, so it’s a loss but on Koinly it report only a deposit of 0.16 without writing the loss.

and the 2 transactions are still separate.

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What should i do?

Second question:
Is the above the right method to report NFT’s on my tax report?

Thanks for the help.

2

It’s likely that the 2 transactions are not merging because there is a really big time difference between the transactions. When you can’t merge 2 transactions, you can soft delete both transactions and enter the trade manually as a single transaction. Here is an article on how Koinly deals with ERC 721 NFTs:

https://help.koinly.io/en/articles/5998331-how-koinly-imports-nfts

3

Thank you for your answer,

I was wondering what is the correct process to report the NFT’s in the report?
I’ve read the info on NFTs of Koinly but i don’t understand what should i do…

I have these 2 transactions (as the pictures show), from what i undestand on the Koinly guide i should merge the two transaction right? How can i soft delete both transactions and enter the trade manually as a single transaction?

4

Ok. I should apologize because I now realize that the 2 transactions you posted are components of 2 separate NFT trades, a purchase and a sale. What you you have not shown in your screen shot is the other leg of each transaction. Koinly should have imported the NFT leg of each transaction.

So, you don’t need to soft delete the transactions and enter a new transaction manually. Forget that. You just need to follow the instrauctions in the Koinly article I sent you in the previous reply. I will try and walk you through it.

Take the purchase transaction at 7:14 pm first. There should be a second transaction in your wallet at the same time as the Send transaction you have pictured. It will be a Deposit transaction of 1 Block from the same address that you sent the Eth to (looks like OpenSea). These are the 2 transactions that you need to Merge to set up the purchase of the NFT with the proper cost base. This time the Merge selection will work if the transactions have the same time stamp, same tx hash and the same wallet address on the other side. The merged transactions should now appear as an “Exchange” representing the purchase of the NFT.

Next take the sale transaction at 9:25 am and find the Send transaction where you sent 1 Block to the OpenSea address at the same time. Again, Merge the Deposit and the Send transaction to create an Exchange transaction representing the sale of the NFT.

If Koinly’s treatment of NFT transactions is working properly, there should be a capital loss recorded in your NFT sale transaction. This capital loss will be included in Koinly capital gains report that you will use for tax purposes.

Caveat: If you cannot find the second leg of the two transactions you posted in your wallet, then you will have to follow the instructions below which I have excerpted from the Koinly article I sent you previously:

  • If you have a deposit of an NFT that has no corresponding withdrawal to merge with, then you can adjust the cost-basis manually. You can do this by editing the deposit and setting the ‘worth’ of the transaction.

  • If you have a withdrawal of an NFT that doesn’t have a matching deposit to merge with, then you can set the proceeds of this disposal by editing the worth of the transaction.

I hope this is more helpful than my previous reply.