FIAT exchange cost basis

Koinly Support
1

Describe the problem:
Exchanging FIAT to crypto always seem to register as a “BUY” and do not account for FIAT exchange taxation.
My native currency is SEK. I use Revolut to exchange SEK to EUR and then transfer EUR to Binance for buying crypto.
Since EUR is not my native currency, buying crypto with EUR is a taxable event and Koinly should calculate the cost basis for acquiring the EUR.
In other words, I’m selling my EUR asset and buying a crypto asset.
Therefore the event should not be labeled as a BUY but as an EXCHANGE.

I use “Genomsnittsmetoden” for calculating tax for the swedish K4 tax form.
Example:

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Which exchange/wallet is this regarding?
Revolut / Binance

How did you import data into this wallet?
Revolut - CSV import
Binance- API

What have you tried to fix this so far?
Manually changing “EUR withdrawals from Revolut” into “EUR transfer from Revolut wallet to my Binance wallet”.

2

I had a similar problem and I was able to modify my exchange CSV files and get koinly to work.

I can give you an example of what to do using your example.

  1. Create a custom csv file for your Revolut exchanges and withdrawals to Binance
Date Sent Amount Sent Currency Received Amount Received Currency
2021-01-24 00:00 UTC 4000 SEK 395.95 USDT
2017-01-24 00:01 UTC 395.95 USDT
  • Notice how I used USDT instead of EURO, this is important. Fiats don’t seem to have a correct cost basis. I’m using USDT to trick koinly to assign a cost basis.

  1. Download your Binance CSV file and replace all EURO with USDT

  2. Upload the custom csv file for Revolut and for Binance and everything should play nicely. You can replace USDT with any ticker supported by Binance. I used USDT as I was trying to assign a cost basis for USD.

3

Hi, thx. I actually started to convert all FIAT desposits directly to stablecoins.
That way Koinly detects the cost basis properly as you suggest.

4

Ok cool, glad it worked out for you too.

5

@koinly Is there a way around me having to manually calculate the cost basis for every fiat exchange I do?
In the example above, I would like the EUR to have a cost basis so that the tax report generates entries for selling my EUR as well (just like crypto assets). Since I set SEK as my base currency I would expect this to be the case, but it is not.