Describe the problem
Deposits to some DeFi platforms, such as Celsius, are considered a disposal under UK tax rules as you are considered to have relinquished beneficial ownership. Capital Gains Tax is due on any gains.
See section 13 of their t&C’s: https://celsius.network/static/terms-of-use.pdf
Koinly does not recognise them as such and they are registered as transfers with no capital gains being realised.
Which exchange/wallet is this regarding?
Celsius and other DeFi platforms
How did you import data into this wallet?
Celsius csv exports
What have you tried to fix this so far?
I’ve tried to delete the entries and manually add a withdrawal from Wallet A and a seperate deposit to Celsius, but the withdrawal and deposit are matched and so considered a transfer with no realised gain.
The only option I can figure out, is to pretend the transfer into Celsius was a trade from BTC in Wallet A, to WBTC in Celsius, which is considered a disposal. It’s a very messy and awkward way of doing it.
Please explain and easier way, or add an option to allow users to edit a transfer and mark them as a disposal.
This is having a huge knock on effect to future calculations and average cost basis etc.