Describe the problem:
As per picture attached, Koinly is aware that this is a transfer to an individual (a private wallet). However, it is still calculating loss/gain from this transaction.
Which exchange/wallet is this regarding?
Bitfinex
How did you import data into this wallet?
CSV
What have you tried to fix this so far?
If its a transfer to another person then it is a taxable event. If its not and its your own wallet you need to add the wallet you transferred the coin too and import all the transactions for this wallet. Once you do this Koinly will match the transfer from bitfinex with the one to the wallet and it will no longer be a taxable event.
Thanks for your response. I do understand the concept of linking wallets so that transactions are categorized as transfers. However in this particular case, this transaction doesn’t seem to have a “destination wallet” associated with it… and I’m wondering if this is perhaps the real issue here…
Hello,
When you make a withdrawal it is a taxable event, it’s different from a wallet-to-wallet transfer in your own account which is not taxable. Who the withdrawal was sent to is irrelevant.
Kind regards,
Anakin
By default, withdraws are taxable since you do pay taxes when crypto is used to pay for goods and services. These would just show up as regular transfers on the blockchain. Koinly doesn’t magically know it’s your wallet.
If you don’t want to link that wallet via blockchain, I would just create a dummy wallet and edit the transaction as a transfer. If it was sent to an LP or some sort of DeFi product to earn interest, you can use the “sent to pool” option in the “…” ellipses.
This topic was automatically closed 60 days after the last reply. New replies are no longer allowed.
