Describe the problem:
Back in may I swapped some WBTC for BTC using an exchange as I didn’t feel safe using a bridge. I used a direct WBTC to BTC Pair, I did not move to FIAT at any point. I am hoping someone could help me understand how to change the labeling or perhaps manually build the transactions so it appears like a bridge or wormhole vs a capital gains event. So far everything I’ve tried does not seem to fix it.
Hi @gpurender
The “swap” tag is used for tax-free exchanges (swaps). If you wish to remove the gains from the exchange, you can use this tag.
What are Tags (labels)
This tag, however, does not work for users in the UK. In this case, to remove the gains from an exchange, you should edit it, and change the worth of the transaction to match the cost basis. This means you are selling the tokens with the same price as you acquired them, so no gains/losses. Before doing this, however, I suggest you consult with your tax accountant as this is only a technical workaround and may not be acceptable tax-wise.