Make It Clear What Labels Correspond to Capital Gains Or Income (and allow us to change it)

Feature Requests
#1

Deposits and withdrawals have a number of labels attached to them but none detail the tax implications of using them. It’s important for us to understand the tax implications of every action we take since it will influence future actions. There’s also no way to know if the tax logic being applied is correct based on the label we chose. Plus, certain actions can change the classification of other transactions. For example, interest earned on crypto is normally considered capital gains but taking out a loan to purchase tokens and earning interest on them could be considered a business action in some tax jurisdictions. We need the ability to change these options manually.

#2

Just to add on to this, Koinly has a tax guide for Canada that even mentions that interest can be classified as either business income or capital gains depending on the situation. This makes it even more frustrating that we can’t change this in the app. If I have to change this all after the fact, it makes using Koinly even more tedious than doing it manually in the first place. Please fix this.

#3

Hi,

If you go to your settings, you will see the option on whether to treat rewards/mining/airdrops as income. This was added specifically for countries such as Canada since they allow some of these transactions to be treated only as capital gains assets.
The ‘Income’ label and ‘Loan interest’ will always be treated as income.

You can learn more about the labels here:
https://help.koinly.io/en/articles/3663453-what-are-labels

Best regards,
Petur

#4

Hi Petur,

Thank you for your response. I still think there should be added flexibility rather than an “all or none” approach for these types of transactions. I could have a dedicated mining rig that mines Ethereum 24/7 but use my gaming PC to mine other altcoins when my PC is idle. I could justify the first case as being a business and the second as a hobby. Also, loan interest definitely needs to have the option to be either business income or capital gains depending on the nature of the loan. I’ll go back and tag the ones that should be CGT assets as rewards and leave a note to myself as a way to get around this.