# Recording value lost to smart contract sales tax without incurring capital gain **URL:** \ **Category:** Tax Questions\ **Created:** [January 10, 2022, 10:47am UTC](https://discuss.koinly.io/t/recording-value-lost-to-smart-contract-sales-tax-without-incurring-capital-gain/10274 "2022-01-10T10:47:17Z")\ **Posts on this page:** 2\ **Page:** 1
**Author:** ![JulianG](https://avatars.discourse-cdn.com/v4/letter/j/90db22/32.png) [@JulianG](https://discuss.koinly.io/u/JulianG)\ **Post date:** [January 10, 2022, 10:47am UTC](https://discuss.koinly.io/t/recording-value-lost-to-smart-contract-sales-tax-without-incurring-capital-gain/10274/1 "2022-01-10T10:47:17Z")
I am selling a coin on Binance Smart Chain (which I have linked as a synchronising wallet). If I sell, say, 100 coins, I have to pay a “sales tax”, determined by the coin’s smart contract. Koinly determines that I have received the value of 88 coins for the 100 coins sold, which is correct. How should I record (with a manual transaction) the 12 coin sales tax? If I create a Withdrawal with the category of Cost, Koinly recognised a capital gain on those 12 coins. This doesn’t seem right as I am seeing the same gain as I would have seen had I benefited from the sale of all 100 coins. It seems to me my only capital gain is from the 88 coins whose value I received. How can I record that my balance has reduced by 88 + 12 without incurring a capital gain on the 12? Thanks, Julian ---
**Author:** ![system](https://canada1.discourse-cdn.com/flex052/uploads/koinly_app/original/1X/7ac58e5593a7122893d066794a7254dcdb5ddb31.png) [@system](https://discuss.koinly.io/u/system)\ **Post date:** [March 11, 2022, 10:47am UTC](https://discuss.koinly.io/t/recording-value-lost-to-smart-contract-sales-tax-without-incurring-capital-gain/10274/2 "2022-03-11T10:47:26Z")
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