# Staking contracts

**URL:** <https://discuss.koinly.io/t/staking-contracts/23058>\
**Category:** Tax Questions\
**Created:** [November 20, 2024, 1:13pm UTC](https://discuss.koinly.io/t/staking-contracts/23058 "2024-11-20T13:13:11Z")\
**Posts on this page:** 5\
**Page:** 1

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**Author:** ![Eddiel](https://yyz2.discourse-cdn.com/flex052/user_avatar/discuss.koinly.io/eddiel/32/12696_2.png) [@Eddiel](https://discuss.koinly.io/u/Eddiel)\
**Post date:** [November 20, 2024, 1:13pm UTC](https://discuss.koinly.io/t/staking-contracts/23058/1 "2024-11-20T13:13:11Z")

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When you stake tokens to gain yield, and then unstake those tokens.

Can I assume the following?

- The yield will be classified as income

- The staked tokens are retained in your possession despite being entered in to a staking contract, you still retain ‘possession’ of them so this shouldn’t be a taxable event

If the second point be true, is there a feature within koinly to correct this so it’s not a “deposit” but rather a transfer across all engagements with the staking contract? Can I mark this impact across all engagements with the staking contract, rather than on an adhoc transaction basis?

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**Author:** ![Aria\_Koinly](https://yyz2.discourse-cdn.com/flex052/user_avatar/discuss.koinly.io/aria_koinly/32/9150_2.png) [@Aria\_Koinly](https://discuss.koinly.io/u/Aria_Koinly)\
**Post date:** [November 21, 2024, 4:50pm UTC](https://discuss.koinly.io/t/staking-contracts/23058/2 "2024-11-21T16:50:39Z")

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Hi @Eddiel  
While this may vary depending on the crypto laws in your country, generally speaking, you are correct. Please follow the instructions in our [Staking and farming tokens](https://support.koinly.io/en/articles/9490056-staking-and-farming-tokens) article to document your staking activity in Koinly.

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**Author:** ![Eddiel](https://yyz2.discourse-cdn.com/flex052/user_avatar/discuss.koinly.io/eddiel/32/12696_2.png) [@Eddiel](https://discuss.koinly.io/u/Eddiel)\
**Post date:** [December 17, 2024, 10:59pm UTC](https://discuss.koinly.io/t/staking-contracts/23058/3 "2024-12-17T22:59:04Z")

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Thanks Aria - will follow up this.

And when staking rewards are combined with the original staked amount in a single transaction, is there a simple way to classify correctly within the single transaction itself or do I need to manually adjust it by adding in another transaction and modifying the existing so one is “remove from pool” existing amount and “reward” from the incremental amount?

Open to other ways too, just working through my thought process out loud

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**Author:** ![Aria\_Koinly](https://yyz2.discourse-cdn.com/flex052/user_avatar/discuss.koinly.io/aria_koinly/32/9150_2.png) [@Aria\_Koinly](https://discuss.koinly.io/u/Aria_Koinly)\
**Post date:** [December 18, 2024, 5:14pm UTC](https://discuss.koinly.io/t/staking-contracts/23058/4 "2024-12-18T17:14:48Z")

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Hi @Eddiel

You should add a deposit tagged as reward in the Pool wallet. Check the ‘auto-compounding pool’ section of the article I shared with you in my previous message.

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**Author:** ![system](https://canada1.discourse-cdn.com/flex052/uploads/koinly_app/original/1X/7ac58e5593a7122893d066794a7254dcdb5ddb31.png) [@system](https://discuss.koinly.io/u/system)\
**Post date:** [February 16, 2025, 5:15pm UTC](https://discuss.koinly.io/t/staking-contracts/23058/5 "2025-02-16T17:15:29Z")

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