I have many crypto trades and those summarized into 100+ lines with cost basis details. What is the easiest way to get this data loaded to Turbo Tax?

[TomYoung · Accepted solution]

I assume you didn't get any 1099-B for those trades, all "capital" in nature, and that you can somehow edit or manipulate that 100+ line Schedule.

Use the "Stocks, Mutual Funds, Bonds, Other" interview telling TurboTax that no 1099-B was received.
Use the "Everything else" investment type.
Make sure your list reports the same information that a Form 8949 would report:

1. What was sold
2. Date of sale
3. Proceeds of sale
4. Cost basis
5. Date of acquisition

Separate out short term (< 1 year) trades from the and long term (>1 year) trades and provide subtotals for the proceeds and basis dollars.

On the page "Some Basis Info About This Sale" enter "Summary of ST Crypto Currency Trades" or "Summary of LT Crypto Currency Trades" depending which group you're working on. Enter the total dollar amount of proceeds for each group as appropriate and you can use 12/31/2017 for date of sale.

On the "Tell Us How Your Acquired This Property" page tick "Purchased".
On the "Enter Purchase Information" page enter the summary cost and the word "various" in the Date of Purchase box.
On the "When Was This Investment Acquired" page you'll answer "Yes" for the long term trades and "No" for the short term trades.

If you're mailing in your income tax returns you can include your manipulated substitute for a Form 8949 as part of your filing.

If you are e-filing your tax return, then mail your statements along with Form 8453 to:

 Internal Revenue Service
 Attn: Shipping and Receiving, 0254
 Receipt and Control Branch
 Austin, TX 73344-0254

Form 8453: https://www.irs.gov/pub/irs-pdf/f8453.pdf

Tom Young

[maglib]

Personal must also be separately reported from investment moves. Crypto held for purchases of goods and services is personal property and no net losses are deductible, gains are always taxable which may be big for 2018.

[TomYoung]

That's why I stipulated "all 'capital' in nature".

[maglib]

Most don't identify what capital means.... hence my comment, investment vs. personal most don't comprehend.

[maglib]

You can report transactions in summary for the year as investments LT vs ST and Personal LT vs. ST for 4 categories of reporting.  

Cryptocurrency is considered property by the IRS and every move within the tax year is a recordable transaction. Cryptocurrency held for investment has a gain/loss. Cryptocurrency for personal property is only gains, no losses (so for purchases of goods and services, there is only gains, no losses as they are personal).

To reports gains/losses allowed (NOT FOR MINERS, miners  report as self employed on schedule C and the cryptoccy for them is as if they produced and sold inventory, they have expenses of producing, then they have income for the receipt of the cryptoccy at spot rate on production, then they sell that inventory unless they held for investment purposes LT) . Non-miners  go to "Personal", "Investment Income",  "Stocks, Mutual Funds, Bonds, Other", and record each transaction with the date you sold the coins, for how much, when you acquired them, and for what.  Choose Other as the category.  You can't take a loss on personal items (if you used cryptoccy to purchase goods and services) which you report those under Other/personal items/other. Cryptocurrency for investment purposes is recorded as Everything Else. Make sure only personal use cryptocurrency is recorded in the personal Items section.

https://www.irs.gov/pub/irs-pdf/p544.pdf and  https://www.irs.gov/pub/irs-pdf/i8949.pdf  are the IRS rules for property and reporting.  Personal property net losses are not deductible but investment property is....  follow the IRS guidelines for property.

IRS guidance on cryptocurrency as property:

https://www.irs.gov/newsroom/irs-virtual-currency-guidance 

https://www.irs.gov/pub/irs-drop/n-14-21.pdf 

I hope this was helpful?

[vbharry]

If your trades are in Excel format (.xls or .csv), you can use Excel2TXF to generate a TXF file that can be imported into the desktop versions of TurboTax.  There are also consolidation options if you have over ~2000 trades, which is the import limit (www.investotek.com).