Get your taxes done using TurboTax

Crypto is reported as an investment sale in both the online and desktop versions.   The only difference between the 2 versions is that in the Online version, you can import your data from crypto exchanges or a CSV file.  In the desktop version, you can only import from a list of financial partners; you can't import from crypto exchanges or upload CSV files.   You can manually enter your transactions in either version, using the same entry location - Investment Income.    This section includes non-security investment sales like coins, collectibles, crypto, timber, land, or a second home? Here's how you enter those:

1. Open (continue) your return in TurboTax.
2. In the search box, search for investment sales then select the Jump to link in the search results.
3. Answer Yes to the question Did you sell any of these investments in 2021?
   • If you land on the investment sales summary screen , select Add More Sales.
4. Select Other then Continue.
5. On the next screen, select the type of sale you had (like land or crypto) and Continue.
6. Continue following the onscreen instructions to enter the sale.

If you hold Bitcoins or other cryptocurrencies as a capital asset, you must treat them as property for tax purposes. If you sold them for profit, you must report earnings regardless of whether or not you received a tax form.   Use the instructions above for Online and Desktop versions of TurboTax.  

The following sales and exchanges are reported in the Investment Income section:

• Sell it (like you would stock)
• Exchange it (swap one type of cryptocurrency for another)
• Spend it (use it as payment for goods and services)
• Convert it to US dollars (sell cryptocurrency to buy regular currency)

How do I report cryptocurrency as a capital gain?   Directions are the same for both Online and Desktop.   The ability to import from crypto exchanges and the ability to upload CSV files is the only difference.   The entry and reporting are the exact same procedure.