Entering or importing Crypto from Coinbase in Turbo Tax Premier Desktop

You can use the cryptocurrency import and other features with the TurboTax Online Premier and Self-employed versions, only.  

One option is to start a free tax return in TurboTax Premier Online. You don't pay for the return until you file it, so you won't have to pay the Online fee.  Enter (import) your cryptocurrency information in the Crypto section, and then save the .tax file (not PDF).  You can then open the tax file in TurboTax desktop, add the rest of your tax data and file.

• How do I save my TurboTax Online return as a tax data file? This FAQ will also have instructions on how to continue your return in the TurboTax CD\Download version.
• How do I import from the .txf file?

The other option would be to file using the Online software and get a refund for the desktop program.

According to IRS Notice 2014-21, the IRS considers cryptocurrency to be property, and capital gains and losses need to be reported on Schedule D and Form 8949 if necessary.

Like other capital gains and losses, your gain may be short-term or long-term, depending on how long you held the cryptocurrency before selling or exchanging it.

• If you owned the cryptocurrency for one year or less before spending or selling it, any profits are typically short-term capital gains, which are taxed at your ordinary income rate.
• If you held the cryptocurrency for more than one year, any profits are typically long-term capital gains, subject to long-term capital gains tax rates.

How you report cryptocurrency on your tax return depends on how you got it and how you used it. To read more, click here.

I did that but I am unable to open the saved tax file... I get error 190

Here is the fix for error 190.

Thank you, I found that after I posted and am all set now.

So, why is this option only available with online version and not with desktop?  Does that make the desktop version less than complete?  I didn't purchase this software only to have to figure out how to work around it.

I had the same problem in Premier Desktop.  I used CoinTracker (there's a link to it in Coinbase)  to consolidate my Coinbase and Coinbase Pro accounts and then in the tax area it had a button to generate a downloadable .txf file for TurboTax Desktop/Download versions.  Once I downloaded that file I went back into my return on TurboTax and in the menu bar clicked File>Import>.txf files and then selected it from the downloads folder (or wherever you put it.) and it went right in.  I did have to rename it in the summary screen.

I think this would work for other exchanges if you can either bring them into CoinTracker or if they can generate a file in .txf format.  Good Luck.

Hi There.

I too have the desktop premier.  I followed the instructions to download the coinbase transactions, but rather than a TXF file, the file downloads as a .tax2021 file which I am not able to import.  How do I get the transactions loaded onto my existing TT file (which is mostly done so do not want to switch to the online version of premier).  Also, as a note, while the transactions download, the commission on the closing transaction is not included in the net proceeds, so each transaction needs to have that part of it's fee added.

Are you able to download a .csv file from Coinbase?

Here's how to get your CSV file from Coinbase. 

• Sign in to your Coinbase account.
• In the Taxes section, select the Documents tab.
• Generate and download the TurboTax gain/loss report (CSV) for 2021.

You may be able to convert your .csv file to a .txt file and upload it into TurboTax Desktop Premier version.

Follow these steps outlined by JoeFM here. 

• Create a .csv file with all transactions using the format shown at Easytxf.
• Used Easytxf to convert the .csv file into .txf file.
• Import .txf file into Turbotax Desktop:  File / Import / From Accounting Software / Other Financial Software (TXF) file /  Continue / Choose a File to Import / Import now.
• A 1099-B with all Crypto transactions is now created.   This entry can now be edited to include the account details.  Each transaction can be edited as well.

You wont be able to open the .tax file, but our software can.

Yeah, this was stupid and a complete waste of time. Why, in 2021 and the proliferation of crypto, there isn't a simple dropdown in the Import menu for Coinbase is beyond me! Intuit, I'm sorry, you totally missed the boat on this one! I hope you are smart enough to fix it for 2022!

This answer by JamesG1 worked perfectly. Thanks!!!

After the import I just made a couple of updates to Override the Name to Coinbase and check the checkbox to say that transactions were not reported to me or the IRS on Form 1099-B.

The site seems to look great, however, every time I click "convert" I get sent to a page that says "This site can’t be reached". :( I'll keep trying with the hope that this is a temporary outage of the site.

JamesG1's answer was awesome.  Had to delete a few rows and update the names to match the Easy TXF.  Note there are some places online that charge you to do this.  $49.99 to $59.99

Below is an example of the Easy TXF page.  The CSV download Excel file needs to be altered.  Used his link above to get to EasyTXF or http://www.easytxf.com/upload#create

Your CSV file should have ONLY the following six (6) columns in this EXACT order
(headers are optional):

Then you download to desktop Turbotax.  I checked imports and that was the easiest part on Premier.

I used CoinTracker and it worked fine as mentioned by 1Scotto1. I also find that I like CoinTracker which consolidates all my transactions from all my wallets. It's free if you only use Coinbase and Coinbase Pro. 

For some reason, TurboTax Premier online 2023 is not reading the Coinbase .csv, nor can it import it directly from Coinbase, who is a TurboTax partner.  Can anyone help? This worked last year for me, but not this year.  

This is frustrating, because they should just build it into the desktop software and be done with it.

I was be able to upload a .csv file by following these steps: 

• Go to Federal / Wages & Income / Your income / Investments and Savings.
• Click Start / Revisit to the right of Stocks, Cryptocurrency, Mutual Funds, Bonds, Other.
• Click Add investments.
• At the screen Get ready to be impressed, click Continue.
• At the screen Let’s import your tax info, click Enter a different way.
• At the screen OK, let’s start with one investment type, select Cryptocurrency.  Click Continue.
• At the screen Select your crypto experience, select Upload.  Click Continue.
• At the screen What’s the name of the crypto service, select Other.  Enter the name of the service if prompted.
• Click Continue.
• At the screen Go ahead and upload your crypto CSV file, upload the file.

The .csv should follow this format.

• All the columns from the .csv file were deleted except for the five columns listed below.   
• All other lines other than the headings and the five columns of data were deleted.

•    Purchase Date
•    Date Sold
•    Proceeds
•    Cost Basis
•    Currency Name

.csv file format.

           A                   B              C                  D                   E

purchase date  date sold    proceeds   cost basis   currency name

11/24/2021        2/1/2022    1,779.96     1,916.52         ABFOA

12/7/2021          4/1/2022    1,111.46     1,225.45         ABFOA

11/24/2021        3/1/2022    1,638.54     1,638.54         ABFOA

@Aventine

Brilliant!  Edit (remove) the Coinbase spreadsheet columns not required by EasyTXF app (and perhaps rows if you have interest paying coins), upload, import the now downloaded txf file into TurboTax, and it's all there!  High-five to EasyTXF, also!  I know it's a lot of programming, but I am disappointed that the Premier desktop version couldn't handle it.  Maybe next year?

spoiler alert, still not fixed for desktop version lol

They were not!