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posted Mar 31, 2021 7:15:34 AM

How to report crypto transfer between spouses if married filing jointly

If I bought 150$ crypto. later transferred to my wife's account when price increased to 200$ during transfer. She sold from her account for 195$.  So technically 45$ gain. But Tax software is not considering this gain. its considering 200$ itself as cost basis on her account and calculating a loss of 5$ when sold at 195$.   if this correct???

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1 Replies
Expert Alumni
Mar 31, 2021 1:47:01 PM

Transferring to you spouse is not a reportable or taxable transaction.  Her cost basis is the same as yours.  You would enter a cost basis of $150 according to your scenario, and you would have a gain of $45.