I exported the CSV file from Coinbase for 2020 year taxes, but TurboTax cannot recognize the format. I thought TTax was able to import in Coinbase CSV files..?

[jpawlicki]

I even tried reformatting the CSV file to match the categories that TT identified later, but even then, TT will not accept the data. How difficult is it for TT to process a basic CSV file import?

[JohnB5677]

From time to time the broker's format is not compatible with TurboTax.

If you only have a few trades you can post them manually.                                                              

Income & Expenses

1. Scroll to Stocks, Mutual Funds, Bonds, Other
2. Answer Yes to Did you sell stocks, mutual funds, bonds, or other investments in 2020?
3. On the OK, what type of investments did you sell? screen, select Stock, Bonds, Mutual Funds. Then select Continue.
4. From here, you can import or manually enter your 1099-B.
5. Answer the questions about your sales. Choose to Enter sales one by one when asked.
6. On the Now, we'll enter one sale on your 1099-B screen, enter your info.

However, if there are more than a few you can quickly enter this manually also. 

Your brokerage statements should include a summary of your transactions, grouped by sales category.

There are seven possible "Box" designations that indicate the holding period (Long/Short Term) and the reporting status.  These are the only ones you have to summarize. If you want to manually enter your 1099-B as the summaries.

1. Tell us about your 1099-B sales for this  account
2. Answer the questions
3. Since you have more than a few  sales, we recommend entering sales section totals
4. Continue
5. Before entering sales section totals, take a moment to find them on your 1099-B
6. Continue
7. Now, we'll enter one sales section total on your  1099-B
8. Use the drop down menu to select the correct designation.

Code A. This code indicates a short-term transaction for which the cost or other basis is being reported to the IRS.

Code B. This code indicates a short-term transaction for which the cost or other basis is not being reported to the IRS.  

Box C. Report on a Part I with box C checked all short-term transactions for which you can't check box A or B because you didn't receive a Form 1099-B (or substitute statement). 

Code D. This code indicates a long-term transaction for which the cost or other basis is being reported to the IRS.

Code E. This code indicates a long-term transaction for which the cost or other basis is not being reported to the IRS.  

Box F.  Report on a Part II with box F checked all long-term transactions for which you can't check box D or E because you didn't receive a Form 1099-B (or substitute statement).

Code X. Use this code to report a transaction if you cannot determine whether the recipient should check box B or box E on Form 8949 because the holding period is unknown.

1. Open or continue your return (if it's not already open) and search inside TurboTax for the phrase stock sales.

1. Select the Jump to link in the search results.
2. Answer Yes to both Did you sell stocks, mutual funds, bonds, or other investments? and Did or will you receive a 1099-B form or brokerage statement for these sales?
3. If you land on Here are all your 1099-B sales, select Add sales from a different brokerage. Then answer Yes to Did or will you receive a 1099-B form or brokerage statement for these sales?
4. When asked how you want to enter your 1099-B, select I'll type it in myself.
5. Select or enter your brokerage on the next screen and continue.
6. On the following screen (Tell us about...), answer the questions until you reach the next screen. Select the second option, Let's enter a summary instead, and select Continue.
7. You'll now be able to enter the total proceeds (sales) and cost basis, along with the sales category. Refer to your 1099-B for the amounts and category. When finished, select Continue.

1. When you are done, you'll eventually come to the Here's a summary of your broker sales screen where you can edit, delete, or enter more sales.

You will have to mail a copy of your 1099-B to the IRS.  TurboTax will produce a Form 8453. You print the Form 8453 and attach the brokerage statement(s) to it. 

[jpawlicki]

John,

Thank you for that, but, it does not resolve the known problem that TurboTax and Coinbase are not cooperating anymore on CSV files for some reason. 

I tried reformatting the columns from the Coinbase CSV file to what TT seems to ask for. I have copied in an extract of 5 rows, plus the header row, and TT still gives me an error.  Does anyone have a sample CSV file that TT will accept for cryptocurrency tax filings?  

My extract below shows two coins that I was given 'rewards' for by Coinbase, and I have not sold them, but, according to the IRS rules, I have gained income, hence the 'proceeds' shown.  What is that TT needs to see in order to import a CSV with ~200 entries?  

Service	Currency Name	Purchase Date	Cost Basis	Date Sold	Proceeds
Coinbase	MKR	11/3/2020	0		2
Coinbase	MKR	11/3/2020	0		2
Coinbase	MKR	11/3/2020	0		2
Coinbase	DAI	8/3/2020	0		0
Coinbase	DAI	8/4/2020	0		0
Coinbase	DAI	8/5/2020	0		0

[DawnC]

I have also tried uploading various CSV files with no luck.   I am still working on it and will report back if I find a format that works.   For the 2 ''rewards'', those do not need to be reported until you sell or exchange them, but the basis will be 0 whenever you do that.   You would only report that as income when received if you received them as payment for goods or services you provided.   They were given to you - you did not earn any income on the transaction.  See the link below regarding gifted cryptos.  

How do I report earnings or losses from Bitcoin and other cryptocurrency?

[DawnC · Accepted solution]

I was able to get a CSV file imported into TurboTax.   I selected BitTaxer and deleted all columns from my CSV file except for the 5 listed below.   I had to delete the Service Name column.  It finally worked, but not until my column labels matched the following:

1. Purchase Date
2. Date Sold
3. Proceeds
4. Cost Basis
5. Currency Name

All transactions imported and I was able to check off the ones that are not taxable (such as your rewards) so as to not include them on my tax return.   I hope this works for you!!  

[jpawlicki]

Many thanks to Dawn for the bird-dogging on this.  I was unable to reach BitTaxer.com (I am guessing their server is swamped), so I played around with this myself.  Here is my extracted sample CSV file contents for everyone to use as a model for modifying their Coinbase (or other) CSV file. Note that you will chop out much of the data contents. Simply import your CSV file into TurboTax using data formatted like this below.

Purchase Date	Date Sold	Proceeds	Cost Basis	Currency Name
11/3/2020	11/3/2020	2	0	MKR
11/3/2020	11/3/2020	2	0	MKR
11/3/2020	11/3/2020	2	0	MKR
8/3/2020	8/3/2020	0	0	DAI
8/4/2020	8/4/2020	0	0	DAI
8/5/2020	8/5/2020	0	0	DAI
8/6/2020	8/6/2020	0	0	DAI
8/7/2020	8/7/2020	0	0	DAI
8/8/2020	8/8/2020	0	0	DAI
8/9/2020	8/9/2020	0	0	DAI
8/10/2020	8/10/2020	0	0	DAI
8/11/2020	8/11/2020	0	0	DAI

[evmalia]

Can you give an example?
The CSV from Turbo doesn't have the information grouped in such way.
For example, how does the sale date correspond to any specific purchase date if there are multiple purchase dates? To calculate proceeds the exchange rates need to be used.
I do this on my own spreadsheet, but I don't see it in the one generated by Coinbase

[evmalia]

Also, is it certain that Rewards and Coinbase Earns can be excluded?

[JohnB5677]

No,  These are taxable.

If you sold crypto, converted one crypto for another, or received crypto from XTZ Staking Rewards, USDC Rewards, Coinbase Earn, or referrals, these are all taxable events that need to be reported.

You can access your Transaction History report from your Coinbase account to see the transactions you made in 2020.

@evmalia

[DawnC]

You can't upload Coinbase files directly from Coinbase anymore; they have been removed from the import option.  However, you can import your spreadsheet, so you don't need anything from Coinbase if you have everything in your own spreadsheet.   Scroll up this thread a couple of posts and you will see the OP's example.  As long as your spreadsheet has those 5 columns titled that way, you can import your own CSV file.

Save a copy of your spreadsheet and then create a version to import to TurboTax.   Be sure to save the file as a Comma Separated Values (comma delimited) CSV file.   And when you import the file, you can choose any exchange listed (I used BitTaxer) if you are importing your own CSV file.  

Each transaction line item has to have to purchase date and a sold date.  TurboTax (or you if you are summarizing data) will use the 2 dates to determine if the transaction is long-term or short-term. 

How do I report Bitcoin or other cryptocurrency as a capital gain?

Cryptocurrency airdrops are (usually) free distributions of coins or tokens into multiple wallet addresses to promote and drive the adoption of a new virtual currency.   Recently, the IRS ruled that airdrops, along with promos and staking rewards, only become taxable once the taxpayer "acquires the ability to transfer, sell, exchange, or otherwise dispose of the cryptocurrency." Airdropped currency not yet usable or accessible would therefore not be taxable until the taxpayer is able to exercise control over it. More info

Step 1 - Convert to USD

Step 2 - Enter in TurboTax   @evmalia

[smg918]

coinbases will not issue 1099-bs. and their csv file isnt compatible with turbotax. then they recommend cryprotracker but they require money to convert to what they claim will be turbo tax format. this whole thing stinks. somebody somewhere needs to fix this. 

[JSE11]

This works if your having trouble importing PayPal CSV, use the exact same format as the picture, it will upload.