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Let's say I have 20 different sales of Ethereum, all on different dates. I have good records of the dates acquired, dates sold, cost basis, and proceeds for each. Let's say they are all the same category (i.e. all short-term). Ordinarily these would be reported on 8949 with box C ("short-term transactions not reported to you on form 1099-B).
Given that they are all the same asset and the same category (box), rather than having to list each of the 20 disposals separately, can I just sum them to a single entry, with the total cost & total proceeds, and list "Various" for "Date Acquired" and "Date Sold"? Given that the net result is the same?
Or to put it more broadly, as long as you only sum "within assets" (i.e. you only combine sales of token x with other sales of token x), and as long as you only sum "within categories" (i.e. you only sum among items that have a given box checked), is it acceptable to consolidate like this, to avoid having to enter potentially hundreds of small transactions one at a time?
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Yes, you are correct, you don't need to enter each individual sale of the same security if they all fall within the same reporting code.
If you don't enter each sale you are summarizing and taking the mail-in option unless TurboTax accepts a PDF list of your details.
the proceeds from the sale of a security, asset, or personal item on any date must appear on a line on Form 8949 with that "Date Sold".
IRS requires your Box C/F details to be listed on some Form 8949 (e-Filed, or mailed),
or on your other forms (e.g. spreadsheets) which have the same information and in the same manner as Form 8949.
If your crypto exchange does not give you a 1099-B, Form 8949 or CSV in the form and manner of Form 8949,
you have to assemble that information yourself,
or pay for a third-party service to do it.
I do have my own records in the form of a spreadsheet.
To clarify, TomasM125 says "I don't need to enter each individual sale," whereas fanfare says that if I don't enter each individual sale, I still have to send them records on each individual sale (e.g. spreadsheets).
Going on the assumption that fanfare is the correct answer (and TomasM125 left out this important detail?), if I file by mail, can I just stick a printout of the spreadsheet in the envelope with my return? Or does it need to be sent to the IRS in some special way (i.e. labeling, etc). Is just a spreadsheet in the envelope sufficient?
if you are filing on paper you can attach details to the back of your tax return.
Put a header with a title "Form 8949 details" your name SSN and tax year.
OR, you can preface your package with Form 8453.
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