Are there any free tax filing websites that include crypto taxes/gains reporting?

So I've been checking out some of the free tax filing options for this year since I've got some crypto gains to report. I tried both TaxAct and TaxSlayer which advertise as free, but as soon as I tried to add my crypto transactions, they suddenly wanted me to upgrade to a paid version. Pretty frustrating bait and switch if you ask me. Has anyone found any actually free tax filing websites that let you report cryptocurrency gains without charging you? I don't have a ton of transactions - just bought some Bitcoin and Ethereum last year and sold a portion when prices jumped. Nothing crazy complicated, but I want to make sure I report everything correctly without having to shell out $50+ just because I have some crypto. Any recommendations would be really appreciated! Tax season is coming up fast and I'd like to get this figured out soon.

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22 comments

Morita Montoya

•8M

I work with taxes and can tell you that finding completely free tax filing for crypto can be challenging. Most of the "free" services have limitations when it comes to investment income, including cryptocurrency. Your best bet might be the IRS Free File program through sites like FreeTaxUSA which offers free federal filing even with crypto, though you may still pay a small fee for state returns. Cash App Taxes (formerly Credit Karma Tax) is another option that includes crypto reporting in their free service. Just remember that regardless of which service you use, you'll need to report your crypto as capital gains on Form 8949 and Schedule D. Make sure you have good records of your purchase dates, cost basis, and sale prices to properly calculate your gains or losses.

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Morita Montoya

•8M

Cash App Taxes can handle basic crypto reporting including buying and selling. They support capital gains reporting which covers most straightforward crypto transactions. For staking rewards and airdrops, these are typically considered income at the fair market value when received, and Cash App Taxes should be able to handle this as "other income" in most cases. However, if you have very complex crypto activities like multiple DeFi transactions or extensive mining operations, you might need more specialized software or professional help.

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Joy Olmedo

•8M

I was in the same boat last year with crypto taxes! I eventually found taxr.ai (https://taxr.ai) and it was a huge help. It can analyze all your crypto transactions and generate the proper tax forms that you can then upload to most free filing services. What I liked is that it processed all my Coinbase and Binance exports automatically and figured out my cost basis for everything. The best part was I could then use the free version of FreeTaxUSA with the forms taxr.ai generated for me, so I ended up filing for free anyway. They basically handle the complex crypto part and then you can use whatever free service you want for the actual filing.

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Joy Olmedo

•8M

It's extremely accurate with cost basis calculations. The system is built to trace transactions across multiple platforms and wallets, so it can follow your assets even when you've moved them around. It uses sophisticated tracking to match deposits and withdrawals across different exchanges. For DeFi transactions including liquidity providing, yes it does handle those. It supports most major protocols including Uniswap, and can process those more complex transactions like LP tokens, yield farming, and even those annoying impermanent loss calculations that are otherwise a nightmare to figure out manually.

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Kiara Greene

•8M

Just wanted to follow up about taxr.ai - I decided to try it after seeing this thread and WOW what a difference! It imported all my messy DeFi transactions that I was worried about (including my Uniswap liquidity positions) and somehow made sense of everything. I ended up using the forms it generated with FreeTaxUSA's free federal filing option like someone suggested. The whole process was way less painful than I expected. Just wanted to share since I was seriously stressing about this before!

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Evelyn Kelly

•8M

If you're still struggling to get through to the IRS about crypto tax questions (I was on hold for HOURS), I found this service called Claimyr (https://claimyr.com) that actually got me connected to a real IRS agent in about 15 minutes. They have a demo video here: https://youtu.be/_kiP6q8DX5c I had specific questions about how to report some weird crypto situations and needed official guidance. Their system basically holds your place in the IRS phone queue so you don't have to waste your day listening to hold music. When an agent is about to pick up, they call you. Totally worth it for the peace of mind of getting official answers.

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Evelyn Kelly

•8M

It's not bypassing the queue at all - their system basically waits in the phone queue for you. Think of it like having someone else sit on hold for you while you go about your day. When they detect that an agent is about to answer, they connect you to the call. They use technology to monitor the call patterns and alert you at the right time. Regarding security concerns, they don't record or listen to your actual conversation with the IRS. Their system only manages the holding process and connects you when an agent is ready. They don't have any special access to the IRS - they're just using technology to make the standard process less painful. The actual conversation between you and the IRS agent is private, just like if you had called yourself.

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Heather Tyson

•8M

I have to admit I was wrong about Claimyr. After posting my skeptical comment, I decided to try it anyway because I was desperate to talk to someone at the IRS about my crypto reporting questions before filing. It actually worked exactly as described - I got a call back in about 20 minutes telling me an IRS agent was about to pick up. They connected me right away and I got my questions answered about how to report my converted crypto and some mining income I had. Saved me literally hours of waiting on hold and the IRS agent was super helpful once I finally got through. Just wanted to share my experience since I was so doubtful at first.

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Christian Burns

•8M

Just a heads up, even if you find a free service, make sure you're reporting correctly. I used a free service last year and thought I was good, but they didn't properly calculate my cost basis and I ended up getting a letter from the IRS about underreported income. Had to file an amendment and pay penalties. The exchanges like Coinbase and Binance should provide you with tax forms or transaction history exports. Make sure whatever service you're using correctly imports these!

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Christian Burns

•8M

I wouldn't recommend the service I used (it was a smaller one that I don't think is even around anymore). After my issue, I switched to using CoinTracker to generate my crypto tax forms first, and then I used FreeTaxUSA to file. It's not completely free, but CoinTracker has a free tier if you have under 25 transactions. If you have a lot of transactions, I'd honestly consider paying for a service that specializes in crypto taxes and then using those forms with a free filing option. The peace of mind is worth it, and it's cheaper than paying penalties later!

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AstroAce

•5M

I've been using FreeTaxUSA for the past two years and can confirm it handles crypto reporting in their free federal filing. You'll need to manually enter your transactions on Form 8949 and Schedule D, but it walks you through the process step by step. The interface isn't as slick as TurboTax, but it gets the job done without charging extra fees for investment income. One tip - make sure you download all your transaction history from your exchanges before you start. Having your purchase dates, amounts, and sale prices organized will make the whole process much smoother. I keep a simple spreadsheet with all my crypto transactions throughout the year, which makes tax time way less stressful.

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