--- name: calculating-crypto-taxes-92b03222b200 description: | Calculate cryptocurrency tax obligations with cost basis tracking, capital gains computation, and Form 8949 generation. Use when calculating crypto taxes, generating tax reports, comparing cost basis methods, or identifying taxable events. Trigger with phrases like "calculate crypto taxes", "generate tax report", "cost basis FIFO", "capital gains", "Form 8949", or "crypto taxable events". allowed-tools: Read, Write, Bash(crypto:tax-*) version: 2.0.0 author: Jeremy Longshore license: MIT --- # Calculating Crypto Taxes ## Overview Calculate cryptocurrency tax obligations from transaction history. Supports multiple cost basis methods (FIFO, LIFO, HIFO), identifies taxable events (trades, staking, airdrops), and generates Form 8949 compatible reports. **DISCLAIMER**: This tool provides informational calculations only, not tax advice. Consult a qualified tax professional for your specific situation. ## Prerequisites Before using this skill, ensure you have: - Transaction history exported as CSV from your exchanges (Coinbase, Binance, Kraken, etc.) - Python 3.8+ installed - Understanding of your tax jurisdiction's crypto rules ## Instructions ### Step 1: Prepare Transaction Data Export your transaction history from each exchange as CSV. Supported formats: | Exchange | Export Location | |----------|-----------------| | Coinbase | Reports → Tax documents → Transaction history CSV | | Binance | Orders → Trade History → Export | | Kraken | History → Export | | Generic | See `{baseDir}/references/exchange_formats.md` for column mapping | ### Step 2: Run Basic Tax Calculation Execute the tax calculator with your transaction file: ```bash python {baseDir}/scripts/tax_calculator.py --transactions your_trades.csv --year 2025 ``` This uses FIFO (IRS default) and outputs: - Total capital gains/losses - Short-term vs long-term breakdown - Summary of taxable events ### Step 3: Choose Cost Basis Method Compare different methods to understand tax implications: ```bash python {baseDir}/scripts/tax_calculator.py --transactions trades.csv --compare-methods ``` Or specify a method: | Method | Flag | Description | |--------|------|-------------| | FIFO | `--method fifo` | First In First Out (IRS default) | | LIFO | `--method lifo` | Last In First Out | | HIFO | `--method hifo` | Highest In First Out (minimize gains) | ### Step 4: Generate Tax Report Create Form 8949 compatible CSV: ```bash python {baseDir}/scripts/tax_calculator.py --transactions trades.csv --method fifo --year 2025 --output form_8949.csv --format csv ``` Output includes: - Description of property - Date acquired - Date sold - Proceeds - Cost basis - Gain or loss ### Step 5: Handle Income Events (Optional) For staking, airdrops, or mining income: ```bash python {baseDir}/scripts/tax_calculator.py --transactions all_events.csv --income-report ``` This identifies: - Staking rewards (valued at receipt) - Airdrops (valued at receipt) - Mining income - DeFi yield ### Step 6: Multi-Exchange Consolidation Combine multiple exchange exports: ```bash python {baseDir}/scripts/tax_calculator.py --transactions coinbase.csv binance.csv kraken.csv --year 2025 ``` The tool: - Merges all transactions - Sorts by date - Calculates unified cost basis - Handles transfers between exchanges ## Output ### Tax Report (Form 8949) ``` ============================================================ CRYPTO TAX REPORT - 2025 ============================================================ SHORT-TERM CAPITAL GAINS/LOSSES (< 1 year) ------------------------------------------------------------ Description Acquired Sold Proceeds Cost Gain/Loss 0.5 BTC 03/15/25 06/20/25 $52,500 $47,500 $5,000 2.0 ETH 04/01/25 08/15/25 $7,200 $6,400 $800 ------------------------------------------------------------ Short-term Total: $5,800 LONG-TERM CAPITAL GAINS/LOSSES (>= 1 year) ------------------------------------------------------------ Description Acquired Sold Proceeds Cost Gain/Loss 1.0 BTC 01/10/24 02/15/25 $95,000 $42,000 $53,000 ------------------------------------------------------------ Long-term Total: $53,000 ============================================================ SUMMARY ------------------------------------------------------------ Total Proceeds: $154,700 Total Cost Basis: $95,900 Net Capital Gain: $58,800 Short-term Gains: $5,800 Long-term Gains: $53,000 ============================================================ ``` ### Income Report ``` CRYPTO INCOME - 2025 ------------------------------------------------------------ Type Date Asset Quantity FMV (USD) Staking 01/15/25 ETH 0.05 $160.00 Staking 02/15/25 ETH 0.05 $175.00 Airdrop 03/01/25 ARB 100 $150.00 ------------------------------------------------------------ Total Income: $485.00 ``` ## Error Handling See `{baseDir}/references/errors.md` for comprehensive error handling. Common issues: - **Missing columns**: Verify CSV format matches exchange template - **Unknown transaction type**: Review and manually categorize - **Insufficient lots**: Check for missing buy transactions ## Examples See `{baseDir}/references/examples.md` for detailed usage examples. ### Quick Examples **Basic tax calculation**: ```bash python tax_calculator.py --transactions trades.csv --year 2025 ``` **HIFO to minimize gains**: ```bash python tax_calculator.py --transactions trades.csv --method hifo --year 2025 ``` **JSON output for processing**: ```bash python tax_calculator.py --transactions trades.csv --format json --output tax_data.json ``` **Verbose with lot details**: ```bash python tax_calculator.py --transactions trades.csv --verbose --show-lots ``` ## Configuration Settings in `{baseDir}/config/settings.yaml`: - **Default method**: Cost basis method (fifo, lifo, hifo) - **Tax year start**: January 1 (US) or fiscal year - **Exchange formats**: Column mappings for CSV parsing - **Holding period**: Days for long-term (default: 365) ## Resources - IRS Virtual Currency Guidance: https://www.irs.gov/businesses/small-businesses-self-employed/virtual-currencies - Form 8949 Instructions: https://www.irs.gov/instructions/i8949 - CoinGecko API for historical prices --- Source attribution: Dicklesworthstone Original project: https://github.com/Dicklesworthstone/pi_agent_rust/blob/f28fc46ee0db8e710d95b8b55592cd38d60f2b26/tests/ext_conformance/artifacts/plugins-community/plugins/crypto/crypto-tax-calculator/skills/calculating-crypto-taxes/SKILL.md License: MIT License information: https://opensource.org/license/mit Original upstream instructions; downloaded from Mega AI Hub. ## Upstream license notice MIT License Copyright (c) 2024-2025 Jeremy Longshore & Contributors Permission is hereby granted, free of charge, to any person obtaining a copy of this software and associated documentation files (the "Software"), to deal in the Software without restriction, including without limitation the rights to use, copy, modify, merge, publish, distribute, sublicense, and/or sell copies of the Software, and to permit persons to whom the Software is furnished to do so, subject to the following conditions: The above copyright notice and this permission notice shall be included in all copies or substantial portions of the Software. THE SOFTWARE IS PROVIDED "AS IS", WITHOUT WARRANTY OF ANY KIND, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THE WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE AND NONINFRINGEMENT. IN NO EVENT SHALL THE AUTHORS OR COPYRIGHT HOLDERS BE LIABLE FOR ANY CLAIM, DAMAGES OR OTHER LIABILITY, WHETHER IN AN ACTION OF CONTRACT, TORT OR OTHERWISE, ARISING FROM, OUT OF OR IN CONNECTION WITH THE SOFTWARE OR THE USE OR OTHER DEALINGS IN THE SOFTWARE. # Mega AI Hub resource metadata Creator / publisher: Dicklesworthstone Original project: https://github.com/Dicklesworthstone/pi_agent_rust/blob/f28fc46ee0db8e710d95b8b55592cd38d60f2b26/tests/ext_conformance/artifacts/plugins-community/plugins/crypto/crypto-tax-calculator/skills/calculating-crypto-taxes/SKILL.md Attribution basis: Source repository record Fields of work: Finance & Accounting Roles: Accountant, Financial Analyst, Tax Specialist Specialties: Specialty not specified Tools: Python Country applicability: United States Classification basis: Source catalog labels Instruction SHA-256: 46faa9ea40e4798a168bac5c9a4b9dfbb03c022fc65a425b48a95a8e0e0187f1