CoinPanda Review – Pricing, Supported Countries & Exchanges, Services (DeFi, Staking, Airdrops etc.)
Since cryptocurrencies have been classified as taxable assets by the IRS and other financial bodies in other countries, you need to pay taxes on them if you want to abide by the law. However, it can be a daunting task to calculate your taxes in the crypto world, especially since they are very volatile assets.
That is where Coinpanda comes in. It helps you calculate your taxes in accordance with local customs in the country you live in while giving you peace of mind. In this article, we will discuss what this platform entails and how it can benefit you.
WHAT IS COINPANDA?
Coinpanda is the part of ideal tax solutions for calculating crypto taxes on cryptocurrency transactions and filing such taxes with the authorities. The platform is defined as a crypto tax software. It’s an efficient tax calculator that takes the stress off paying your crypto taxes. Launched in 2018, it supports over 7,000 cryptocurrencies traded or stored in over 350 wallets or exchanges.
At the time this article was written, Coinpanda is supported in more than sixty-five countries around the world. Some of those countries are the United States of America, Canada, Australia, Sweden, Brazil, Switzerland, Denmark, New Zealand, Ireland, Norway, the United Kingdom, Germany, Belgium, Singapore, Spain, Iceland, Czech Republic, Japan, Italy, Argentina, Greece, France, Malta, Poland, Finland, Portugal, Slovenia Austria, Estonia, etc.
There are over 250 exchanges that are integrated with Coinpanda. They include but are not limited to, Binance, Binance US, Bitbuy, Bitfinex, Bitgate, Bitbay, Coinbase, Coinbase Pro, Coinomi, Gemini, Gatehub, Kraken, MEXC Global, Poloniex, Probit, Robinhood, Upbit, Bybit, Blockchain.com Exchange, Bitrue, Bittrex, Liquid exchange, etc.
There are 37 wallets currently supported on Coinpanda. They include Metamask, Trustwallet, Safepal wallet, Tronlink pro, Paypal, Ledger, Trezor, Electrum, Jaxx wallet, Blockchain.com wallet, Atomic wallet, Coinbase wallet, etc.
CAPITAL GAINS REPORTS
This is one of the most prominent features of Coinpanda. It presents all your cryptocurrency transactions, both profits, and losses in a single online spreadsheet. It usually includes ten columns for each cryptocurrency transaction. The columns are Date Sold, Date Acquired, Asset, Amount, Cost Basis(in dollars), Proceeds(in dollars), Gains or Losses, notes, Holding Period, and transaction type.
The Capital Gains Report doesn’t just cover spot trades; it also includes margin and futures transactions. It is indeed a comprehensive overview of your entire crypto life.
Because it covers all your taxable crypto transactions, this feature lets you avoid double loss when you sell your crypto at a loss. Thus, your total capital gains are reduced, and you get to pay less on taxes in the next tax year. Therefore, even if you have financial problems, Coinpanda can still keep you from going bankrupt.
INCOME, STAKING, DEFI, AND MINING REPORTS
This feature calculates your crypto taxes on incomes from various DeFi transactions like mining, staking, yield farming, airdrops, ICOs, forks, gifts, and other transactions. The whole information is displayed on one spreadsheet with six different columns, namely Date Received, Asset, Amount, Net Value(in dollars), type, and transaction description.
This feature, as the name suggests, allows users to track their portfolio by automatically syncing transactions from all exchanges and wallets owned by the user. This way, you can know exactly how much you have and how much is taxable, even if they are spread among many crypto establishments.
The portfolio tracker is a free program that comes with many additional features to assist users as they seek to make sense of their entire portfolio. The features are:
- ANALYTICS: Here, you can keep track of your entire crypto portfolio over time and see where you made a loss or gain. This tool also helps you analyze your trading and spending habits and exposes flaws you may not even be aware that you have.
- SEARCH TOOL: Built into the exchange, this powerful tool can browse through your entire transaction history and pick out specific transactions, coins, wallets, exchanges, or services.
- MARGIN TRADING TRACKING: With this tool, you can track all your margin trades across crypto exchanges that allow margin trades. Popular Exchanges like Binance, Bybit, FTX, Bitmex, etc.
- TAX PREVIEW: This tool helps you avoid costly mistakes even before they happen by letting you know what the resultant effect of the trade will be on your tax requirements.
- TAX REPORTS: Coinpanda also allows you to automatically generate and document tax reports for your Capital gains and income. In addition, these reports can easily be filled into local tax forms like form 8949 and Schedule D and exported.
- TAX REDUCTION: This powerful tool works with only one aim: to reduce the amount you’ll pay as tax to the barest minimum. It is a very powerful tool and is easily one of the best in the market right now.
- COST BASIS: Put simply, cost basis calculation is a calculation of the original purchase value of an asset. It is used to calculate the capital used to acquire an asset before gains or losses come in. Coinpanda employs any of four different methods to calculate cost basis. The methods are:
- LIFO(Last in, First out)
- FIFO(First In, First out)
- HIFO(Highest in, First out)
- ACB(Average Cost Basis).
HOW DOES COINPANDA WORK?
Coinpanda is basically an accounting companion for your crypto needs. How does it work? It starts with you signing up for an account on the platform; this process is totally free. After signing up, it’s time for you to import your crypto transactions into the platform. It doesn’t matter how long you have been trading for; Coinpanda will easily calculate your taxes and capital gains automatically in little time.
How do you add your transactions to the Coinpanda platform? There are three ways of doing that. You could add them manually, but that would be both time-consuming and cumbersome. Otherwise, you could connect your wallets with your API keys or import them as CSV or XLSX files to download them automatically.
Coinpanda allows you to create as many wallets as needed to organize your portfolio. You can create separate wallets for each exchange or wallet you have used; just make sure you import all your transactions to enable an accurate reflection of your entire portfolio.
There is also a provision to add unlisted exchanges if you demand for it. It usually takes only about 4-5 days once you mention it to customer care agents on the Coinpanda forum.
After importing your transactions, the Coinpanda tax calculator automatically calculates your tax reports over all the years you have traded crypto. This calculation process may take up to about twenty minutes. Once it is done, you can export your tax reports in any form you desire.
DOWNLOADING AND EXPORTING TAX REPORTS
After the calculation has been done, you can now export your tax reports in PDF or CSV files. If you do not have up to 25 transactions in a tax year, this service is free. However, if your transactions exceed 25 per year, you will need to upgrade to one of the paid plans to utilize this feature.
Coinpanda offers a pricing plan that is based on how many transactions you made in a tax year. Certain features, like portfolio tracking and importing transactions, are free. However, you have to pay if you want to see your tax calculations and download and export your tax forms and documents.
The table below describes the pricing levels based on the number of transactions:
|PLAN||NUMBER OF TRANSACTIONS||PRICE|
In addition to this, there is a provision for a custom offer for those who have more than 100,000 transactions in a tax year.
COINPANDA MOBILE APP
Coinpanda is currently developing a mobile application to make it easier to access its services on the go. However, at this time, the application has not been released yet.
IS COINPANDA.IO LEGIT?
Coinpanda has proved to be the destination for many crypto enthusiasts who want to enjoy the sweetness of crypto while avoiding issues with the authorities. Being the trusted hub of many, it takes security very seriously and has implemented measures to assure users of its sincere intentions. Some of those measures are:
- The Coinpanda team is made of professionals who have an avid interest in the crypto environment. These people have been entrepreneurs and have had experiences in various aspects of web and crypto technology. Thus, you can be sure you are in good hands.
- Coinpanda’s data and services are hosted with Amazon Web Services(AWS). You don’t even have to be a technical guru to realize that Amazon’s services are secure, and this security extends to users of such services.
- The team never stops working as they seek to identify and eliminate any bug in the Coinpanda software. That is why updates are constantly released.
- Your payment details are not stored. Instead, Coinpanda processes payments through Stripe, a reputable payment processing platform.
Cryptocurrencies are fast becoming legally recognized assets in many parts of the world. This is good as it will eventually drive up the mainstream adoption of crypto, which has been the dream of many crypto enthusiasts.
However, this adoption comes with increased regulations, as is the case in other parts of the financial world. Therefore, it is essential to know how much tax you are liable to pay on your crypto endeavors and choose the best way to pay it.
This article has explained in detail one of the most popular tools for calculating and exporting your tax forms. Considering its various features, advantages, and disadvantages, would you say Coinpanda is the right tool for you? I hope this article has helped you decide the answer to that question.
Make sure to check out our guides on other tax calculators:
- ZenLedger Review
- How To Do Taxes on Your MetaMask Trades? Full Guide
- Binance Tax Calculators
- Best Coinbase Tax Calculator
- CryptoTrader.Tax app review
- Cointracking.info Review
- Koinly Review
- Cryptotaxcalculator.io Review
- Cryptotax.io Review
- Tax Loss Harvesting
DOES COINPANDA HAVE A FREE PLAN?
Yes, it does. If your total transactions for a tax year are not more than 25 transactions, you can export your tax forms for free. However, if you register more than 25 transactions in a tax year, you would need to pay to access the platform’s full services. The amount you will pay depends on how many transactions you had in that tax year. The table below shows the various payment plans:
|PLAN||NUMBER OF TRANSACTIONS||PRICE|
FREQUENTLY ASKED QUESTIONS
- It has a tool that actively seeks to reduce the tax amount payable on your various transactions
- It warns you if you’re about to make a decision that will negatively impact your tax returns
- It supports thousands of cryptocurrencies from over 350 exchanges and wallets. It also has a feature through which users can ask for more coins, wallets, and exchanges.
- Many countries are also supported on the platform
- It has a free plan.
- It calculates taxes from almost all vestiges of the crypto world, including airdrops, staking, forks, DeFi, etc.
- Its customer care and social media handles are scanty
CaptainAltcoin's writers and guest post authors may or may not have a vested interest in any of the mentioned projects and businesses. None of the content on CaptainAltcoin is investment advice nor is it a replacement for advice from a certified financial planner. The views expressed in this article are those of the author and do not necessarily reflect the official policy or position of CaptainAltcoin.com