Frequently Asked Questions

dTax is an open-source cryptocurrency tax calculator. It supports FIFO, LIFO, HIFO, and Specific ID cost basis methods, generates IRS Form 8949 and Schedule D reports, and handles DeFi, NFTs, and 20+ exchange formats — all auditable and self-hostable.

The core engine is free and open source (AGPL-3.0) with up to 50 transactions per tax year. The Pro plan ($49/tax year) unlocks unlimited transactions and PDF exports. The CPA plan ($199/year/seat) adds multi-client management for tax professionals.

You can upload CSV files exported from your exchange (auto-detected format), or connect via read-only CCXT API keys for automatic syncing. dTax supports 20+ dedicated exchange parsers plus a Generic CSV format that works with any exchange.

Coinbase, Binance, Kraken, Gemini, Crypto.com, KuCoin, OKX, Bybit, Gate.io, Bitget, MEXC, HTX (Huobi), Bitfinex, Poloniex, Etherscan (ERC-20 + DeFi), Solscan (SOL + SPL + DeFi), plus Generic CSV and CCXT API for any exchange.

FIFO (First In, First Out) sells your oldest coins first. LIFO (Last In, First Out) sells your newest coins first. HIFO (Highest In, First Out) sells your highest-cost coins first, minimizing taxable gains. Note: the IRS officially recognizes FIFO and Specific Identification — LIFO and HIFO are treated as variants of Specific ID.

A wash sale occurs when you sell a crypto asset at a loss and repurchase a substantially identical asset within 30 days. dTax automatically detects wash sales, calculates the disallowed loss, and marks affected transactions with Form 8949 adjustment code W.

Form 8949 reports individual capital gain/loss transactions to the IRS — each sale or disposition is listed with acquisition date, sale date, proceeds, and cost basis. Schedule D summarizes your total short-term and long-term gains/losses and calculates your net capital gain or loss deduction.

Yes. dTax supports DEX swaps, LP deposits/withdrawals/rewards, staking, bridges, token wrapping/unwrapping, and NFT minting/purchasing/selling. The Etherscan and Solscan DeFi parsers automatically classify transactions from 13+ DeFi platforms.

Yes. dTax is local-first — your data stays on your server or our secured infrastructure. Exchange API keys are encrypted with AES-256 at rest. We never share your data with third parties. You can self-host dTax with Docker for complete data control.

No. dTax only uses read-only API connections. No withdrawal or trading permissions are requested or supported. dTax cannot move, spend, or access your funds in any way.

Yes. The core tax engine is fully open source under the AGPL-3.0 license on GitHub (github.com/dTaxLab/dtax). Every calculation, parser, and algorithm is community-auditable.

Yes. The CPA plan ($199/year/seat) provides multi-client management, bulk import/export, white-label reports, and dedicated support with SLA. Your CPA can manage all clients from a single dashboard.

Yes. dTax provides Docker deployment with a single docker-compose command. Self-hosting gives you full control over your data with no transaction limits on the open-source engine.

dTax implements IRS-recognized cost basis methods (FIFO and Specific Identification), generates Form 8949 and Schedule D in the correct format, and includes wash sale detection. However, dTax is a calculation tool — it is not a substitute for professional tax advice.

dTax generates Form 8949 CSV exports in a TurboTax-compatible format. Go to Tax Report, calculate your taxes, then click the CSV download button. The file can be imported directly into TurboTax or other tax preparation software.

Starting 2026, brokers must report cost basis for "covered" securities — assets bought on or after January 1, 2026 and kept on the same exchange until sold. "Noncovered" assets (bought before 2026 or transferred in from other wallets) only have proceeds reported — you are responsible for tracking and reporting the correct cost basis. dTax automatically classifies each reconciliation item and shows you what the IRS will see.

dTax tracks staking rewards, mining income, airdrops, and DeFi interest as ordinary income, reported on Schedule 1, Line 8z. Per IRS Rev. Rul. 2023-14, staking rewards are taxable at fair market value when you gain dominion and control. dTax automatically calculates the income breakdown and includes it in your tax report.

The PARITY Act (expected to pass by August 2026) will apply wash sale rules to crypto — selling at a loss and rebuying within 30 days will disallow the loss deduction. It also exempts stablecoin transactions under $200 from capital gains and allows a 5-year tax deferral for staking/mining rewards. dTax displays regulatory alerts on your tax page so you can plan accordingly.

MiCA (Markets in Crypto-Assets) is the EU's comprehensive crypto regulatory framework, fully effective March 25, 2026. It primarily affects EU-based investors and platforms, but global investors trading on EU-regulated exchanges should understand its impact on stablecoin availability and reporting requirements.

CRS 2.0 and its crypto-specific extension CARF (Crypto-Asset Reporting Framework) bring crypto assets into the global automatic exchange of financial information. Starting 2027, 48 jurisdictions will share crypto transaction data — including crypto-to-crypto trades, DeFi activity, stablecoins, and NFTs. By 2029, 67 jurisdictions (including the US) will participate, making crypto as transparent as bank accounts to tax authorities worldwide. dTax already supports all CARF-reportable transaction categories.

CARF (Crypto-Asset Reporting Framework) rolls out in three waves: 48 jurisdictions begin automatic crypto data exchange in 2027 (including UK, Germany, France, Japan, Australia, Canada, Singapore), 27 more join in 2028, and the US follows in 2029 via IRS broker reporting rules. In total, 67 jurisdictions have committed — covering over 95% of global crypto trading volume.

Unlike CRS 1.0 which only covered custodial accounts, CARF covers DeFi protocols, stablecoins, NFTs, and crypto-to-crypto trades. Exchanges will report your full transaction history to tax authorities in your country of residence. dTax helps you stay ahead: our tax engine already supports all CARF-reportable transaction types, so you can review exactly what will be reported before it happens.