Crypto Tax Calculator — US Cryptocurrency Capital Gains Tax
Capital Gain / Loss
$0
Estimated Tax
$0
Tax Rate Applied
0%
Net Proceeds After Tax
$0
NIIT (3.8% if applicable)
$0
How to Calculate Crypto Tax
Cryptocurrency is treated as property by the IRS, meaning every sale, trade, or spending event may trigger capital gains tax. This calculator estimates your US federal tax on crypto transactions by considering your cost basis, sale price, holding period, income level, and filing status. It applies the correct long-term or short-term capital gains rates for 2025.
Long-term capital gains (assets held over one year) are taxed at preferential rates of 0%, 15%, or 20% depending on your total taxable income. Short-term gains (one year or less) are taxed at ordinary income rates from 10% to 37%. High-income taxpayers may also owe the 3.8% Net Investment Income Tax (NIIT) if their modified adjusted gross income exceeds $200,000 (single) or $250,000 (married filing jointly).
To minimize crypto taxes, consider holding positions for over one year to qualify for lower long-term rates, harvesting losses to offset gains, and donating appreciated crypto to charity. Starting in 2025, centralized exchanges report transactions to the IRS via Form 1099-DA. Keep detailed records of all transactions, including dates, amounts, and cost basis for every trade.
Frequently Asked Questions
How is cryptocurrency taxed in the US?
The IRS treats cryptocurrency as property. Selling, trading, or spending crypto triggers a taxable event. If you held the crypto for more than one year, you pay long-term capital gains tax (0%, 15%, or 20%). If held for one year or less, you pay short-term capital gains tax at your ordinary income tax rate (10%-37%).
Do I owe tax if I convert one crypto to another?
Yes. Converting Bitcoin to Ethereum (or any crypto-to-crypto trade) is a taxable event. You must calculate the gain or loss based on the fair market value at the time of the trade minus your cost basis in the original cryptocurrency.
What about crypto mining and staking rewards?
Mining income and staking rewards are taxed as ordinary income at fair market value when received. When you later sell the mined or staked crypto, you also owe capital gains tax on any appreciation from your cost basis (the value when received).
Can I deduct crypto losses?
Yes, crypto losses can offset capital gains dollar-for-dollar. If your losses exceed your gains, you can deduct up to $3,000 per year against ordinary income ($1,500 if married filing separately). Remaining losses carry forward to future years. Note: wash sale rules currently do not apply to crypto, though legislation has been proposed.