BitMart Tax Guide

24 Aug, 2023 · 9 min read

Are you trading crypto on BitMart and looking to take care of your tax obligations?

In the US, trading crypto is taxable, leading to capital gains taxes and some reporting requirements. If you are trading on exchanges, you’ll likely have several taxable events.

Let’s cover if trading crypto on BitMart is taxable, what kind of taxable events you may have on BitMart, how to report your BitMart tax, and more!

Key takeaways

  1. Trading cryptocurrencies on BitMart is a taxable event in the US;
  2. Buying and selling NFTs are taxed in the US, the same way as for crypto trading;
  3. Earning interest on BitMart leads to income taxes;
  4. Crypto exchanges like BitMart may share your information with the IRS;
  5. You can report your BitMart taxes by tracking your trades on CoinTracking and generating the right tax forms.

Is trading crypto on BitMart a taxable event?

Trading cryptocurrencies in the US, across any exchange, including BitMart, is a taxable event, subject to capital gains taxes. 

If you sell any cryptocurrency for another cryptocurrency or FIAT (e.g., USD), you’d have a taxable event, leading to reporting the gain/loss from that transaction in your crypto taxes. Buying cryptocurrency with another cryptocurrency is also a taxable event subject to capital gain taxes. 

Remember, crypto-to-FIAT and crypto-to-crypto trades are both taxable events in the US, and you always have to report the gains/losses you have from that transaction.

Discover more about crypto taxes in the US.

Is earning crypto interest on BitMart taxable?

BitMart offers flexible savings products, enabling you to earn crypto interest rewards, which will be taxed at the income level in the US.

When you receive crypto interest from BitMart, you need to determine its Fair Market Value (in USD) at the time you receive it and include it in your total income for the year.

CoinTracking helps you track every batch of crypto interest or staking rewards you receive and makes it much easier to report this income in your income tax return. Find out more about how crypto interest is taxed.

Do you pay taxes from staking on BitMart?

BitMart offers ETH staking, letting you earn ETH rewards, a taxable event in the US subject to income taxes. 

If you receive any ETH rewards from staking, you’d need to determine the Fair Market Value (in USD) at the time you received them. 

You need to account for each batch of staking rewards that you receive, and then you need to include that income in your Form 1040. Discover more about staking taxes in the US.

Do you pay taxes trading NFTs on BitMart?

Buying and selling Non-Fungible Tokens (NFTs) is a taxable event in the US, subject to capital gains taxes. 

NFTs are taxed the same way as crypto, where you need to determine the gain/loss on each trade and then report it on your crypto taxes. 

Find out more about NFT taxes.

How do you get tax documents for BitMart?

You can get your crypto trading information from BitMart by connecting their API to crypto tax software. CoinTracking will automatically import your transactions and determine your crypto gains/losses.

It only takes a few minutes to connect your API Key on BitMart to CoinTracking and to import all of your BitMart transaction history. After importing your trades, you’ll be able to know your gains/losses (CoinTracking does it automatically), and you can generate the right crypto tax documents.

CoinTracking supports integrations with leading tax filing software in the US, like TurboTax, to file your crypto tax return.

Track your crypto portfolio with CoinTracking

With CoinTracking, you can import your trades from hundreds of exchanges and blockchains, determine your capital gain/losses and income, and generate crypto tax forms.

How to track your BitMart trades with an API?

Here’s how to track your BitMart transaction history using an API on CoinTracking:

  1. Login into your Bitmart account and open the API page; 
  2. Enter your memo and keep only the default permission;
  3. Click Add;
  4. Enter your Memo, Key, and Secret here.

How to report your BitMart taxes?

If you trade crypto on BitMart, you’d need to report your gains/losses on the right crypto tax forms, including Form 8949 and Schedule D for your Form 1040.

If you have gains/losses from trading NFTs, you’d also have to include them in those tax forms.

If you have income from earning crypto interest or staking rewards, you’d need to include that income in your US Individual Income Tax Return. Learn more about what tax forms apply to crypto.

Does BitMart report to the IRS?

BitMart, like any crypto exchange available for US customers, can report information for their users to tax authorities like the IRS.

If BitMart is summoned by the IRS or other government agencies, it would have to comply with regulations and share customer information. This type of communication between crypto exchanges and authorities is one of the ways the IRS uses to find taxpayers who do not report their crypto tax obligations.

The IRS is employing more resources, from crypto forensic tools to thousands of new agents, to tackle crypto tax evasion.

What happens if I don’t pay crypto taxes?

If you’re a crypto investor or trader who is not reporting your crypto income or gains/losses, you’d likely face penalties and fines later on or worse consequences such as criminal investigation if you fail to pay taxes in the long run. 

The best BitMart tax calculator: CoinTracking

The best BitMart tax software in the market is CoinTracking.

With crypto tax tools, you can import your BitMart transactions, determine your crypto gains/losses, and generate tax reports. But, that’s not all! With CoinTracking, you can:

Crypto taxes done for you with Full-Service

CoinTracking also offers a Full Service for US crypto investors. A crypto reconciliation tax expert from Polygon Advisory Group, a leading US crypto tax firm, will review your CoinTracking account, help fix any errors, and ensure you submit your crypto tax reports error-free.

Disclaimer: All the information provided above is for informational purposes only and should not be considered as professional investment, legal, or tax advice. You should conduct your own research or consult with a professional financial advisor when investing.

CoinTracking FAQ

Questions and Answers on Crypto Portfolio Tracking & Crypto Taxes

If you are not yet familiar with CoinTracking, these frequently asked questions are an ideal starting point for using our expertise and clarifying important issues.

How do I declare crypto profits for tax purposes?2023-05-23T19:31:23+01:00

You can report your crypto taxes by using a crypto tax software that tracks your trades, calculates your gains/losses, and generate the right crypto tax forms in the US (e.g., Form 8949)

How much tax on crypto?2023-05-23T19:03:37+01:00

Your crypto tax rate from trading will depend on the holding period of the crypto before selling. If you hold your crypto for less than 12 months before selling, you’d be taxed at a short-term capital gains tax rate between 10% and 37%. If you hold your crypto for more than 12 months before selling, you’d be taxed at a long-term capital gains tax rate between 0% and 20%.

Is crypto taxable in US?2023-05-23T18:54:19+01:00

Yes, in the US, trading cryptocurrencies is a taxable event, subject to capital gains level, with a tax rate depending on the holding period of your crypto. You can be taxed at a long-term capital gains tax rate or a short-term capital gains tax rate. Other crypto transactions like airdrops, hard forks, staking rewards, and crypto interest are taxed at an income level. Learn everything about crypto taxes in the US from our guide. Please consult with a certified professional about your personal situation.

How much does CoinTracking cost?2023-05-23T18:49:02+01:00

CoinTracking has a number of pricing plans depending on the number of transactions you need. You can sign-up to a free account if you have up to 200 transactions. Up to 3,500 transactions are billed at €9.99 per month, up to 20,000 transactions at €16.99, up to 50,000 transactions at €21.99 and 100,000 transactions at €29.99. The “Unlimited Package” for over 100,000 transactions costs €59.99 per month. If you pay with BTC, you can get a 5% discount (no email is required to sign-up).

What is CoinTracking?2023-05-23T18:46:17+01:00

CoinTracking is the the best crypto portfolio tracker and crypto tax tool in the market. CoinTracking enables crypto investors to import their trades from hundreds of exchanges/blockchains/wallets, calculate your capital gains/losses, and generate compliant tax reports in dozens of countries.

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Cryptocurrency enthusiast writing about all-things digital, from crypto markets to taxes.
Cryptocurrency enthusiast writing about all-things digital, from crypto markets to taxes.


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