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Ease of filing taxes with Kraken
Overall score: 99/100
Ease of filing taxes with Kraken
Overall score: 99/100
Crypto taxes on Kraken: You’re in the right place
Filing cryptocurrency taxes can feel overwhelming. The regulations are unclear, and official guidance often fails to answer all the important questions.
Meanwhile, the Tax Office is gaining more and more access to data from crypto exchanges, including platforms like Kraken. A growing number of exchanges are now required to share information about your transactions.
That’s exactly why Divly exists. We created a tool that guides you step-by-step through filing your taxes in full compliance with local regulations, without the stress or uncertainty. In this guide, we’ll show you exactly how to report your transactions made on Kraken.
Note: If you have traded futures on Kraken, please complement this guide with our dedicated guide for the Kraken Futures platform.
When Should I Declare My Cryptocurrencies?
The time to declare your crypto depends on your country’s tax rules. Using Kraken does not change your filing deadlines. In most places, you report your crypto income and gains for the tax year in which they happened, as part of your normal annual tax return, even if you did not convert crypto back to cash.
Typical timelines (check your local rules with our country guides here):
- United States: File for the previous calendar year by April 15 (or the next business day). You can request an extension to October 15. Quarterly estimated taxes may apply if you have significant taxable gains or income.
- United Kingdom: Tax year runs April 6 to April 5. Online Self Assessment deadline is January 31 after the end of the tax year. Payments on account may be due January 31 and July 31.
- European countries: Deadlines vary by country (often in spring or summer). Always check your national tax authority for the exact date.
You should declare your crypto when you have taxable events, such as:
- Selling crypto for fiat currency
- Trading one crypto for another
- Spending crypto on goods or services
- Earning crypto (staking rewards, airdrops, interest, mining, or other income)
How do I declare my crypto taxes?
Should your Kraken cryptocurrency transactions necessitate tax payments, the first step is aggregating all your transaction in once place. Only after this is done can you safely calculate your taxes and declare them to your tax authority.
You have several options for aggregating and calculating your taxes:
- Undertake the process independently with tools like Excel
- Leverage specialized cryptocurrency tax software such as Divly
- Seek the expertise of a tax attorney.
The method you select may depend on your budget and the level of complexity you are willing to manage.
How to export your Kraken transaction history
Regardless of the method you choose, the first thing you need to do is export your Kraken transaction history. Below are instructions on how to access your transaction history via downloadable files or via the Kraken API. If you are using Divly then it's up to you which one you prefer.
Automatic import
You can import transactions from Kraken Pro into Divly by using our API integration. After you have provided the API keys, Divly will be able to fetch your latest transactions anytime you click "Import Transactions" in the wallet page.
- Sign in to Kraken Pro.
- In the top right corner click on the Account Icon > Settings > API. Alternatively click here to go to directly to the Kraken API.
- Click the button Create API key in the right top corner.
- Type in Divly in the description. Enable the following Key Permissions: Query Funds, Query Closed Orders & Trades, Query Ledger Entries, Export Data.
- Enable the Custom nonce window and set it to 10000.
- Click the Generate key button and confirm using 2FA.
- Copy the API Key and API Secret into Divly. Divly will fetch your transaction history.
File import
You can import transactions from Kraken and Kraken Pro into Divly by downloading and importing a CSV file. Make sure to download the CSV file every time you want to include the latest transactions.
- Sign in to Kraken.
- In the sidebar click on Activity and then the button Export History.
- Click on the + New Export button and select Ledger as the type.
- Select a start and end date so it covers your entire history. Change the format to CSV and then click Generate.
- Download the file when its ready.
- Import the ZIP file to Divly. Divly will import the transactions and calculate your taxes.
How do I declare my crypto taxes to the tax authority?
A great place to start is to read our crypto tax guide for your country. Check the last section about how to declare to the local tax authority for details.
Alternatively sign up to Divly and purchase a tax report with all the information provided to you in a nice package! If you are lost feel free to follow our Getting Started guide.
If you have any issues with calculating your Kraken taxes, feel free to contact our support team which is available via the online chat on the bottom right hand corner of our website. Good luck!
Why is Divly the best choice for Kraken taxes?
Divly is built specifically for each country with a focus on accuracy. Unlike generic tools, we automatically generate the compliant, localized tax report you need for your country. We handle all the complex local rules of your local tax legislation so you don't have to.
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Fast Import: Fast import of Kraken transactions (spot, margin, staking, and futures) that combines with your other wallets/accounts.
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Accurate Calculations: Accurate calculation of gains/losses with the correct cost basis method (e.g., FIFO), plus correct treatment of staking rewards, fees, and PnL.
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Local Tax Report: Simple download of your local tax report with clear instructions on how to file in your country.
Frequently asked questions (**FAQ?**)
Yes, in most countries you are required to pay taxes on crypto. For more details see your country-specific crypto tax guide.
Crypto typically incurs a capital gains tax in the majority of jurisdictions. This means you need to pay taxes on the difference between what you bought crypto for and what you sold it for (minus fees).
If you received crypto through other methods (e.g. salary), methods like income tax will apply.
Yes, you can use Divly to declare crypto taxes for previous years that you missed. In many countries you can self-report mistakes and not get penalized for it.
Divly provides localized guides on how to fix previous years for many of our supported countries.
It is a criminal offense to not pay your taxes. It is also difficult to avoid since crypto transactions are recorded publicly on the blockchain and exchanges have been forced to hand over information to local tax authorities.
Yes, you need to file a tax report even if you lost money. The good news is that by filing your losses you may be able to reduce your taxes.
Divly is a premium service to help people calculate and submit their crypto taxes. We use industry standard practices to secure your data.
- We do not sell your information to third parties such as other companies or government agencies.
- We do not perform any KYC. Divly only requires an email address and your pseudonymous crypto transactions to generate your taxes.
Feel free to use a temporary email / protonmail. You can also delete all your transactions and synched wallets at any time.
Yes. You can safely ask your accountant to create and manage a new Divly account for you, or invite them to see and/or edit your existing Divly account. Divly provides accountants with a special feature to manage multiple clients with crypto.
Any tax-related information provided by us is not tax advice, financial advice, accounting advice, or legal advice and cannot be used by you or any other party for the purpose of avoiding tax penalties. You should seek the advice of a tax professional regarding your particular circumstances. We make no claims, promises, or warranties about the accuracy of the information provided herein. Everything included herein is our opinion and not a statement of fact. This article may contain affiliate links.
