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FTX Crash: How to Report FTX Taxes with Koinly

Affected by the FTX collapse? 🚨 You may be able to claim a tax loss. Do this now to report your crypto losses to the ATO, HMRC, CRA and more at tax time.

API Import CSV File Import
Last updated: Friday, 18 November 2022

In light of recent news surrounding FTX, we recommend our users export their FTX CSV files as soon as possible to ensure they can report their previous taxable transactions on FTX easily in the future. You can find detailed instructions on how to export your CSV files below. We recommend that you download all the available formats for the entire period that you used the exchange as you may not be able to export these files in the future. If you cannot log in or access your CSV files on FTX, please read our guide.

The FTX API is no longer operational as of the 13th of November. Not sure what to do to get your taxes done? Here's the quick Q&A.

Can I pull transactional data from my existing API integration? No. Their API is offline right now.

What about my transactions which are pulled in to Koinly prior to the 13th? Will they remain in Koinly? Yes. These are fine unless you delete them or your wallet under settings.

I'm new to Koinly and I want to import all my transactions from FTX, can I do this via the FTX API? No, their API is offline. No historic or current transaction will pull through as you will see errors upon attempting to connect with FTX and FTX.us.

Can I import my historic transactions via a CSV file I've downloaded from FTX? Yes, if you're able to get your transactional info in CSV, you can import it into Koinly.

How to do your FTX taxes with Koinly

FTX crypto exchange was a large global crypto exchange that specialized in advanced trading like derivatives, futures and leveraged tokens. As of November 2022, the exchange has closed down following a liquidity crunch and other financial difficulties. But if you have taxable transactions from earlier in the financial year on FTX, you still need to report your gains, losses or income to your tax office. Here's how.

  1. Sign up to Koinly and choose your country and currency
  2. Connect FTX with Koinly to import all your FTX trades safely and securely
  3. Koinly categorizes FTX transactions into gains, losses and income
  4. Koinly calculates your FTX Capital Gains Tax and FTX Income Tax
  5. Download your FTX tax report from Koinly
  6. File your FTX taxes online or with your crypto tax accountant

What can I do to recoup my FTX losses?

FTX has filed for bankruptcy. This means anyone who can prove that the exchange owes them money will have to get in line to request repayment.

This will be a complex legal situation, as courts may have to decide how to treat individual clients, and where they rank in priority among other creditors.

As at mid-November 2022,  the situation with FTX is still unfolding and there’s much uncertainty for investors regarding whether they'll recoup any of their losses.  Here's what you need to know:

  • FTX has currently filed for Chapter 11 Bankruptcy - which means customers with assets on FTX may still see some of their funds returned, but this could take years - as was the case with the Mt. Gox proceedings. Depending on the outcome of the proceedings, investors may be able to claim capital losses later on if their funds are not returned.
  • Currently, all FTX funds are frozen and withdrawals are halted. This means from a tax perspective there is nothing you can do to realize your loss. Your funds may still be recovered, so you cannot deduct any losses.
  • For those potentially affected by the recent hack, there is a chance these users may be able to claim capital losses later (depending on their country's view on theft and capital losses) and offset these against their gains in the future.
  • At the moment, the best thing investors can do is get all the transaction data they can from FTX as proof of their losses for the future.

HMRC and FTX losses in the UK

For UK investors, you may file a negligible loss claim with HMRC in the future if it becomes apparent your assets will not be returned.

ATO and FTX losses in Australia

Australian investors may be able to claim a capital loss in the future if it becomes apparent your assets will not be returned.

CRA and FTX losses in Canada

The CRA is yet to give specific guidance, but it is likely investors would be able to claim a capital loss in the future should their assets not be recovered.

IRS and FTX losses in America

US investors should read our FTX US guide for specific advice.

Watch how to do your FTX taxes fast 

How are FTX transactions taxed?

Your FTX taxes depend on where you live, whether you're an individual investor or trader and the specific transactions you've made. You can learn more about the rules in your country in our country crypto tax guides, but in general you'll pay one of two taxes on your FTX transactions:

Does FTX report to the IRS?

FTX stopped operating in the US due to the strict regulations around crypto prediction contracts. This is why FTX US was set up. We can assume from this that FTX have been under considerable scrutiny by both the IRS and other financial authorities in the US.

How to file FTX taxes

You need to calculate and report any capital gains, losses or income from FTX with your tax office - this is usually as part of your annual tax return.

How to connect Koinly and FTX via API

On FTX

  1. Log in to FTX.
  2. In the top right corner, click on your name.
  3. Select settings.
  4. Select API.
  5. Select create read-only API key.
  6. Copy the API key and the API secret.

On Koinly

  1. Sign up or log in to Koinly and go to the wallets page.
  2. Select add new wallet: FTX.
  3. Select set up auto-sync.
  4. Paste your API key and API secret.
  5. Select secure import.

Important

1. Margin trades on FTX are imported as PnL so you will not see any actual trades, only the profit/loss from the trades.

2. The FTX API now supports subaccounts too!

How to import your FTX tax report CSV file to Koinly

On FTX

  1. Log in to FTX.
  2. In the top right corner, click on your name.
  3. You'll need to download the various CSV files of any transactions you've made on FTX. Where applicable, this will include your trade history, PnL and rewards. If you head into any of these pages from your profile, you'll be able to download the relevant CSV file.
  4. Download the CSV file(s).

On Koinly

  1. Sign up or log in to Koinly and go to the wallets page.
  2. Select add new wallet: FTX.
  3. Select import from file.
  4. Upload the CSV file(s).
  5. Select import.

Important

1. Your PnL CSV file will include all your futures transaction data.

2. You do not need your order history CSV file.

How do I troubleshoot my FTX integration to Koinly?

Having trouble connecting FTX and Koinly? No problem - there’s plenty of help available:

Calculate your FTX taxes

Sign up free today to calculate your FTX taxes.

Does FTX have taxes?

Yes. Even though FTX is currently non-operational for many users, you may still have a tax liability if you sold or traded crypto on FTX and made a gain or earned new tokens on FTX. We recommend you export CSV files of your FTX transaction history immediately if you're still able to do so.

Does FTX provide tax reports?

No, FTX does not provide tax reports. FTX US does however issue some US users with 1099 forms.

Is FTX audited?

FTX has a US GAAP financial audit in 2021, conducted by Armanino & Prager Metis. Since the collapse of FTX, the legitimacy of this audit has been called into question by many investors.

Does FTX supply financial or end of year statements?

No. Your FTX transaction history is your FTX financial statement. You can export a variety of CSV files and create your own end of year statement for tax purposes if you need one.

Does FTX report to tax authorities?

Tax authorities like HMRC, the ATO and the CRA are putting the pressure on crypto exchanges to share customer data to ensure tax compliance. While FTX hasn't confirmed which tax authorities it has had data requests from - as one of the largest crypto exchanges in the world, it is highly likely they report to tax offices around the world.