How To Do Your Hotbit Taxes With Koinly
Hotbit announced it was halting operations on May 22 and urged users to withdraw their funds before June 21, 2023. As well as withdrawing your funds, we recommend you export CSV files of your Hotbit transaction history as soon as possible to ensure you can file your taxes correctly.
Hotbit is a popular global crypto exchange with a range of investment options to suit every investor, including spot and ETF trading, with more than 2877 cryptocurrencies on offer. Whatever your investments, Koinly can help with your Hotbit taxes.
Follow these steps to download your Hotbit data:
- Log in to Hotbit.
- In the top right corner, select orders.
- Select a date range.
- Select export.
- If your Hotbit file is formatted as an outdated excel file and does not work with Koinly, you can open your downloaded file in your chosen app, like Google Sheets, and export it as a CSV file before uploading it to Koinly. See our article, How to fix invalid csv/excel files, for instructions on this.
Your Hotbit export will not include your withdrawals and deposits. You'll need to add these transactions manually to Koinly.
- Create a free account on Koinly
- Complete onboarding until you get to the Wallets page and find Hotbit in the list
- Click on it and select "File import" in the import options screen
- Upload the files you downloaded from Hotbit (one at a time) and click on Import
- Review your transactions on the Transactions page to ensure everything is tagged correctly and no missing data
- Go to the Tax Reports page to view your tax liability!
How are Hotbit transactions taxed?
Crypto tax varies depending on where you live and your tax office's take on it. This said, in general, two kinds of tax may apply to your Hotbit transactions - Income Tax and Capital Gains Tax.
Capital Gains Tax: When you sell or swap crypto on Hotbit, you'll likely pay Capital Gains Tax on any profits.
Income Tax: When you earn new coins or tokens on Hotbit - like through Hotbit events and airdrops - you'll likely need to pay Income Tax upon receipt of new tokens.
Does Hotbit provide tax documents?
No. Hotbit does not issue tax documents for users, instead, you'll need to get your Hotbit transaction history to calculate your taxes. You can do this yourself, or use a crypto tax app like Koinly to calculate your taxes and generate your tax report for you.
How to get your Hotbit tax report with Koinly
Using Koinly, you can get your Hotbit taxes done in no time at all. All you need is a CSV file of your Hotbit transaction history.
Once you have your Hotbit CSV file, just upload it to Koinly and Koinly becomes the ultimate Hotbit tax tool. Koinly calculates your Hotbit taxes based on your location and generates a variety of crypto tax reports, so you can file with your tax office.
Does Hotbit report to the IRS?
Hotbit doesn't require KYC for the majority of users, only users identified as high risk, like if they need to reset their 2FA settings. As such, it's unlikely Hotbit is reporting to the IRS or any other tax offices. This said, as a large centralized exchange, Hotbit is undoubtedly facing pressure to improve KYC processes in order to ensure tax compliance, so this could change quickly.