In the ever-evolving world of cryptocurrencies, keeping track of taxes can be a daunting task.
Enter ZenLedger, a software specifically designed for calculating and filing cryptocurrency taxes. In this review, we will take a closer look at ZenLedger, its features, pros and cons, and whether it’s the right choice for you.
Get Started With ZenLedger
With ZenLedger, you can:
- Easily track your trades
- Monitor your profits and losses
- Ensure you never overpay on your crypto taxes
Using ZenLedger involves three simple steps:
- Import your exchanges and wallets to create a complete crypto tax report.
- Review your transactions and resolve any discrepancies.
- Generate and sign your tax forms, including Form 8949, Schedule 1, and Schedule D.
READ MORE: Best Cryptocurrency Bonuses Can Be Found Here
Understanding ZenLedger
ZenLedger is a popular cryptocurrency tax software that was established in 2017 in Washington state.
The platform aims to simplify taxes associated with decentralized finance (DeFi), non-fungible tokens (NFTs), and cryptocurrencies for investors and tax professionals.
ZenLedger’s Offerings
ZenLedger helps consolidate all your cryptocurrency transactions and performance, providing a comprehensive overview for tax filing. Some of the main features include:
- Crypto Portfolio Tracker: Integrating with over 400 exchanges, 52 blockchains, and 100+ DeFi protocols, ZenLedger allows you to import your transaction history and holdings for a clear snapshot of your investments.
- Downloadable Tax Reports: ZenLedger calculates additional income, capital gains, and losses by importing all your transaction data, supporting three cost basis methods: FIFO, LIFO, and HIFO.
- Tax-Loss Harvesting: This tool helps you offset capital gains by selling assets at a loss and repurchasing similar assets.
- Unified Accounting: The Grand Unified Accounting tool exports a detailed spreadsheet of your transaction history across exchanges and wallets, making it easier for you and your CPA to file taxes.
- DeFi Integrations: ZenLedger supports 100+ DeFi protocols, giving it an edge over competitors.
- Professional Tax Help: ZenLedger integrates with TurboTax, offers an option to invite your accountant, and provides paid tax professionals for additional assistance.
READ MORE: Crypto.com $25 Crypto Welcome Offer & $25 Referrals
NFT Support and Features
As NFTs gain popularity and their market expands, it becomes increasingly important for tax software to keep up with these developments.
ZenLedger offers support for NFT taxation and reporting, ensuring that users with diverse portfolios are covered. By incorporating over 10 NFT platforms, ZenLedger provides users with a comprehensive view of their NFT investments and transactions, which can be crucial when filing taxes.
READ MORE: Coinbase Bitcoin Promotions: $10 Welcome Bonus
ZenLedger Pricing Plans
ZenLedger offers various pricing plans to cater to different user needs. These plans include:
- Free Plan: Suitable for users with under 25 transactions and provides basic features such as FIFO tax calculations and tax forms.
- Starter Plan: Designed for users with up to 100 transactions, offering additional support for NFTs, DeFi, and LIFO/HIFO tax calculations.
- Premium Plan: For users with up to 1,000 transactions, this plan includes all Starter Plan features along with tax-loss harvesting and priority customer support.
- Executive Plan: Ideal for users with up to 5,000 transactions, offering all Premium Plan features plus access to advanced reports and CPA consultations.
Security and Privacy Measures
When it comes to handling sensitive financial data, security and privacy are paramount.
ZenLedger employs robust security measures, such as encryption and secure cloud storage, to protect users’ data. Additionally, the platform utilizes read-only API keys, ensuring that transactions can be viewed but not altered, and two-factor authentication (2FA) for an extra layer of security.
READ MORE: Binance.US Promotions: $10 Welcome Bonus & Referral Offer
Customer Support and Resources
ZenLedger offers a range of customer support options, including email support, live chat, and a comprehensive help center with articles and guides.
Moreover, the platform provides educational resources like webinars, a blog, and a knowledge base to help users stay informed about the latest developments in cryptocurrency taxation.
Comparing ZenLedger with Alternatives
It’s essential to consider alternative cryptocurrency tax software options before making a decision. Some popular alternatives to ZenLedger include:
- Koinly: With a wide range of integrations and support for over 300 exchanges, Koinly offers advanced tax reports and portfolio tracking but may fall short in terms of DeFi and NFT support.
- CoinLedger: This platform is known for its simplicity and affordability, making it suitable for beginners or small-scale investors. However, it may lack some advanced features found in ZenLedger.
- CoinTracker: Known for its user-friendly interface and seamless integration with exchanges, CoinTracker offers a robust set of features but has limited DeFi support compared to ZenLedger.
When comparing alternatives, consider factors such as features, pricing, ease of use, and support for your specific needs.
READ MORE: Robinhood Bonuses: Free Stock Sign-Up, Bonus Stock Referrals
Pros & Cons
Pros:
- Comprehensive crypto portfolio tracker
- Downloadable tax reports for easy filing
- Tax-loss harvesting tool to offset capital gains
- Integration with TurboTax and professional tax help
Cons:
- Can be expensive, depending on your plan
- Not all features are useful for smaller portfolios or infrequent traders
- Not a comprehensive portfolio tracker for year-round use
READ MORE: Seeking Alpha Limited-Time Promo Discount
The Bottom Line
ZenLedger can be a valuable tool for cryptocurrency investors, particularly those with larger portfolios or frequent trading activities.
The software’s ability to track transactions, calculate taxes, and offer tax-loss harvesting can save both time and money. However, it may not be the best option for smaller investors or those who trade less frequently.
Before making a decision, weigh the pros and cons and assess whether ZenLedger’s features align with your specific needs.
READ MORE: J.P. Morgan Self-Directed Investing Welcome Offer
Frequently Asked Questions (FAQ)
ZenLedger is a cryptocurrency tax software designed to help investors, traders, and accountants accurately calculate and file their crypto taxes.
Yes, ZenLedger supports over 100 DeFi protocols and more than 10 NFT platforms, making it a comprehensive solution for users with diverse portfolios.
ZenLedger employs robust security measures, such as encryption, secure cloud storage, read-only API keys, and two-factor authentication (2FA) to protect users’ data.
Yes, ZenLedger can be integrated with TurboTax, allowing users to import their transaction information seamlessly for accurate tax filing.
ZenLedger offers various pricing plans based on the number of transactions and features required by users. Plans range from a Free Plan for under 25 transactions to an Executive Plan for up to 5,000 transactions.
ZenLedger offers email support, live chat, and a comprehensive help center with articles and guides. The platform also provides educational resources such as webinars, a blog, and a knowledge base.
ZenLedger stands out with its extensive support for DeFi protocols and NFT platforms. When comparing alternatives, consider factors like features, pricing, ease of use, and support for your specific needs. Popular alternatives include CoinTracker, CoinLedger, and Koinly.
READ MORE: SEE THE BEST BANK BONUSES HERE AND THE BEST INVESTING BONUSES HERE.
Discover more from MoneysMyLife
Subscribe to get the latest posts sent to your email.
