How are Binance transactions taxed?
Most Binance transactions are taxable.
Capital gains tax: You pay tax when you sell, trade, or spend crypto on Binance. Each sale or trade is a taxable event, and the gain or loss is based on your cost basis.
Income tax: Applies to staking, airdrop, referral, or earn rewards you receive through Binance. The fair market value at receipt is considered income.
Use CoinTracker to track your taxable events and cost basis accurately across Binance and all your connected wallets.
Do I have to pay taxes on Binance?
Yes, if you sell, trade, or earn crypto on Binance, those transactions are subject to tax.
You don't owe taxes for simply holding crypto. However, when you dispose of assets or earn rewards, you must report them. CoinTracker simplifies this process with automatic syncing and categorization.
Does Binance provide tax documents?
Yes, Binance provides users with downloadable tax statements and reports. Depending on your region, you may also receive official forms (such as 1099-MISC, 1099-B, or 1099-DA in the U.S.).
Always double-check your tax obligations since Binance activity alone may not reflect your complete trading history.
How to get your Binance tax documents
Log in to Binance.
Navigate to Profile → Tax Center (or Reports → Transaction History).
Select the tax year.
Download your tax report or export CSV of all transactions.
Upload or connect Binance to CoinTracker to calculate your complete tax summary automatically.
When does Binance issue Form 1099-MISC?
If you earned over $600 USD in income (staking, referral, or other rewards) in a tax year, Binance typically issues Form 1099-MISC by January 31 of the following year.
Note: This form only applies to U.S. users and reports income-type transactions—not trading gains or losses.
When does Binance issue Form 1099-B?
As part of evolving crypto tax regulations, Binance may issue Form 1099-B to U.S. customers for trades and disposals on the platform. The IRS filing deadline is January 31, and distribution to users generally follows that schedule.
When does Binance issue Form 1099-DA?
Beginning with the 2025 tax year, Binance (as a U.S. broker) must issue Form 1099-DA for digital asset transactions.
This new form reports sales, trades, and disposals of crypto assets to the IRS, with forms available to users by January 31 of the following year.
When does Binance issue Form 1099-K?
Historically, Binance did not issue Form 1099-K. Under the new broker reporting rules, Form 1099-DA replaces 1099-K for digital assets starting in 2025. You may still receive 1099-MISC or 1099-B depending on your activity.
Why aren't my Binance documents accurate?
Your Binance reports only include on-platform transactions.
If you've sent crypto to DeFi, other exchanges, or self-custody wallets, those events aren't reflected in Binance's data.
CoinTracker unifies all your sources to calculate complete and accurate cost basis, income, and gains across your entire portfolio.
Does Binance automatically deduct taxes?
No, Binance does not withhold or automatically deduct taxes. You're responsible for filing your tax returns.
CoinTracker calculates and generates all the necessary reports (e.g., Form 8949, Schedule D) based on your Binance data.
Does Binance report to tax offices?
Yes. Binance reports certain user data to tax authorities (such as the IRS) through official forms like 1099-MISC, 1099-B, and soon 1099-DA.
However, these reports only reflect on-platform activity, so users should still reconcile all transactions across wallets and exchanges.
Does Binance provide financial or end-of-year statements?
Yes. Binance users can download official tax reports, transaction exports, or account statements directly from the Tax Center.
Integrating these files with CoinTracker ensures accurate end-of-year summaries and tax filings.