Does Kraken Provide Tax Documents for Your Transactions?

Cryptocurrency trading comes with tax obligations, and tracking transactions is essential for accurate reporting. Many exchanges, including Kraken, provide documents to help users calculate taxable gains, but the availability and type of documentation vary based on transaction volume and income earned.

Understanding which forms are available and how to access them ensures you have the necessary records when filing taxes.

Types of Distributed Forms

Kraken provides several types of records to help users with tax filings. These documents summarize overall activity, list individual trades, or detail income from staking and rewards.

Exchange-Provided Summaries

Kraken generates downloadable summaries outlining a user’s trading activity, including total purchases, sales, and withdrawals over a specific period. These reports do not calculate tax liabilities but serve as a starting point for determining capital gains or losses. Since Kraken does not report cost basis, users must track the purchase price of assets to calculate taxable income accurately.

Many traders import this data into third-party tax software, which applies cost basis methods such as FIFO (First-In, First-Out) or LIFO (Last-In, First-Out) to determine gains. These summaries help frequent traders consolidate trading data into a single document, reducing the need to sift through individual trade records.

Transaction Breakdown Statements

For a more detailed record, Kraken provides downloadable transaction history statements, typically in CSV format. These include each trade, deposit, withdrawal, and fee, along with timestamps, asset quantities, and execution prices. This granular data is essential for users following accounting methods like Specific Identification, which allows taxpayers to select which units of cryptocurrency are sold to optimize tax outcomes.

Transaction statements help reconcile discrepancies if tax authorities request verification. The IRS recommends maintaining documentation for at least three years in case of an audit, though longer retention may be necessary in cases of substantial underreporting.

Income-Related Documentation

Kraken issues records for income earned through staking, referral programs, or other reward-based features. Depending on earnings and location, Kraken may distribute tax forms such as Form 1099-MISC, which reports miscellaneous income exceeding $600 to the IRS and the taxpayer.

Staking rewards are taxable at their fair market value when received, meaning users must determine the USD value at the time of distribution. Unlike capital gains, which are taxed based on holding periods, staking income is subject to ordinary income tax rates. Users should track when and how much they receive to ensure their reported income matches exchange-provided documentation. Keeping independent records can help resolve discrepancies, especially as tax treatment for crypto-related income continues to evolve.

Thresholds for Document Issuance

Kraken determines whether to issue tax documents based on IRS reporting thresholds. The most common form issued is Form 1099-MISC, triggered when a user earns at least $600 in miscellaneous income, such as staking rewards or referral bonuses. Kraken sends a copy to both the user and the IRS if earnings surpass this amount. Users earning less than $600 in such income will not receive a 1099-MISC but are still responsible for reporting their earnings.

For cryptocurrency sales, Kraken does not currently issue Form 1099-B, which brokers traditionally use to report securities sales. This differs from platforms like Coinbase, which began issuing 1099-B forms to certain users following increased IRS scrutiny. Because Kraken does not provide this form, users must manually track their cost basis and calculate capital gains or losses. Missing cost basis information can lead to overestimated tax liabilities, particularly for high-frequency traders or those transferring assets between multiple platforms.

The IRS has introduced new reporting requirements under the Infrastructure Investment and Jobs Act, mandating that cryptocurrency exchanges report user transactions similarly to traditional financial institutions. While these rules take full effect in 2025, Kraken and other exchanges may adjust their reporting practices in anticipation of these changes. Users who have not previously received tax forms from Kraken may see new documentation requirements as regulatory scrutiny increases.

Steps to Access Your Forms

Kraken allows users to retrieve tax-related documents directly from their accounts. To access them, users should log in and navigate to the section where financial reports and statements are stored, typically under account or tax reporting settings.

Tax documents are usually generated at the start of the year for the previous tax period, so users should check for updates around January or February when exchanges finalize reporting. Once inside the reporting section, users can filter and select the specific year or type of report they need. Kraken provides these documents in downloadable formats such as PDF or CSV. CSV files are particularly useful for users leveraging third-party tax software, as they can be imported into platforms that automate gain and loss calculations. Keeping digital backups of these files is advisable, as tax authorities may request supporting documentation in case of an audit.

Ensuring Accuracy and Completeness

Maintaining accurate tax records requires more than just downloading Kraken’s documents. While the exchange supplies transaction data, users must verify that all information aligns with their actual trading activity. Discrepancies can arise due to missing transaction history from external wallets, incorrect timestamps caused by time zone differences, or unaccounted-for fees that impact cost basis calculations.

One way to ensure records are complete is by reconciling exchange data with independent transaction logs. Users who move assets between platforms should maintain detailed records of transfers, as Kraken’s reports will not reflect cost basis for assets acquired elsewhere. Proper documentation of acquisition dates and purchase prices is essential for distinguishing between short-term and long-term gains, which are taxed at different rates—short-term gains are subject to ordinary income tax rates (ranging from 10% to 37% in the U.S.), while long-term gains are taxed at 0%, 15%, or 20%, depending on income level.

When Documents Aren’t Provided

Some Kraken users may not receive tax documents, even if they have engaged in trading or earned income on the platform. This typically happens when earnings fall below reporting thresholds or when the exchange is not required to issue specific forms for certain transactions. While this does not exempt users from tax obligations, they must take extra steps to ensure their records are complete.

If Kraken does not provide a tax form, users should generate their own reports using the platform’s transaction history tools. Exporting a full trading log and categorizing transactions—such as purchases, sales, staking rewards, and transfers—can help reconstruct taxable events. Users who have moved assets between wallets or other exchanges should ensure that cost basis information is properly tracked, as missing data can lead to inaccurate tax calculations. Consulting a tax professional or using crypto-specific tax software can help reconcile records and ensure compliance with IRS reporting requirements.