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Warnings In The Capital Gains Report

TL;DR:
 Warnings in the Capital Gains Report usually indicate that a sale occurred without a matching purchase. This results in CoinTracking assuming a zero-cost basis for the sold asset, which inflates gains and taxes. Check your transactions for completeness, especially if you're using Depot / Lot separation. Deposits and withdrawals are not considered taxable events unless misused.


What triggers a warning in the Capital Gains Report?

You will see a warning if the tax report detects a sale of an asset without a corresponding purchase. This situation leads to:

  • default cost basis of 0 USD (or your selected fiat currency) for that asset

  • Inflated capital gains and higher taxes

CoinTracking assumes you received the asset for free, as no purchase record exists in your account.


How do I resolve missing purchase warnings?

Ensure that:

  • All your purchases are properly recorded as Trade transactions

  • You have not entered purchases as Deposits, which have no cost basis

To review affected transactions:

  • Open the "Overview of all created Tax Reports" table

  • Look for rows marked with a warning


Do Deposits and Withdrawals affect capital gains?

Generally, no:

  • Deposits and withdrawals are considered transfers, not taxable events

  • They are not used to calculate gains or losses because they lack cost basis data

If you incorrectly enter purchases as Deposits, your capital gains may be overstated. Always use the Trade type for acquisitions.


What about warnings with Depot / Lot separation enabled?

When using Depot / Lot separation, CoinTracking calculates cost basis based on the flow of assets between accounts:

  • withdrawal generates the cost basis

  • deposit should match the withdrawal to transfer that basis

  • If the deposit timestamp is earlier than the withdrawal, the cost basis won’t transfer, and you'll get a warning

Fix:

  • Correct the timestamps so the deposit occurs after the withdrawal

  • Re-run the tax report to confirm the warning is cleared

You can enable Depot / Lot separation warnings in the Tax Report settings for detailed insights.


Summary

  • Always record purchases as Trades, not Deposits

  • Deposits and withdrawals do not affect tax unless misused

  • If you see warnings, check for missing or incorrectly ordered transactions

  • Pay special attention if using Depot / Lot separation

Fix warnings by adding trades or adjusting timestamps


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