Have you received a notice from the IRS/State about your bitcoin or ether? Do you wish to amend multiple prior year returns to claim crypto loses or avoid a criminal investigation? Are you a crypto beginner who wants to launch your affairs in order, or a foreign national who wants to determine which crypto is taxable in the U.S.? Do you want an expert to work with your attorney on divorce or bankruptcy proceedings that involve crypto? Do you want to know which crypto you should donate to your favorite charity or alma mater?


Our process is simple:
- Choose a Crypto tax package that best meets your needs
- Specify the number of years you wish to reconcile/file tax for
- Proceed to Check Out to purchase
- Schedule a crypto tax appointment
- Complete our digital questionnaire, emailed to you within 24 hours
- Meet (online or office) with a crypto tax expert for your appointment
We can help you with:
- Mid-year/End-year reconciliations for crypto loss harvesting/tax efficiency.
- Monitoring crypto exchange reports made to the IRS.
- Fixing records for missing transactions, hacks, exchange closings, etc.
- Filing accurate tax returns for income, expenses, or gains/losses
- Filing U.S citizen/expatriate (Form 1040) & Foreign resident tax (Form 1040NR/1042)
- Amending back-year tax returns without triggering audits/prosecution
- Responding to IRS/State tax notices
- IRS/State crypto audits/collections representation (Innocent Spouse, Offer-in-Compromise, Installment Agreements, Payroll/Sales taxes, etc.)
- Working with your attorney on criminal tax, divorce, & bankruptcy cases involving crypto.
At Archer Solutions , you will never feel like an item on a conveyor belt. We pay personal attention to your crypto and tax affairs to afford you the most accurate and advantageous outcomes.
We support all exchanges (domestic and foreign); guarantee you secure operations; and no crypto tax case is too hard for us to handle.
All our clients enjoy our AuditGuard advance warning service. We believe that no one should be caught unaware by an IRS notice or an Exchange’s third-party report to the IRS.
- Free Crypto Tax Account ^
- Full-Service Tax Prep or Working with Your CPA / Tax Software
- Unlimited Exchanges / Wallets
- Up to 1000 Transactions
- One State Tax Return
- Schedule D
- Form 8949
- Two W2s
- IRS/State Audit Assistance *
- Encrypted Communication & Information Security
- Free Crypto Tax Account ^
- Full-Service Tax Prep or Working with Your CPA / Tax Software
- Unlimited Exchanges / Wallets
- Up to 10,000 Transactions
- AuditGuard (Get Advance Warning of IRS Audits / Notices)
- DeFI & NFT Reconciliation
- ICO & OTC Transactions
- Tax Loss Harvesting *
- Low volume Margin / Derivatives Trading *
- Form 1040 and / or 1040 NR
- Multi-State Returns
- Amending Prior Year Tax Returns *
- Federal & State Tax Planning *
- Schedule D
- Form 8949
- Unlimited W2s
- 1 Schedule C, Self-Employment (excludes crypto mining)
- 1 Schedule E, Rental Property
- FATCA Compliance
- IRS / State Audit Assistance*
- Free IRS / State Audit Assistance
- Free Basic Tax Debt Resolution Assistance
- Encrypted Communication & Information Security
- Free Crypto Tax Account ^
- Full-Service Tax Prep or Working with Your CPA / Tax Software
- Unlimited Exchanges / Wallets
- Up to 20,000 Transactions
- AuditGuard (Get Advance Warning of IRS Audits / Notices)
- Crypto tax accounting method harmonization platforms (Robinhood, CashApp, etc.)
- DeFI & NFT Reconciliation
- ICO & OTC Transactions
- Gifts / Donations Tax Prep
- Losses, Fraud, Exchange Shutdowns*
- Tax Loss Harvesting*
- High Volume Margin / Derivatives Trading *
- Form 1040 and / or 1040 NR
- Multi-State Returns
- Amending Prior Year Tax Returns *
- Federal & State Tax Planning*
- Schedule D
- Form 8949
- Unlimited W2s
- Multiple Self-Employment / Business Income Returns (Mining or Other Income)*
- Multiple Rental Property Income Return *
- Foreign Income Tax Filing & Credits*
- FATCA Compliance
- FBAR / FinCen 114 Reporting
- IRS / State Audit Assistance *
- Free Basic IRS / State Tax Debt Resolution Assistance
- Year-Round Support
- Encrypted Communication & Information Security
- Free Crypto Tax Account ^
- All services under Ultimate Package
- Multi-year reconciliation
- Blockchain Forensics/Address Tracing
- Reconstruction of asset value
- Accounting for interactions between crypto and gambling/forex trading
- Active IRS/ State crypto tax audit assistance
- Working with your attorney on criminal tax, divorce, & bankruptcy cases involving crypto
- Other complex situations. We’ll take on your headache.
^ introductory offer, limited to first year only
* May require extra fees. If you have any questions, please don’t hesitate to contact us: info@archersolutions.biz
COMMON CRYPTO FAQs and TAX QUESTIONS
Yes. In 2014, the Internal Revenue Service (IRS) clarified that cryptocurrency (e.g., Bitcoin, Ethereum, Ripple, Bitcoin Cash, Tether, Litecoin, EOS, Binance Coin, Bitcoin SV, Stellar, TRON, Cardano, etc.) will be treated as a capital asset, and that capital gains rules shall apply to any gains or losses of such currency. The IRS released further guidance on taxation of cryptocurrency in 2019.
Generally, people either hold cryptocurrency like an investment (treating it like stocks, bonds, or mutual funds); spend cryptocurrency like cash in purchases of goods, services, or other cryptocurrencies; or treat it both as an investment and as cash. All these uses of crypto raise different tax implications.
Crypto is treated like property you own, much like owning a house, a car, stocks, farm animals, or business machinery for instance. As a result, you will incur a gain or a loss when you sell or exchange each individual crypto you own. To calculate your gain or loss, you need to know:
- your crypto’s selling price in U.S. dollars, even if you converted it into other foreign currency (Fiat)
- the exchange value (U.S. dollars) of your crypto on the day you exchanged it for other crypto
- the value of your crypto on the day you bought or acquired it (your basis)
- how long you have owned each crypto (your holding period)
- relevant allowable additions or deductions from basis that apply to crypto (adjusted basis)
Crypto gains will be taxed based on your overall income bracket. Your losses are deductible, subject to the limits of capital losses.
Crypto is highly transferable, but crypto exchanges cannot report on the trades that happen outside their boundaries. If you use multiple exchanges, wallets, or other crypto services outside the exchange that sent you a statement, your report will not be accurate for tax purposes. Also, there is no standard IRS form for reporting crypto transactions. Exchanges and other entities issue a variety of reports—Forms W2, 1099K, 1099B, 1099MISC, etc.—which can be misleading and expensive for tax purposes.
When you are paid in crypto for your services or goods, you report that crypto as ordinary income. Additionally, you will also have capital gains/losses depending on your holding period. If you are self-employed or an independent contractor, your crypto income will be subject to the self-employment tax. Also, if you pay employees using crypto, the wages paid are subject to Federal and State income tax withholding, Medicare and Social Security tax withholding (FICA), and Federal Unemployment Tax Act (FUTA). Such wages must be reported on Form W-2. You may also have to pay state sales taxes if you meet the applicable conditions.
Depending on your peer network, it is easy to convince yourself that no one files crypto taxes. You may even know that the IRS has audited some crypto owners, but still feel anonymous and unreachable. The Crypto space is not the only arena where social proof and overconfidence lead people astray. Still, more and more people are filing crypto taxes in order to focus on managing their investments without the distraction of a looming IRS or State tax audit. Indeed, reconstructing and reconciling multi-year crypto transactions under a tight audit deadline can be time consuming, expensive, and stressful. Given the lack of accurate crypto exchange reporting, the tax preparation process can have the benefit of generating for you the most complete and accurate picture of your crypto holdings.