Coinpanda integrates directly with PayPal to simplify your tax reporting. Learn how to calculate your taxes and generate all required tax documents for PayPal quickly.
If you have been trading, staking, or earning crypto on PayPal, you must also calculate your taxes for all transactions. Coinpanda makes calculating crypto tax for PayPal quick and easy by following these steps:
Create a free account and connect PayPal to Coinpanda safely and securely
Next, Coinpanda will import all your trades, deposits, withdrawals, and rewards from PayPal
Wait for Coinpanda to automatically calculate capital gains and income for your PayPal transactions
Download your PayPal tax report
File your PayPal taxes before the deadline
Supported transactions
To calculate your taxes accurately, you must import all transactions from PayPal to Coinpanda. Coinpanda supports the following transactions from PayPal today:
Tx Type
API import
CSV file upload
Deposits
Withdrawals
Trades
How to connect PayPal with API
PayPal does not support API connection at the moment. Please upload a CSV file with your transactions instead.
How to connect PayPal with CSV
Follow these steps to export your transactions from PayPal:
Log in to your account on PayPal
Look for a page or button on PayPal to export a CSV file containing your transaction data
Remember to export files for all your transactions:
deposits
withdrawals
trade history
interest payments
staking rewards
Upload the CSV file(s) to Coinpanda
CSV files exported from PayPal seem to not always have the same header format. If file upload is not working for you, please contact us at support@coinpanda.io and include the file as an attachment.
How are PayPal transactions taxed?
The exact tax implications on PayPal transactions depend on which country you live in and the type of transactions you have made. In general, you must pay either capital gains tax or income tax on your cryptocurrency transactions on PayPal.
Capital gains tax: Whenever you sell a cryptocurrency for more than you purchased it for, you generate a capital gain. On the other hand, if you sell the cryptocurrency for less than you paid initially, you have a capital loss, which can offset other gains in most cases.
Income tax: Earned cryptocurrency on PayPal, such as staking, interest, bonuses, and referral rewards, is typically seen as taxable income from a tax perspective and must be reported in your tax return.
To learn more about how PayPal transactions are taxed in your country, we recommend reading our in-depth guides to cryptocurrency taxes.
How do I file my PayPal taxes?
First, you must calculate capital gains and income from all taxable transactions on PayPal. When you have this information ready, you can report capital gains and income together with other forms of income such as employment and dividends in your annual tax return.
To calculate your capital gains, you must first export a complete history of all transactions made on PayPal. Once you have this data, you can calculate your capital gains or losses by determining the price at which you bought the cryptocurrency (your cost basis) and the price at which you sold it (your proceeds). Luckily, Coinpanda can help you with this and generate ready-to-file tax forms quickly and easily.
After downloading your PayPal tax statements from Coinpanda, the last step is to report the capital gains and income on your tax return before the deadline. Most countries allow you to self-declare taxes online in 2023, but you can also get help from a professional tax accountant to file taxes for you.
How do I troubleshoot the imported PayPal transactions to Coinpanda?
While we strive every day to ensure the highest possible accuracy for importing transactions from PayPal to Coinpanda, it can happen that either not all transactions are imported or that some data is imported incorrectly. Some reasons for this can be:
Changes in the PayPal API
Updated CSV file format
PayPal does not provide a complete record of all transactions
To get the best help from Coinpanda support, you must first identify which transactions are missing or incorrectly imported. To do this, we recommend comparing your transaction history on PayPal with the transactions imported into your Coinpanda account. See also our help article with an overview of known exchange API limitations.
The quickest way to get help from our dedicated support team is to send a message in the Live Chat.
No, PayPal does not provide complete and ready-to-file tax documents. This is because PayPal does not have knowledge of your transactions on other exchanges, platforms, or from your self-custody wallets.
How do I get PayPal tax documents?
The easiest way to get tax documents and reports is to connect your PayPal account with Coinpanda which will automatically import your transactions. After that, you can download complete tax reports for PayPal.
Does PayPal provide financial or end-of-year statements?
No, PayPal does not provide a complete financial or end-of-year statement for your crypto transactions. However, you can get this using a crypto tax calculator.
Do I have to pay taxes on PayPal?
Yes, all transactions on PayPal involving the disposal of a crypto asset are in most cases taxable. You must also pay income tax on earned crypto such as staking, interest, or referral rewards.
Is transferring to PayPal taxable?
No, transferring cryptocurrency to PayPal is not taxed as long as you transfer between your personal wallets or exchange accounts.
How do I avoid paying taxes on PayPal?
It is impossible to avoid paying taxes completely on PayPal legally if you live in a country that taxes cryptocurrency. However, there are several ways you can reduce your taxes, such as tax loss harvesting.
Can PayPal calculate my taxes?
PayPal cannot calculate your taxes since it does not have knowledge of your transactions made on other exchanges or platforms. However, if you have only interacted with crypto on PayPal your entire life, it could technically do so.
Is PayPal safe?
PayPal is generally considered to be a safe exchange. Although PayPal follows industry best practices for safety and to prevent malicious attacks, there is always a risk associated with keeping your crypto on centralized third-party exchanges including PayPal.
To provide the best experiences, we use technologies like cookies to store and/or access device information. Consenting to these technologies will allow us to process data such as browsing behavior or unique IDs on this site.
Functional
Always active
These cookies are essential for the proper functioning of the website and cannot be disabled.
Preferences
The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
Analytics
These cookies collect information about how you use our website. All of the data is anonymized and cannot be used to identify you.The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
Marketing
The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
