Turn a red trade into a tax asset
A losing position is not only a loss — realised at the right time it can shrink the tax owed on your winners. This tool estimates that saving so you can decide whether harvesting is worth it. Track the gains you are offsetting with the crypto tax calculator.
Selling losers to offset winners — the one tax strategy that works in crypto
Tax-loss harvesting: sell a position at a loss to realize the loss for tax purposes, then buy back (or a similar asset) to maintain exposure. In traditional stocks the IRS wash-sale rule prevents buying back within 30 days. Most countries currently don't apply wash-sale rules to crypto — you can sell BTC at a loss and rebuy immediately.
Example: you have $10,000 capital gains from ETH profits taxed at 30% — $3,000 tax bill. You also hold $8,000 unrealized loss in SOL. Sell the SOL, lock in $8,000 loss, offset most of the gain: net taxable gain = $2,000, tax = $600. You saved $2,400. Rebuy SOL immediately at the same price if you want to stay long.
Timing matters: harvest losses before year-end, not after. Losses harvested in January only help next year's taxes. Check your jurisdiction's specific rules — some countries tax crypto differently (income vs capital gains), and the math changes based on your effective tax rate on the gains you're offsetting.
Related: ROI calculator, FIFO/LIFO cost basis, profit calculator.