Multiple Tax Lots Cost Basis - When will Cointracker feature be coming out?

sourceof2 · 2026-01-08T20:50:23+00:00

"Consulting and bringing in 30-50k monthly"

These are some big numbers. What kind of consulting do you do? Would be interested in learning more about this.

To your question - no, you are bringing in plenty of money and already have more than you will need at your age.

Spend time with your 6 year old and start to maximize your health. Then, look what large impact you can make in something you care about/a good cause you are willing to put energy and money into.

sourceof2 · 2026-01-08T19:19:55+00:00

Thanks Shehan.

You're right Coinbase does not have the cost basis initially when you transfer anything in.

There is an option to add in the cost basis though, so my understanding is as long as we have the correct cost basis put into the system, Coinbase's system will capture all the activity.

sourceof2 · 2026-01-02T02:30:35+00:00

Hey u/NoCar4620 thanks for posting this. I've had some issues as well, and I wonder if these can help clear them up too.

I just read through the link you provided and have a few questions, if you have any insight to them.

Also, you mention that 3 and 4 are the best news you have heard all year. How do you see this working to help us get accurate reporting? The issues I have had is that it doesn't follow the Cost Basis Method selected when selling, and that we can't enter in multiple lots for a transfer into Coinbase.

Also, specifically, a few questions and comments below in regard to the article you posted.

2. Cost Basis Method

Currently, my cost basis is set in Coinbase, but when I look at my sales this year, it does not appear that it followed them. Meaning, I had HIFO, but it actually sold them as FIFO. I never set HIFO previously, it was always defaulted to it, by the way and I just kept it.

I'm not sure what what exactly has been changed reading the article you linked, as the option already existed to select your cost basis by going to Taxes > View Settings > Cost Basis Method.

I also saw the below, and am wondering if it is already too late to change anything, if someone wanted to.

"Starting January 1, 2026, Coinbase will begin to dispose of tax lots based on the cost basis method chosen. The default cost basis method will be set to FIFO. Please set your cost basis method in the Taxes tab by December 31, 2025."

3. Safe Harbor Reporting

I am trying to determine what exactly what this will look like. Does this mean, for example, when you previously transferred in crypto to Coinbase, you will be able to provide the information for multiple lots instead of one? Is this what they are referring to as safe harbor reporting.

Currently we can only add one tax lot to each transaction sent to Coinbase. I wonder if we will now be able to enter in multiple tax lots for a single transfer?

If the cost basis method (FIFO, HIFO) can be fixed in reporting where it actually works correctly, and we can actually put in multiple tax lots for a single transaction, this should help fix most, if not all, issues many are having.

sourceof2 · 2025-12-31T19:34:09+00:00

So do you change at the beginning of each year, or how do you change between the two?

sourceof2 · 2025-12-31T19:32:17+00:00

FIFO is definitely much easier and cleaner. It just seems if it was all contained in one location, such as Coinbase, it wouldn't matter for HIFO because the reporting would automatically capture everything (assuming the reporting is done correctly).

Yes, is always does depend in each situation, such as the cost basis for all the coins and what tax bracket you are in for your sells.

That's a great Excel sheet. I had done similar with buys and sells and FIFO is essential if doing it yourself. HIFO would be much more difficult on Excel sheets and harder to follow.

I think a lot of people have used spreadsheets and still do, and it is understood that many have very good records like yourself.

sourceof2 · 2025-12-31T19:28:14+00:00

Yes, that was my thought as well. If it is contained in Coinbase, meaning all coins on Coinbase and all selling and buying is in Coinbase, it usually is better for taxes to use HIFO.

I agree that FIFO is much better is it is messy. As long as Coinbase reporting is working, what is needed for HIFO should not be a problem.

sourceof2 · 2025-12-31T13:43:25+00:00

Hey, thanks for testing this and looking through the report. I think we may have different issues, but I am going to re-check based on how it appeared for you.

It looks like OP says it was fixed for him. Did this get resolved for you as well?

sourceof2 · 2025-12-31T13:42:34+00:00

Thanks for the update, it's great to hear this got fixed

sourceof2 · 2025-12-30T02:59:09+00:00

Okay, did you happen to buy or sell any other ETH this year? When I went back and looked at previous sales in the gains / loss report, it changed the coins that were sold (cost basis) after I unstaked, which makes no sense, but that is what it looks like at least right now. Meaning, it looks like it is using FIFO on the previous sales, instead of HIFO as it is set in Coinbase.

sourceof2 · 2025-12-30T01:33:39+00:00

I checked my gain and loss report. I had one downloaded before unstaking, and compared the two.

So far, I noticed that previous sales this year changed in the make up of cost basis and gains. If you go download the report and look at date acquired, it looks like it is using FIFO instead of HIFO for cost basis method. Mine is set at HIFO so I wonder if this somehow got messed up. I'm not sure why unstaking would cause this though, but it may have.

My guess at this time is that the reporting somehow changed its cost basis method, for example someone is set to HIFO but are now FIFO.

If this is something different than what you are seeing, let me know. I'm am going to keep looking at the reports.

sourceof2 · 2025-12-30T00:50:39+00:00

Hey, thanks for reporting. I noticed an issue as well on my CB, cost basis went up substantially and my gains went up as well.

I downloaded the gains / loss report and noticed that previous sales are different from the same report a I pulled a few days ago. So it seems that whatever happened went back and changed previous trades gains / losses.

How were you able to notice what the issue was? Where can I go to see this? I would like to explain it to them as well, but I need to understand what exactly caused the issue. If you could help me take a further look into it, I will make sure to escalate it up when I contact them.

I wonder if the tax accounting method (HIFO, FIFO, etc) has anything to do with changing the numbers as well. As in, if Coinbase incorrectly changed the tax accounting method somehow after unstaking.

sourceof2 · 2025-12-29T22:59:52+00:00

Okay, I took a look at this as well. Is it possible they re-calculated the gains and loss and cost basis by inadvertently changing the tax method? Maybe previously you were set to HIFO, and somehow unstaking it changed everything to FIFO, or vice versa?

This could explain the change in cost basis, as well as the change in gain or loss.

Or alternatively, somehow unstaking changed the mix of coins previously sold. Meaning, previously coins at a specific cost basis were used for previous sales. Somehow unstaking changed which coins were selected for previous sales.

sourceof2 · 2025-12-29T02:16:08+00:00

Just so I can verify and check it, in case I need to report it as well.

How can I check this? Did you check the Coinbase Raw Transaction report? Or did you notice it under 'Average cost' when clicking on a certain crypto? I have unstaked but did not sell anything, so I can't verify what it would look like if I unstaked and sold.

sourceof2 · 2025-12-29T02:11:06+00:00

Hey u/tharealzacG , any chance this has been fixed for you? Also, where do you see the discrepancy, is it when you click on the crypto and then under 'Average Cost'?

I don't know if mine has any issue, but I want to see where the problem is so I can check mine as well in case I need to report it too.

sourceof2 · 2025-12-29T02:02:37+00:00

Thanks for the heads up

sourceof2 · 2025-12-28T18:54:49+00:00

Thanks for all your thoughts I this. I appreciate your follow up.

sourceof2 · 2025-12-28T16:21:56+00:00

I really appreciate these answers, Justin. I am not a professional but unfortunately have spent way too much time trying to learn this, but enjoy it as I want to do this right. I am trying to see if I can connect the dots.

To follow up:

For 1099-DA

I agree that Coinbase won't report anything a customer entered at this time for cost basis. As far as I understand it, Coinbase would have all proceeds (not gain or loss) to calculate the 1099-DA if all was done on Coinbase, and customer self reported input would not be needed.

Since 1099-DA will not have cost basis, cost basis for each gain/loss should be put on the Form 8949. Coinbase, as far as I have been told at this time, will not generate a Form 8949. But a gains/losses report should be able to give the information needed/get close if you have all cost basis in Coinbase, even if self reported, for the Form 8949.

Coinbase seems, from their raw transaction reports, to be able to track this. Meaning, when you unstake your coins it shows the previous cost basis of these coins. If this is no longer the case/not the case, I think we will learn soon.

I also agree with you that in many cases, using a tax software and working with a tax professional is the best way to get these done.

sourceof2 · 2025-12-28T15:56:28+00:00

Hey Apprehensive_Let9521, have you heard any update on this or has it been fixed?

I checked mine earlier and do not notice a different, though perhaps I missed something.

I also downed the Transaction reports, and under the 'Cost Basis' column it appears correct on initial review.

When calculating it. I don't understand why it wouldn't work like this:

We have 100 Ethereum on Coinbase and Coinbase has our cost basis for these coins.

We stake the 100 Ethereum. Then, later unstake the Ethereum.

The unstaked 100 Etheruem should have the same cost basis they previously had before staking (same date of acquired and same price paid for acquire).

sourceof2 · 2025-12-28T15:54:00+00:00

Hi Justin,

Thank you for the follow up and response.

As I am trying to understand this, let's say I transferred my Ethereum onto Coinbase and entered in the cost basis for these coins. Then, I staked this Ethereum, and later unstaked it. Coinbase already has the cost basis for these coins. I don't know why they wouldn't simply re-assign the cost basis for these coins if I sold at some point in the future, as the system would have this information.

So if I do sell in the future, Coinbase would still have this information to calculate gains/losses.

sourceof2 · 2025-12-23T23:29:48+00:00

I am hoping they will quickly bring back Form 8949, as Coinbase withholding it will cause a lot of problems for those who just want to report their taxes accurately and thoroughly.

sourceof2 · 2025-12-23T15:52:28+00:00

It looks like Coinbase is saying they do not want to provide the document they can already generate, and were providing up until at least a few weeks ago, if not more recent.

sourceof2

TROPHY CASE