Crypto Tax Examples USA 2024 — IRS Step-by-Step Calculations

Concrete IRS tax calculations for the most common crypto scenarios. See exactly how short-term gains, long-term gains, loss harvesting, and staking income are taxed — with step-by-step calculations based on 2024 IRS rules.

Key IRS Rules for Crypto in 2024

Short-term gains (≤ 365 days): Taxed as ordinary income at your marginal rate (10%–37%)
Long-term gains (> 365 days): Taxed at 0%, 15%, or 20% depending on taxable income
Staking rewards: Taxed as ordinary income at FMV when received — no minimum exemption
Loss harvesting: Capital losses offset gains; up to $3,000/year deductible against ordinary income
No wash-sale rule: You can sell and immediately repurchase crypto to harvest a tax loss (unlike stocks)
FIFO default: The IRS expects FIFO cost basis, but HIFO and specific ID are allowed with proper records
Report on Form 8949: Every crypto disposal — gains and losses — must be reported, even if no tax is owed