If you are involved with a hard fork, you will receive new coins that must be entered in the affected widget. The acquisition costs always amount to zero. If you sell the new coins within one year of receiving them, you generate taxable income from speculative transactions. In contrast to hard forks, soft forks and token swaps are seen as a technical update that does not trigger a taxable event. Find out more about the taxation of hard forks in the help center section dedicated to tax info.
To enter a hard fork in Blockpit, you need to specify the currency received.
- In your desired manual widget, click Add Transaction.
- Under "Transaction Type", choose "Hard fork".
- Enter the date and time of the transaction.
- Enter the currency and the quantity of the new coin you received from the fork. In the input field for the currency, you can either choose from the drop-down list or enter a currency manually if it does not appear in the list.
- You can choose to add a note. Notes can be helpful to sort trades into categories. You can also indicate that the transaction is to be ignored in the balance.
- Click Save to display the transaction in the widget.
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