🟠 Intermediate
Tax & Legal
7 min read
What happens to my Bitcoin at tax time — a calendar
Accepting Bitcoin at your business creates tax obligations. But they’re not as complicated as they sound — especially if you stay organized throughout the year. Here’s the month-by-month picture.
The IRS treats cryptocurrency received as business income the same way it treats any other business income. When a customer pays you $45 in Bitcoin, that’s $45 of taxable revenue — just like if they paid with cash or card. The only difference is you need to record the dollar value of the crypto at the moment you received it.
OrangeTill does this automatically. Every payment is logged with the date, the dollar amount, and the coin. Your history export has everything you need. The calendar below tells you when to use it.
The year at a glance
January
New year, new records. Start fresh. Make sure OrangeTill is logging every payment. If you converted any crypto to dollars last year, note those dates and amounts — conversions are taxable events.
February – March
Gather your records. Export your OrangeTill payment history for the previous year. This CSV has the dollar value of every payment at time of receipt — exactly what your accountant needs.
April 15
Tax filing deadline (US). Your Bitcoin income from the previous year is reported as business income on your Schedule C or business return. If you need more time, file an extension — but pay what you estimate you owe.
June
Mid-year check. Good time to review your records and make sure nothing has fallen through the cracks. If you’ve been converting crypto to dollars, make sure those are logged.
September
Quarterly estimated taxes. If you pay quarterly estimated taxes (most self-employed merchants do), your Q2 payment is due in June and Q3 in September. Include your Bitcoin income in those estimates.
November – December
Year-end prep. Export your full year of OrangeTill history. If you’re holding any crypto and considering selling before year end, consult your accountant about timing and tax implications.
January 15
Q4 estimated tax payment due. Cover your Q4 income — including any crypto received October through December.
The two things that actually matter
If you remember nothing else from this article, remember these two things:
1. Record the dollar value when you receive it. OrangeTill does this automatically. Every payment shows the USD amount at time of transaction. Keep that data.
2. Conversions are taxable events. If you convert Bitcoin to dollars, that conversion may trigger a capital gain or loss depending on how the price has moved since you received it. Your accountant needs to know about these.
A note from Hodl
OrangeTill exports your payment history as a CSV with Koinly-compatible columns. If you use Koinly for crypto tax tracking, it reads this file directly. Your accountant will be thrilled. Or at least mildly less stressed.
What OrangeTill gives you automatically
Your export includes
- Date and time of every payment
- Dollar amount at time of transaction
- Crypto amount received and which coin
- Tax subtotal (if you have a tax rate set in Settings)
- Koinly-compatible format for crypto tax software
This is everything your accountant needs to report crypto income correctly. The recordkeeping is already done — you just need to hand them the file.
Your records are already kept.
OrangeTill logs every payment with the dollar value at time of receipt. Export anytime, hand to your accountant, done.
Try OrangeTill Free →
Disclaimer: This article is for informational purposes only and does not constitute tax, legal, or financial advice. Tax rules for cryptocurrency are complex and vary by jurisdiction. Consult a qualified tax professional for advice specific to your situation. OrangeTill is a payment software company, not a tax advisor.
← Back to Learn