No worries. Be patient. Learning how to do bookkeeping right is like solving little puzzles. It takes time. Eventually you see patterns.
(Two weeks ago I reviewed ten years of health care bills and finally figured out a decent way to handle all the variations of billing and converted all of them and reconciled a ton of errors I had made in recording. I need to write a doc on it) On Tue, Jan 19, 2021, 00:06 Ghanashyam Prabhu <[email protected]> wrote: > Got it, I have updated the changes. I now understand the capital gains > recording concept. > > > On Mon, 18 Jan 2021 at 18:55, Martin Blais <[email protected]> wrote: > >> On Mon, Jan 18, 2021 at 7:23 PM Ghanashyam Prabhu <[email protected]> >> wrote: >> >>> I am currently maintaining a beancount ledger file for tracking my >>> crypto transactions and I'd like to seek advice on the workflow especially >>> when recording capital gains from these transactions. Below is an example. >>> >>> Let's say I accumulated some BTC at some cost basis of 3500 and have a >>> capital gain of 256.52$ from this transaction below. This transaction >>> resulted in a total cash of $3756.53 which got deposited in my Coinbase >>> account. What is the recommendation to track the capital gains correctly? >>> >> >> What precisely do you mean by "track"? >> Tell us what you need to do. >> >> >> >>> Also is there a way I can automatically calculate short term and long >>> term capital gains that could have resulted from this transaction? >>> >> >> All the data is there, but you have to write scripts. >> e.g. >> >> https://github.com/beancount/beanlabs/blob/master/beanlabs/washsales/list-wash-sales.py >> >> BTW, this will be much easier in the next version because I'm going to >> add a way to easily extract "trades" with incoming and outgoing postings >> matched up. >> >> >> >>> >>> I currently plan to add the below >>> >>> 2020-11-26 * "Coinbase" "Sell BTC at Coinbase" >>> Assets:US:Crypto:Coinbase:BTC -0.22712412 BTC {} @ 16539.50 USD >>> Assets:US:Crypto:Coinbase:Cash 3500.00 USD >>> Income:Crypto:Capital-gains 256.52 USD >>> >>> After this sell, I re-invested all of this cash of $3756.52 again to buy >>> BTC again a few days later. At this point should I split the transaction to >>> use the Cash of 3500 from Coinbase account and use a fresh $256.52 deducted >>> from a different account (other than Crypto:Capital-gains)? >>> >> >> No. You entered this wrong. It should be: >> >> 2020-11-26 * "Coinbase" "Sell BTC at Coinbase" >> Assets:US:Crypto:Coinbase:BTC -0.22712412 BTC {} @ 16539.50 USD >> Assets:US:Crypto:Coinbase:Cash 3500.00 + 256.52 USD >> Income:Crypto:Capital-gains -256.52 USD >> >> The number from the second leg is something you should be able to import >> from your account/institution, and in practice you'd write it like this >> (same numbers): >> >> 2020-11-26 * "Coinbase" "Sell BTC at Coinbase" >> Assets:US:Crypto:Coinbase:BTC -0.22712412 BTC {} @ 16539.50 USD >> Assets:US:Crypto:Coinbase:Cash 3756.52 USD >> Income:Crypto:Capital-gains >> >> >>> I think I should be using $252.56 from a different account since using >>> it from the Capital-gains account will reduce my actual Capital-gains to 0 >>> i.e. which is incorrect. On the other hand, using money from a different >>> account is also incorrect since I re-used the money from total cash >>> generated by the Sell transaction. >>> >>> Option 1 (this seems incorrect) >>> 2020-11-28 * "Coinbase" "Buy BTC at Coinbase" >>> Assets:US:Crypto:Coinbase:BTC 0.20778508 BTC {} @ 18078.87 >>> USD >>> Assets:US:Crypto:Coinbase:Cash -3500.00 USD >>> Assets:US:BofA:Checking -256.52 USD >>> >>> Option2 (this seems incorrect since it reduces Capital-gains to zero) >>> 2020-11-28 * "Coinbase" "Buy BTC at Coinbase" >>> Assets:US:Crypto:Coinbase:BTC 0.20778508 BTC {} @ 18078.87 >>> USD >>> Assets:US:Crypto:Coinbase:Cash -3500.00 USD >>> Assets:US:Crypto:Coinbase:Capital-gains -256.52 USD >>> >> >> Capital-gains is never an Assets account. >> Those two transactions make no sense to me. >> Just record it like the second one I suggest and it all just works out. >> Remember: you record what's actually happening in the accounts. >> >> >> >>> >>> Please suggest what is a good way to handle this where I'd like to track >>> Capital Gains at the end of the year for taxation. >>> >>> Thanks >>> Ghanashyam >>> >>> -- >>> You received this message because you are subscribed to the Google >>> Groups "Beancount" group. >>> To unsubscribe from this group and stop receiving emails from it, send >>> an email to [email protected]. >>> To view this discussion on the web visit >>> https://groups.google.com/d/msgid/beancount/df24be66-a890-4c87-bbca-e8c3afdfa532n%40googlegroups.com >>> <https://groups.google.com/d/msgid/beancount/df24be66-a890-4c87-bbca-e8c3afdfa532n%40googlegroups.com?utm_medium=email&utm_source=footer> >>> . >>> >> -- >> You received this message because you are subscribed to the Google Groups >> "Beancount" group. >> To unsubscribe from this group and stop receiving emails from it, send an >> email to [email protected]. >> To view this discussion on the web visit >> https://groups.google.com/d/msgid/beancount/CAK21%2BhOMVm692ex7nb_f8_UwU-mjXZZD5Sf9GMCQYxhitWBxtA%40mail.gmail.com >> <https://groups.google.com/d/msgid/beancount/CAK21%2BhOMVm692ex7nb_f8_UwU-mjXZZD5Sf9GMCQYxhitWBxtA%40mail.gmail.com?utm_medium=email&utm_source=footer> >> . >> > -- > You received this message because you are subscribed to the Google Groups > "Beancount" group. > To unsubscribe from this group and stop receiving emails from it, send an > email to [email protected]. > To view this discussion on the web visit > https://groups.google.com/d/msgid/beancount/CABieCEReJyT%2BWY4mj4UPMEsem6%2BSV%2B%3D-jckx_f0PeZ7ky9e%2BdA%40mail.gmail.com > <https://groups.google.com/d/msgid/beancount/CABieCEReJyT%2BWY4mj4UPMEsem6%2BSV%2B%3D-jckx_f0PeZ7ky9e%2BdA%40mail.gmail.com?utm_medium=email&utm_source=footer> > . > -- You received this message because you are subscribed to the Google Groups "Beancount" group. 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