Kraken tax documents come as one combined statement, and the 2025 basis printed on your copy never reached the IRS.
The statement holds Form 1099-DA for your sales and Form 1099-MISC for your rewards. Kraken sent its first 1099-DA for tax year 2025. The basis you report on Form 8949 must come from your own records.
Updated · Sources
Kraken’s combined 1099, tax year 2025
- $600
- or more in 2025 rewards brought a Form 1099-MISC.
- FIFO
- is the method behind the basis and gain printed on your copy.
- 24 hours
- of trading set the value Kraken reports for each staking reward, on the day it is credited.
Which Kraken tax forms should you expect for 2025?
Both forms come from Payward Interactive, Inc., the Kraken company that serves US customers. If your tax software asks for the payer, enter that name and tax ID 83-0923587.
Form 1099-DA for crypto you sold or sent
Kraken reports every sale on Kraken.com, Kraken Pro or its apps on Form 1099-DA, however small the sale. Trading bitcoin for ether counts as a sale. The form also lists crypto you sent to someone through the Krak app, which counts as a disposal.
Form 1099-MISC for your yearly rewards
Staking, referral, airdrop and deposit rewards all add up to one yearly total. Kraken reports that total in box 3 of Form 1099-MISC, as other income. The threshold was $600 for 2025 and is $2,000 for rewards paid in 2026.
Kraken Wallet and Ink stay off the 1099-DA
Kraken calls Kraken Wallet and Ink its decentralized finance (DeFi) apps, and leaves them off the 1099-DA for now. Trades you make there still go on your return, from your own records.
What a blank basis on your Kraken 1099-DA costs.
Coins you moved to Kraken from another exchange or wallet show no basis, even on your copy of the 1099-DA. Your basis is still what you paid for them, fees included.
No purchase records
$2,400
If you cannot show what you paid, the whole $26,000 can be taxed as gain: $10,000 at 0% and $16,000 at 15%.
Records for the $6,000 coins
$1,500
The gain drops to $20,000, and $10,000 of it is taxed at 15%.
Records for every coin
$0
The real gain of $10,000 is all taxed at 0%.
All three figures are 2026 federal tax. Both purchases date from 2023, so the 2026 sale is long-term. Long-term gain is taxed at 0% until taxable income passes $49,450, then at 15% up to $545,500. State tax would be added on top.
Kraken’s tax reporting gives the IRS your proceeds and leaves out your basis.
Kraken left box 2 unchecked on its 2025 Form 1099-DA, the box that marks basis as reported. Report each 2025 Kraken sale on Form 8949: box H for coins held a year or less, box K for coins held longer.
| Your copy | IRS copy | |
|---|---|---|
| Proceeds from each sale | ||
| Cost basis | FIFO estimate First in, first out | |
| Gain or loss | FIFO estimate | |
| Rewards total (1099-MISC) | At $600 or more Tax year 2025 |
From tax year 2026, Kraken reports basis, acquisition date and gain or loss on coins acquired there from 2026 and held until sold. For older or moved-in coins, basis reporting is not required.
Kraken taxes often go wrong in four places.
Assuming no form meant no tax for 2024
Your 2024 Kraken sales belonged on your return even though Kraken sent no 1099 of any kind for 2024. Its US staking had shut in 2023, and the 1099-DA began with tax year 2025.
Waiting for a late form
Kraken’s 2025 forms ran late, so do not let a missing form hold up your return. Their due date was February 17, 2026, but Kraken’s help pages still apologized for 1099-DA delays in late March. Form 4868 moves your filing date, but any tax you owe is due on the regular date.
Asking the IRS to fix a wrong form
If a figure Kraken sent the IRS is wrong, ask Kraken for a corrected 1099-DA. Kraken filed the form, so only Kraken can correct it. A basis estimate you disagree with needs no correction, because the IRS never received it.
Switching lot methods at tax time
The basis estimate on Kraken’s copy assumes first in, first out (FIFO). A standing order you gave Kraken before a sale, such as highest cost first, can make your Form 8949 differ from that estimate. Through 2026, a note in your own books by the time of the sale can also name the coins sold. A choice made after the sale does not count.
A CPA can fill in the basis Kraken leaves off the IRS copy.
Valim’s CPAs take the FIFO estimate on your copy as a starting point and prepare your federal and state returns from your records.
- We check Kraken’s FIFO figures against your full trading history. For coins you moved in, we find what you paid from the accounts they came from.
- We add up every reward Kraken credited you, including those below the 1099-MISC threshold, and report them as income.
- We plan quarterly estimated tax on your Kraken rewards and gains.
- We time large Kraken sales around the one-year mark and the 0% and 15% long-term rates.
- If the IRS or your state sends a notice about any return we prepared, Kraken sales included, we answer it within the fee.
- Individual return
- from $195
- Business return
- from $495
We quote a flat fee before work starts. We do not bill hourly.
Kraken tax questions.
Does Kraken send a 1099?
Yes. For tax year 2025, Kraken sent Form 1099-DA if you sold crypto on its sites or apps, or sent it to someone through Krak. It sent Form 1099-MISC if your rewards reached $600 or more. Kraken sent no 1099 for 2024. An account with an address outside the US on December 31, 2025 got no 1099-DA. From 2026, the 1099-DA also shows basis for covered digital assets: coins acquired on Kraken from January 1, 2026 and held there until sold.
Where do I download my Kraken tax documents?
Your Kraken tax documents are in the Tax Center on Kraken’s website. On Kraken Pro, click your profile icon at the top right, then choose “Statements” or “Tax center.” The “Tax center” option appears only once a tax document is ready for your account. On Kraken.com, Kraken’s help pages point to the profile icon, then “Settings,” then “Tax center,” and the “Crypto” tab. Linking a CoinTracker account in the Tax Center is optional, and the forms download without it.
How are Kraken staking rewards reported?
Kraken reports staking rewards in box 3 of Form 1099-MISC once your 2025 rewards total $600 or more. For rewards paid in 2026, the threshold is $2,000. Kraken values each reward at the 24-hour volume weighted average price on the day it is credited. That is the average price of the day’s trades, weighted by their size. Staking rewards are income even if you never sell them or get a form, and they usually go on Schedule 1, line 8v. Exchanges differ here: the Gemini exchange values its staking rewards when they become available to withdraw.
Will the IRS know if I sold crypto?
Yes: Kraken files Form 1099-DA with the IRS for your sales from tax year 2025, under your full taxpayer ID. Kraken says a copy may also go to the state of residence on your Kraken account. Coinbase and other US exchanges file the same form for sales on their platforms. For older years, a federal court approved an IRS John Doe summons to Kraken in 2021. That kind of summons lets the IRS demand records on customers it cannot yet name. This one covered US customers with $20,000 or more in crypto transactions from 2016 to 2020.
Do I pay tax if I receive crypto?
Yes, when the crypto is income, such as staking rewards, an airdrop or pay for your work. Crypto you receive as income is taxed at its fair market value, as ordinary income, once you can sell or move it. Moving coins into Kraken from a wallet you own is not a taxable event, and neither is receiving crypto as a gift. Kraken’s deposit rewards are income, though, and count toward the 1099-MISC total.
Sources
- Kraken Support, Tax forms frequently asked questions
- Kraken Support, How to read your 2025 combined Form 1099
- Kraken Support, Download or request documents on Kraken Pro
- Kraken Support, US Tax Center FAQ
- IRS, Instructions for Form 1099-DA (2025)
- IRS, Instructions for Forms 1099-MISC and 1099-NEC (2025)
- IRS, Understanding your Form 1099-DA
- IRS, Instructions for Form 8949 (2025)
- IRS, Frequently asked questions on virtual currency transactions
- IRS, Rev. Rul. 2023-14 (staking rewards)
- IRS, Rev. Proc. 2025-32 (2026 inflation adjustments)
- 26 C.F.R. § 1.1012-1, Basis of property
- IRS, Notice 2026-20 (identifying broker-held digital assets)
- 26 C.F.R. § 1.6045-1, Returns of information of brokers
- 26 U.S.C. § 6041, Information at source
- US Department of Justice, John Doe summonses to Kraken and Circle (2021)
Reviewed and updated September 2026. General information, not advice for your situation.