Staking rewards are moving the "average buy price"

As the title says.
I have some coins giving me staking rewards on Arbitrum L2. There is no support for Arbitrum a the moment so I manually enter my initial transaction and add the balance from staking every few weeks. I make sure to mark the new transactions as staking rewards but the system adds them to my average purchase price using the price at the moment of “claiming” the staking, which usually raises said average. I don’t believe this is working as intended.

I’m not a tax (or anything else) expert, but it sounds ok to me. As far as I understand…

You’ll pay income tax on the staking income.
You’ll pay capital gains on the profits (i.e. disposal proceeds - allowable costs) when you sell the coins.

This “purchase price” you mention is just that allowable cost.

e.g.
If you earn 1 coin from staking, and its price is £10, then you’ll pay income tax on that £10
If you then sell it at £15, you’ll pay CGT on that £5 (which is the difference between the cost you’re selling at, and the “purchase price” of £10).

I know you didn’t actually purchase the coin, and maybe the name’s not quite right, but as far as I can see, it’s essentially tracking “the price of this asset when I received it”.

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So does it look like this?
This is how staking on Celsius looks like on Accointing automatically.
I deposit (see bottom’s internal transfer), then receive my staking reward weekly.

This way should work just fine :slight_smile: