At a glance
▸ Label: Unlabeled (In/Out) ▸ Direction: 📥 incoming (In) and 📤 outgoing (Out), depending on the variant |
Our labeling system is based on the two base transaction types "Unlabeled (In)" for incoming assets and "Unlabeled (Out)" for outgoing assets.
They are used when an imported transaction has been identified as either an incoming or outgoing transaction, but its tax treatment cannot yet be determined with certainty.
In these cases, Blockpit requires additional information in the form of the appropriate transaction label so the transaction can be correctly classified and treated for tax purposes.
💡 Unlabeled (In/Out) transactions do not themselves trigger taxable gains or losses. However, they should be assigned the appropriate label. If an incoming or outgoing transaction remains unlabeled, it will continue to be displayed as an Unlabeled (In/Out) transaction and will be valued at its market value at the time of the respective inflow or outflow.
🎓 More details on the tax implications and categorization of all transaction labels can be found in the tax results under the menu item “Reports” and in the appendix of your tax report.
When does an Unlabeled (In/Out) transaction appear?
Unlabeled (In/Out) transactions can occur for both incoming and outgoing transactions.
Unlabeled (In)
Common causes include:
Fiat deposits whose origin cannot be determined with certainty.
Incomplete wallet transfers where the corresponding outgoing transaction is missing, preventing automatic merging.
Other incoming transactions that require additional information for proper classification (e.g. airdrops, staking rewards, spam transactions, etc.).
Unlabeled (Out)
Common causes include:
Fiat withdrawals whose destination cannot be determined with certainty.
Incomplete wallet transfers where the corresponding incoming transaction is missing, preventing automatic merging.
Other outgoing transactions that require additional information for proper classification (e.g. payments, fees, etc.).
Why should I assign a label?
The assigned label determines how a transaction is treated for tax purposes.
Until a label has been assigned, Blockpit cannot classify the transaction with certainty and therefore applies a general default treatment.
To ensure the most accurate tax results, you should assign the appropriate label to all transactions that show the Tip: Unlabeled (In/Out) .
How do I find the correct label?
Unlabeled (In/Out) transactions are a central part of Blockpit's hint and labeling system. The correct label always depends on the actual economic background of the transaction.
If you're unsure which label to choose, the following articles can help:
Can I manually create unlabeled transactions?
No. When manually creating an incoming or outgoing transaction, you must already select an appropriate label. For example, simple fiat or cryptocurrency deposits with no known origin can be created directly using the "Non-Taxable (In)" label.
Only transactions imported through an exchange, wallet, or CSV/XLS integration can initially appear as Unlabeled (In/Out) transactions.
What happens to my balance?
How a manually created transaction affects your balance depends on the type of integration:
Integration | Effect |
Manual integration (CSV/Excel) | directly changes the displayed balance of the integration |
Automatic exchange or blockchain integration (API) | does not change the imported Synced Balance, but it does change the calculated balance and therefore your tax report |
How are fees considered on transactions?
Example: Deposit/Withdrawal of 1 BTC with 0.0001 BTC fee.
Fees are mostly considered on the withdrawal side, but can also occur on deposits.
Fees, if paid in the incoming or outgoing asset, are considered as follows:
▸ If fees are paid in the outgoing asset:
"The fee is treated as a separate outflow."
Outgoing amount: net transaction amount (amount excluding fees)
Fee paid: enter the fee separately
▸ If fees are paid in the incoming asset:
Case 1: No additional fee on the deposit side.
Incoming amount: net transaction amount (amount excluding fees)
Fee paid: enter nothing or 0
Case 2: Additional fee on the deposit side.
"If the fee is paid in the incoming currency, the incoming amount must be increased by the amount of the fee. The fee is treated as a separate outflow."
Incoming amount: net transaction amount (amount excluding fees) + fee
Fee paid: enter the fee separately
Blockpit does not provide tax advice. For specific legal questions, please contact a tax advisor.