Can I claim a deduction for mining expenses?

TaxBit is working on releasing a dedicated mining tax portal for miners to better manage income and deductions. Mining is a business that carries costs to operate. Mining can use a large amount of electricity/space that may be deducted. The IRS also allows miners to deduct the depreciation/expense of their mining equipment.

Sometimes miners don’t generate a profit after adding up the cost of electricity, office space, hardware and other mining expenses. TaxBit allows you to claim your deductions so that you don't pay more in taxes than required.