Guides
Prediction-market tax guides
Precise, sourced explanations of how Polymarket, Kalshi and Hyperliquid activity is reported, with worked examples.
Kalshi路5 min read
Are Kalshi Losses Tax Deductible? Four Treatments, Worked Out
Can Kalshi losses be deducted? It depends on the treatment: capital, Section 1256, gambling (90% cap from 2026) or other income. Worked examples.
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Polymarket路4 min read
Are Polymarket Losses Tax Deductible? What Happens If You Lost Overall
Lost money on Polymarket? Whether the loss is deductible depends on the treatment: capital, gambling (90% cap from 2026) or other income. Worked examples.
Updated Oct 22, 2026
Guides路8 min read
Are Prediction Market Winnings Taxable? How Polymarket, Kalshi and Event Contracts Are Taxed
Yes, prediction market winnings are taxable in the US. What's unsettled is how: other income, capital gains, Section 1256 or gambling. Explained.
Updated Oct 22, 2026
Guides路7 min read
Form 1099-DA Explained for Polymarket and Hyperliquid Users
Who sends a 1099-DA, what it shows for 2025 and 2026, why Polymarket and Hyperliquid don't, and how to square it with your prediction-market P&L.
Updated Oct 22, 2026
Tax treatments路8 min read
Gambling vs Capital Gains for Event Contracts: How the Tax Treatment Changes What You Owe
Are prediction markets gambling or capital gains for taxes? Compare all four treatments with 2026 examples for winners, break-even traders and losers.
Updated Oct 22, 2026
Guides路6 min read
How to Report Prediction-Market Trades on Form 8949
Worked Form 8949 rows for Polymarket, Kalshi and Hyperliquid trades under capital treatment: dates, proceeds, basis, fees, worthless positions, boxes.
Updated Oct 22, 2026
Hyperliquid路5 min read
Hyperliquid Funding Payments and Taxes: Income or Part of Your Trade?
Hyperliquid pays funding hourly. Is it ordinary income or part of your perp P&L? Two approaches, a worked example, and the records to keep.
Updated Oct 22, 2026
Hyperliquid路7 min read
Hyperliquid Taxes: Perps, Spot, Funding and HYPE (2026 Guide)
Hyperliquid taxes for US traders: how perps, spot trades, funding, fees and HYPE rewards are reported, why there's no 1099, and a worked example.
Updated Oct 22, 2026
Kalshi路5 min read
Kalshi 1099 Doesn't Match Your Numbers? How to Reconcile It
Your Kalshi 1099 or P&L statement doesn't match your own math? Here are the 7 usual causes, a reconciliation table, and what each form actually covers.
Updated Oct 22, 2026
Guides路5 min read
Kalshi and Polymarket in TurboTax: Where Prediction-Market Results Go
How to enter Kalshi and Polymarket results in TurboTax under each treatment: Form 8949, Form 6781, other income or gambling. What to prepare first.
Updated Oct 22, 2026
Kalshi路8 min read
Kalshi Taxes and the 1099: What You Get and What to Report (2026)
Kalshi taxes explained: which 1099s Kalshi sends, why your trading profit isn't on them, how event contracts may be taxed, and worked examples for 2026.
Updated Oct 22, 2026
Guides路5 min read
Kalshi Taxes in California, Texas and Other States: Prediction Market State Taxes
Kalshi taxes in California, Texas and beyond: how states tax prediction market gains, why the federal 90% gambling rule may not apply, and what to check.
Updated Oct 22, 2026
Polymarket路5 min read
Polymarket 1099: Does Polymarket Send Tax Forms?
Does Polymarket send a 1099? The international exchange doesn't. What Polymarket US may send, and how to report your trades without a form.
Updated Oct 22, 2026
Polymarket路5 min read
Polymarket Fees and Taxes: How Taker Fees Change Your Gain or Loss
Polymarket taker fees reduce your taxable gain under every treatment, but where they go differs. Formula, worked example, and how gas and bridge fees fit.
Updated Oct 22, 2026
Internationalau路6 min read
Polymarket Tax in Australia: Gambling Winnings, CGT and the ACMA Block
Is Polymarket taxable in Australia? How the ATO's gambling and crypto CGT rules could apply, what the ACMA block means, plus a worked AUD example.
Updated Oct 22, 2026
Internationaluk路7 min read
Polymarket Tax in the UK: Betting, Capital Gains or Trading Income?
Do you pay tax on Polymarket in the UK? How HMRC's betting, cryptoasset CGT and trading rules could apply, with 拢 examples and Self Assessment steps.
Updated Oct 22, 2026
Internationalca路6 min read
Polymarket Taxes in Canada: Windfall, Capital Gain or Business Income?
Is Polymarket taxable in Canada? How the CRA could treat prediction-market profits as a windfall, capital gain or business income, with CAD examples.
Updated Oct 22, 2026
Polymarket路5 min read
Polymarket Taxes With Multiple Wallets: Proxy Wallets, Transfers and Basis
Trading Polymarket from several wallets? Which address to use, why transfers between your own wallets aren't taxable, and how per-wallet basis works.
Updated Oct 22, 2026
Polymarket路10 min read
Polymarket Taxes: The Complete Guide (2026)
Do you pay taxes on Polymarket? Yes. How trades, redemptions, rewards and USDC are taxed, the four possible treatments, and a worked example for 2026.
Updated Oct 22, 2026
Polymarket路5 min read
Polymarket Unredeemed Losing Positions: How They Affect Your Taxes
Never redeemed your losing Polymarket shares? Most tools then miss the loss and overstate your gains. How to find them, date them and treat them for taxes.
Updated Oct 22, 2026
Guides路6 min read
Prediction Market Tax Calculator: Estimate Your Tax Under Each Treatment
Estimate Polymarket, Kalshi or Hyperliquid taxes under every treatment: other income, capital, Section 1256 and gambling with the 90% limit.
Updated Oct 22, 2026
Guides路5 min read
Robinhood Prediction Market Taxes: No 1099, Now What?
Robinhood says it doesn't issue a 1099 for event contracts. How prediction market gains and losses can be reported, with examples and 2026 loss rules.
Updated Oct 22, 2026
Tax treatments路8 min read
Section 1256 and Prediction Markets: Does 60/40 Apply to Kalshi Event Contracts?
Can Kalshi or Polymarket US event contracts get Section 1256 60/40 treatment? The statute, the arguments for and against, Form 6781, and the audit risk.
Updated Oct 22, 2026
Tax treatments路8 min read
The 2026 Gambling Loss 90% Limit: What It Means for Prediction-Market Traders
From 2026 only 90% of gambling losses are deductible, even if you broke even. How the rule works, worked examples, and what it means for event contracts.
Updated Oct 22, 2026
Polymarket路5 min read
Won Big on Polymarket? How Polymarket Winnings Are Taxed
Polymarket winnings tax for a big year: a $250k example under each treatment, estimated payments and safe harbors, state tax and records to keep.
Updated Oct 22, 2026