Article Summary
This article walks you through how to change your sell and send cost basis methods. New accounts use FIFO for sells and LIFO for sends, but you can change either method at any time.
You can change your methods from your settings or while you review a sell or send.
Option 1: Change from your settings
Step 1: Open your settings
If you are using river.com, click the profile icon in the corner of your homepage. If you are using the River app, tap your profile icon in the upper-left corner of your homepage.
Step 2: Open "Cost basis method"
If you are using river.com, click "Taxes," then click "Cost basis method." If you are using the River app, tap "Taxes & Documents," then tap "Cost basis method."
Step 3: Choose sells or sends
Select "Bitcoin sells" or "Bitcoin sends."
Step 4: Select a method and confirm
Select FIFO, LIFO, HIFO, or LOFO, review the terms, then click "Change method."
Option 2: Change while selling or sending
Step 1: Start your transaction
Start a sell, Target Sell, bitcoin send, River Link, or bitcoin transfer between your River accounts. Continue until you reach the preview screen.
Step 2: Open "Cost basis method"
On the preview screen, select the "Cost basis method" row. It shows your current method, such as "FIFO."
Step 3: Select a method
Select FIFO, LIFO, HIFO, or LOFO. Each option describes the order in which River uses your bitcoin.
Step 4: Confirm the change
Select "Change method." The button stays unavailable until you pick a method different from your current one. You'll return to the preview screen, and the row will show your new method.
Step 5: Finish your transaction
Review the preview and confirm your sell or send as usual.
A change made during a sell becomes your sell method for that sell and all future sells on this account. A change made during a send, River Link, or transfer becomes your send method for that transaction and all future sends.
Additional Information
- Changing either method means you agree to the Cost Basis Methods Standard Terms and Conditions.
- Changing your sell method does not change your send method, and vice versa.
- Changes apply to sells and sends you make after them, Target Sell orders that haven't executed, and River Links funded from your bitcoin balance that haven't been claimed. You can't change the cost basis of past transactions.
- We'll email you a confirmation whenever either method changes.
For what each method means and how River orders your bitcoin, please see this Help Center article.
Please note, if you're using river.com and don't see 'Bitcoin sells' and 'Bitcoin sends,' use the River app to change your methods for now. You will need to update your River app to the latest version.
River is not able to offer any tax, legal, financial, or investment advice. Please consult a tax professional if you're unsure which methods are right for your situation.