"Treat Liquid Lending as Non-Taxable" Not Working for Withdrawals
Emma - CoinTracker
What is the issue?
The tax setting
"Treat liquid lending as non-taxable"
appears to apply correctly for lending deposits
, but does not apply to lending withdrawals
, which are still treated as taxable and may reflect capital gains.Who is affected?
Users who enable the "Treat liquid lending as non-taxable" setting and interact with lending protocols, particularly those withdrawing assets like LINK after deposit.
What is the workaround?
There is no direct workaround at this time. Please wait for a fix from our engineering team.
Keywords: liquid lending, non-taxable setting, lending withdrawal, capital gain
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