Five Useful Software Products for Dealing with Crypto Taxes
By Space Coast Daily // April 11, 2022
Figuring out real-life taxes can prove to be terribly stressful! There are so many forms, calculations, etc., to tackle. Therefore, one can imagine how much more difficult dealing with virtual-world taxes can be! Fortunately, some innovative companies offer software programs that should prove to be able assistants. To start crypto trading you can visit Pattern Trader.
CoinTracker
It owes its launch in 2017, to Chandan Lodha and Jon Lerner, ex-employees of Google. The founders have linked up with Coinbase, embedding Coin Tracker directly into the company’s tax center.
CoinTracker offers both, free tax reports, and paid packages. The paid packages range between $49 and $159. Similarly, there is an unlimited solution, wherein the price varies according to individual specifications.
Four kinds of tax solutions reach out to the U.S., Canada, the UK, and Australia. CoinTracker’s enterprise solution attracts extremely well-known crypto enthusiasts to it.
Finally, the portfolio tracker offers unusual insights into the investor’s holdings. The investor may even track DeFi transactions and NFTs at will, as well as tax-loss harvest.
Accointing.com
The company came into being in 2019. The founders hailed from the USA, Germany, and Switzerland. Dennis Wohlfarth, a mechanical engineer, was their leader.
The software solutions reach out to Germany, the USA, Austria, the UK, Australia, and Switzerland.
The company’s clients are welcome to opt for a free tax report or a paid one with more features in it. The fee ranges from $79 to $299. The program includes a desktop solution and a portfolio-tracking application. An unusual feature is the Trading Tax Optimizer. With this product, customers may utilize analytics and tax-loss harvesting, for optimizing their crypto taxes.
Accointing.com has recently acquired BDO Global as a partner. BDO Global is a reputed audit giant in Switzerland.
TaxBit
Brothers, Justin, and Austin Woodward are the founders of TaxBit. The crypto crash of 2017, did not allow investors to track their investments. Therefore, the crypto tax industry could neither enter the mainstream nor adjust to its tax laws.
Launched in 2018, TaxBit partnered with the IRS in May 2021. It received unicorn status in August 2021.
Paid services are priced between $50 and $500. A portfolio-tracker app is in place, helping users to gain key insights into their holdings, learn about the TaxBit network, and find free tax forms.
Regulatory bodies (government) and companies (commercial enterprises) may seek solutions for remaining tax compliant.
Finally, TaxBit desires to utilize its tax optimization feature, and NFT dashboard and tracking service, to gamify cryptocurrency taxes.
CoinLedger
This software company took birth as an answer to a pressing problem, in 2017! Lucas Wyland, David Kemmerer, and Michel Cookson were striving to report their taxes resulting from 120,000+ crypto deals. The trades were the outcomes of arbitrage investing.
Their frantic mindsets set about creating a tax tool via laborious efforts. Their efforts yielded a successful tax platform in 2018. This tax tool/program is aimed towards North American crypto investors. It permits them to tax-loss harvest. Another advantage is the TaxAct feature. Customers may navigate tax season with the aid of this feature.
Users may opt to pay anything between $49 and $299, depending upon what they need. Higher fees indicate that an indefinite number of transactions are involved.
The B2B (business-to-business) solution is for assisting qualified public accountants serve their personal customers in a better manner.
Voyager, a portfolio-tracker, and the crypto broker has become CoinLedger’s partner. Future actions include NFT tracking software and the launching of more free portfolio tools.
TokenTax
Zac McClure is the CEO of TokenTax. Crypto enthusiasts sought him out during the crypto marketplace crash of 2017. He had a background in accounting and finance and was highly experienced.
The software program is a boon for retail investors. It also reaches out to investors in the USA, Australia, and Canada, via four types of crypto tax report plans. The pricing of a report may range from $65-$3,500. The highest limit is for the VIP package. This program offers the assistance of IRS audits. Other services are tax-loss harvesting and margin trading.
The software package is expensive since it has the capacity to tackle the most complex of issues. Furthermore, the company has linked up with Binance, eToro, and Crypto.com.
Future strategies cover educational programs regarding crypto taxation and expansion of wallet integrations.
