Friday, May 7, 2021
Home Crypto News Market Coinbase Users Will Be Able To File Tax Reports By The Coin...

Coinbase Users Will Be Able To File Tax Reports By The Coin Tracker Service

- Advertisement -

Cryptocurrency exchange Coinbase has partnered with tax software provider CoinTracker to make it easier for its users to file tax reports.

CoinTracker co-founder Chandan Lodha said that the service will allow American users of Coinbase to calculate profits and losses from cryptocurrency trading. With CoinTracker, traders will also be able to fill out Form 8949 and Appendix D to declare their digital assets.

The tool can be used by individuals and accountants, as well as used as a supplement to the TurboTax program for tax reporting. Previously, the investment division of Coinbase Ventures invested in CoinTracker, but the amount of investments was not disclosed.

Lodha said that CoinTracker will help increase the legitimacy of the cryptocurrency industry and gain the trust of regulators in digital currencies. The US Internal Revenue Service (IRS) will make sure that people make legitimate transactions with cryptocurrencies and pay taxes, so the regulator’s trust in trading platforms and traders should increase.

The IRS has repeatedly sent letters to cryptocurrency investors demanding that they pay taxes on income from cryptocurrencies, which they did not report when filling out their tax return. Misrepresentation or concealment of such information is considered tax fraud in the United States. This can lead to fines, and even jail time.

Last month, the IRS added a para about cryptocurrencies to the main part of Form 1040, which is filled out by American citizens when filing tax reports. Previously, not all taxpayers could answer the question about owning cryptocurrencies.

Recall that six months ago, Coinbase began working with the IRS and the Drug Enforcement Administration (DEA), which allowed them to use the analytical tools of Coinbase Analytics to analyze the blockchain and track cryptocurrency transactions.

- Advertisement -
Owner of TheCryptoBasic. Involved in cryptocurrencies for more than five years, Love to trade, and write on cryptocurrencies. My basic aim is to provide genuine information to cryptocurrencies readers because crypto is filled with frauds and scams. True information is very rare to get. So I will be providing accurate information about cryptocurrencies topics, that users can trust.


Please enter your comment!
Please enter your name here

- Advertisment -

Recent News & Articles

Bitmain Placed An Order With TSMC to Produce 5nm Chips for Crypto Mining

As Bitcoin and Ethereum reach record high prices, miners can increase their spending on equipment, and companies developing ASICs for mining do not waste...

Cardano CEO: May Will Be A Big Month For Us As We Are Now Leading The PoS World

Last few months of Cardano included Updates, upgrades, improvements and implementations. Cardano seem to be pretty much sticking to their roadmap.

Ripple Recent Q1 2021 Reports Shows Increase In Demand For XRP

Ripple released its quarterly report that highlighted the growing demand for XRP in the first quarter of 2021. The company's total XRP sales reached...

NEM Gets Stronger AS NEM Ventures Announced Mentoring & Financial Support Program “Ignite”

NEM Ventures, the investment division of NEM (XEM), announced that it will start the mentoring & financial support program "Ignite". ...

Subscribe To Our Newsletter

Get Updated with All The latest Crypto News, Articles, Reviews, Analysis and much more. Delivered Every Monday.

follow us in feedly