Crypto tax software is a powerful way for investors to manage their crypto asset portfolio, with focus on calculating gains and losses and reporting the results to tax authorities. This article will explore how crypto tax software works, what features are offered, and how it can help you save time when filing your taxes.
The crypto market is quickly evolving and maturing, but it’s also still a minefield of misinformation. Not many people outside the financial sector are able to provide sound advice in this complex area.
That’s why we put together this informational blog post about how crypto tax software can help you achieve a smoother, more efficient and accurate process when it comes to taking care of your taxes for the year.
Benefits of crypto tax software:
- Effective automation of your tax filing process: You will receive the help you need to correctly file your crypto taxes and provide the IRS with all relevant information about how you handled crypto during 2017. This will help you avoid unnecessary penalties and pay reduced rates on any capital gains which may arise from their sale.
- A secure platform for storing and retrieving information: You’re assured that all transactions with earned out digital currencies are accurately recorded. Transactions from years prior can be downloaded into a CSV format, and will also show up in your accounting tool for future reference.
- No need to worry about data entry errors: This is one of the most prominent advantages of using crypto tax software that often tends to go overlooked. Our software eliminates the need for any manual data entry and does it for you. It also checks for inconsistencies and possible errors, before you hit “send” on your tax return.
- Compliance with financial reporting regulations: All transactions are automatically scanned and quickly filed according to the rules imposed by the IRS, so you can rest assured that all potential consequences will be dealt with, following accurate reporting of any crypto earnings you may have received in 2017.
- Automated reporting, with quarterly and yearly reports: You can easily access a comprehensive report which will let you see the year-to-year changes in your crypto holdings, all without having to open an account with any financial institution. You’ll also receive a list of all currencies you have owned, as well as any capital gains or losses they may have generated.
- A secure system for safely storing and retrieving your trading data: This is perhaps one of the most important benefits of using the best crypto tax software. Unlike a spreadsheet which may be susceptible to hacks, our platform is highly secure and works on an encrypted level so that only authorised members can gain access to sensitive information.
Binocs is a crypto tax software which has everything you need to take control of your Bitcoin, Ethereum and altcoin investments. Ask their specialists today about how much tax you should pay on your net gain and what future tax rules will mean for digital currencies