BingX Partners With Blockpit To Simplify Crypto Tax Management For Users

Crypto exchange BingX  announced a partnership with European crypto tax solution provider Blockpit on 13 August 2024. The collaboration  allows BingX users to streamline tax management, offering them a more efficient and compliant trading experience.

Through this partnership, BingX users will benefit from Blockpit’s tax reporting tools, which allow them to manage their crypto tax obligations, the firm said in a press release .

The announcement also said that BingX users will enjoy a 15% discount on their first Blockpit license.

“We are thrilled to integrate Blockpit’s innovative tax solutions into the BingX platform,” said Vivien Lin, Chief Product Officer of BingX.

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BingX Users To Enjoy Tax Optimization Features

The integration of Blockpit’s portfolio management tools will allow users to track and optimize their investments with precision. Furthermore, its tax optimization features, including strategies like tax loss harvesting, will help minimize tax liabilities.

“This partnership is a testament to our commitment to ongoing global compliance and providing users with state-of-the-art tools for financial decision-making,” Lin added. “By enhancing our presence in the European market, we are empowering our users with comprehensive tax reporting and advanced portfolio management.”

Exciting News! 🚀

BingX and Blockpit partner up and that means amazing benefits! As a global leader in crypto trading with over 10 million users, BingX now brings Blockpit’s compliant tax reporting to its community. 🌍

🔷 Special deal for the Blockpit community:
⚡️ Get started:… pic.twitter.com/rhIgiXutXR

— Blockpit – Crypto Tax Tracking 📈 (@blockpit_io) August 14, 2024

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Countries Reconsider Taxing Crypto

Countries are increasingly recognizing the need to tax cryptocurrency holdings as the digital currency market expands. Brazil, for instance,  introduced legislation effective from 1 January, 2024. It imposes a tax of up to 15%  on profits from cryptocurrencies held overseas by Brazilian nationals​​.

Meanwhile, India continues to enforce stiff taxes on crypto transactions. The country maintains a 30% tax on profits and a 1% Tax Deducted at Source (TDS) on all transactions​​. Likewise, the UK national taxing authority asked crypto users last year to disclose any unpaid taxes in order to avoid fines.

More recently, the US Internal Revenue Service (IRS) unveiled an updated draft  of the 1099-DA tax form, which crypto brokers and investors will use to report certain transactions. The revised version, set to take effect in 2026, aims to streamline the reporting process while addressing privacy concerns raised by the initial draft.

The 1099-DA will be used by crypto investors who engage with brokers, primarily centralized exchanges like Coinbase and Kraken, to report taxable events related to the sale and exchange of digital assets. The IRS’s latest draft simplifies the form significantly compared to the version first proposed in April.

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Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.