Global leading digital asset service provider Binance has announced the launch of its new crypto asset tax preparation tool to help users calculate their profits and losses for tax filing purposes. This new tool comes at a time when countries are becoming more pronounced on crypto taxation in the burgeoning digital currency ecosystem.
According to a release by the exchange on February 6, the new tool will initially be available to only Canadian and French users with plans to enter newer markets later in the year. The new tool dubbed ‘Binance Tax’ will enable users to access information on the trade associated with their crypto trading activities with little or no stress.
“We’re always looking at how we can build products to make our customers’ lives easier and that often means listening and reacting directly to user feedback,” said Mayur Kamat, head of product at Binance. “We heard that our users wanted an easier way to be able to see and understand their taxes, so we’re excited to bring this new, free-to-use tax tool to our community, starting in France.”
Benefits of the Binance Tax Tool
As easy as it is, users just need to log into the Binance Tax app using their Binance account and get access to whatever information they need. However, the advanced tool which happens to be accessible free for Binance users will enable them to be able to have a full understanding of their tax liability depending on one’s location.
Instead of manually checking transactions, the tool will allow users to be able to download a detailed report of their tax summary from any profit or losses incurred with Binance up to 100,000 transactions.
Interestingly, the new tool which is still in the development phase currently supports only the Binance native wallet. However, there are also plans to integrate other wallets that will be beneficial to the product in the future.
As regulators continue to make concerted efforts to make the industry properly regulated, there will certainly be rules regarding taxes in the industry, therefore the new product will come in handy for users to fulfill their tax obligations.
