Bitpay has announced a partnership with ZenLedger, a tax software company that focuses on cryptocurrencies. The announcement said that the partnership would give users of the crypto tax service access to tax loss harvesting tools provided by ZenLedger. This would ensure that users offset their liabilities while receiving a 20% discount off their subscription, the statement said.
Bitpay, the largest cryptocurrency payment platform, said that users of their app can now access ZenLedger services by synchronizing with the crypto tax service platform from within their Bitpay account.
Simple solution to crypto tax calculation
“With just a few taps from the BitPay app, ZenLedger will automatically calculate cost basis, fair market value, gains and losses, and tax loss harvesting for a user’s transaction history,” said a statement from the company. “Our partnership with ZenLedger offers a simple solution to the sometimes complex process of calculating tax liabilities associated with spending cryptocurrency,” said Stephen Pair, CEO of BitPay.
The partnership gives new and existing customers of Bitpay a discount of 20% when they subscribe with ZenLedger. It gives them access to the tax-loss harvesting tool. A harvesting tool enables a digital asset holder to reduce their tax by up to $3,000 in a year because the asset was sold at a loss.
Helps in the reduction of crypto tax
ZenLedger is the forensic accounting tax software service recognized by the IRS for crypto tax. The software enables crypto users to calculate their tax obligation for every transaction that they make.
The software features a three-step transaction importation setup that helps to make sure that reports are accurate. Then they can make their filings easier by downloading a tax form using the software.
“Crypto payments are a leading driver of industry adoption, which is why we launched a partnership with BitPay to accept crypto at ZenLedger,” said Pat Larsen, CEO and Co-Founder of ZenLedger. “Being able to come full circle and offer our services to Bitpay customers makes the entire end-to-end user experience faster, easier, and helps to save users money on their taxes.”