Cryptocurrency exchange platform Binance announced a new tool — Binance Tax — to simplify tax calculations on crypto transactions. The tool is still in beta and available only in Canada and France, although the company plans to introduce it in more regions.
This free tool will greatly streamline the tax calculation process by processing up to 100,000 Bincnce transactions. It will be of great help to day traders and cryptocurrency users who deal in large transactions, by cutting several extra hours of work and the accompanying stress. The tool covers spot trades, crypto donations and even blockchain fork rewards.
In recent months, governments worldwide have added tax levies on crypto transactions. Italy brought a 26% tax on crypto transactions, while India added a 30% tax plus a surcharge and 4% cess. This tool will surely come in handy, at least in these countries.
“In one click, you can now import your Binance transactions into our calculator and obtain a simple yet comprehensive estimate of your tax obligations depending on your jurisdiction,” Binance announced on Monday.
In November 2022, Binance announced an industry recovery fund to reduce the cascading effects of FTX’s downfall and to protect several strong projects facing a liquidity crunch.
Binance was founded by Changpeng Zhao in 2017. Since then, the company has grown massively and currently has about 120 million registered users and generates an average trading volume of $ 2 billion. Apart from its latest offering, Binance Tax, the company has several other products in their portfolio, such as Binance Exchange, BNB Chain, Trust Wallet, Binance Research, Binance Labs, Binance Academy and Binance Charity.
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