Bittrex, the Seattle-based cryptocurrency exchange service, will be implementing the NODE40 Balance tool, a crypto accounting and tax calculation software offered by HashChain Technology. Node40 Balance is specifically designed to help you comply with tax regulations by offering an in-depth analysis of your gains and losses.
Ever since the software’s integration with Coinbase and Gemini, some of the largest global digital currency exchange services, it’s capable of helping users report gains and losses for leading cryptocurrencies such as Bitcoin, Bitcoin Cash, Ethereum, Litecoin, and DASH.
The reason behind the adoption
This particular integration with one of the cryptosphere’s biggest exchange desks is mostly due to the ever-increasing need for taxation regulations due to pressure from the US authorities, as Patrick Gray, the CEO of HashChain hinted:
“Even though tax guidelines for cryptocurrency have been around since 2014 … only recent mainstream adoption driving heavy enforcement of these guidelines.”
Calculate cryptocurrency gains, losses, and tax accountability
The software allows coin holders to upload their wallets or accounts to the exchanges in order to provide accurate calculations (net values) of every transaction. Subsequently, NODE40 Balance generates a comprehensive worksheet with all the gains and losses. The worksheet can also be filled with a wide array of tax items, in order to be reported to tax authorities.
The software is all about providing flexibility when it comes to tax payment reporting. It can generate IRS 8949 forms and it also allows you to exempt various transactions from income reporting. Another noteworthy feature is the support for cross-wallet transactions, offering you the possibility of managing multiple ledgers for multiple wallets.
Future plans for the software
The company behind NODE40 Balance has future plans regarding their software. Possible integrations with other exchange platforms, as well as added support for other top-rated cryptocurrencies, are to be expected, as the HashChain executive further added:
“We will continue to build upon our Balance solution, adding new exchanges and functionality to ensure that every coin holder has simple and secure means of reporting their gains and losses to their respective government entities.”
All things considered, this adoption is advantageous for all US cryptocoin holders who want to stay on top of their tax duties.