EY Announces Alliance with TaxBit to Streamline Tax Reporting of Digital Assets

To assist businesses in complying with tax reporting requirements for digital assets, Ernst & Young established an agreement with TaxBit, a market-leading provider of tax and accounting solutions for cryptocurrencies and other digital assets.

As businesses get increasingly involved in transactions involving digital assets, regulators are beginning to require more formal reporting methods. Organizations can use a variety of solutions from the EY-TaxBit Alliance as well as services from EY US that are specifically suited to the ecosystem for digital assets. With minimal burden on business, technology, and operations resources, this is meant to assist smoothly address tax reporting needs (such as Internal Revenue Service (IRS) tax filings), fulfill regulatory deadlines, and adopt cryptocurrencies and tax accounting software more quickly.

The Digital Asset Customer Tax Operations solution, which combines TaxBit's tax reporting software with EY tools like the electronic Tax Form Validator (eTFV), Customer Tax Data Master (CTDM), and Withholding & Reporting Calculator, is made possible by this alliance, which is a part of the EY Digital Asset Tax Suite.

Thomas Shea, EY Financial Services Crypto Tax Leader, Ernst & Young LLP, says: "While we're seeing a ton of progress in Washington, there's still uncertainty amongst the taxpaying community. The EY Digital Asset Tax Suite attempts to bridge the current gap and assist those engaging the digital asset market in meeting their tax reporting obligations."