Binocs launches crypto tax tool for investors in the UK
Crypto investments have piqued the interest of UK citizens, increasing their exposure to this asset class. Along with the increase in crypto investments, taxation regarding this asset class has also been in the works. While the rules and regulations keep on changing, it is important to know that all crypto gains are taxed in the UK.
All UK taxpayers need to pay tax on all crypto transactions in the UK. You need to know what transaction tax needs to be paid and how to report it under Self Assessment Taxation. HM Revenue and Customs (HMRC), the regulating body responsible for tax, payments, and customs treats crypto as a capital asset when gains are observed on it.
What are the regulations for crypto taxation in the UK?
All crypto transactions will come under Capital Gains Tax or Income Tax. There are no separate crypto asset taxation regulations, but they must be included in your tax filings. The tax band in the UK is
Up to £12,570
£12,571 - £50,270
£50,271 - £150,000
A taxpayer in the UK needs to start by figuring out what income tax band they fall under. Post that, add the additional income via crypto means. If taxpayers still fall under the tax band, that’s the tax rate individuals will pay on their overall income.
If the additional crypto income pushes you into the next tax band, that is the income on which tax needs to be paid.
Calculating crypto taxes on various transactions can require time and accuracy which is why sometimes having a crypto tax solution software is a blessing in disguise. And Binocs is that blessing in disguise for all UK crypto taxpayers.
What is Binocs and how does it work?
Binocs is an efficient crypto taxation solution that aims at simplifying crypto taxes and portfolio tracking platform.
Binocs is building one of a kind software that works for efficient accounting, taxation, and portfolio-tracking for all crypto transactions. Our software makes it effortless for crypto investors to comply with the latest regulations announced by the IRS.
Binocs holding partnerships with 100+ exchanges, 50+ wallets, and 20+ smart contracts, enables the users to integrate multiple accounts in just one software and receive a comprehensive tax report. Binocs handles various types of transactions on the platform and detects double-entry transactions, alongside other errors.
Users will also be able to track their entire varied crypto portfolio, under just one platform. Whether you wish to follow your NFTs, coins, or contracts, you don’t need to keep a tab of it on different platforms. It can all happen on Binocs.
Binocs aims to bridge the gap between government regulations and investors by providing clarity, services, and solutions for all things crypto tax related.
How to use Binocs to file for your crypto taxes in the UK
To file your crypto taxes with Binocs, you need to follow these steps:
- Integrate transactions from all your accounts whether it’s exchanges, hard wallets or soft wallets.
- Reconcile your transactions in the transaction view. You might wonder what is there in reconciliation. Well, the process of reconciliation is to make sure that you are not missing any transactions and that your transactions are tagged correctly.
- Once you approve your transactions, the software will work its magic and calculate your crypto taxes for you, accurately and efficiently.
- You can then download your crypto tax report or share it with your tax consultant before your file for your crypto taxes.
Features and advantages of Binocs
- Integrated with 100 plus exchanges, more than 50 wallets, and 20 plus smart contracts
Whether one has got multiple accounts on various exchanges or multiple wallets, you can integrate it all on Binocs. This will help to combine all the transactions, easily and calculate one’s net tax liability. The process to add your accounts is also extremely user-friendly, with just a few clicks.
- Accurate Transaction Entries
While importing the data from different exchanges and wallets, Binocs offers the top-notch accuracy. The software detects double-entry ledger systems and missing transactions. This reduces the manual labor to verify the transactions and helps in calculating the actual fair value of the net taxable amount.
- Supports Multiple Transactions
Buy, Sell, Stake, USDT, P2P, Margin, Rewards, Stakes, Swaps, and a plethora of transactions are supported on Binocs. Once an investor imports their data on Binocs, rest assured the software will handle all the transaction details for them.
- Manage and control the crypto portfolio
Till now, the article mentions about the taxation side of features on Binocs. But Binocs also offers the tracking feature, an entire crypto portfolio from just one platform. Users will be able to get an overall view of their total portfolio holdings across all their wallets and accounts. Users no longer need to switch between applications to know their portfolio standings. Binocs has got you covered.
Check out https://binocs.co/uk/ and sign up today to ease your crypto taxes.
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