After months of development, internal testing and
discussions with Inland Revenue, Taxoshi has launched to
make the complicated cryptocurrency tax process a
breeze.
11 years ago, a visionary going by Satoshi
Nakamoto launched Bitcoin, the first decentralised
cryptocurrency, changing the world of payments
forever.
Now, Taxoshi’s Founder and Technical Lead,
Craig MacGregor, is following in Satoshi’s footsteps by
launching https://taxoshi.com/, a
solution that will streamline the increasingly complicated
process of filing tax returns for anyone in the crypto
ecosystem, from one-off traders to career miners.
The
IRD has recently released a wealth of guidance making it
clear that income from crypto is not immune to tax
obligations.
The process for calculating tax for the
sale of cryptocurrencies, which the IRD considers personal
property held on revenue account, can be incredibly
complicated.
“A lot of people are
dabbling without knowing the consequences. If you only have
one transaction of one currency establishing your cost base
when you sell the gain/loss calculation is easy, but when
you have multiple transactions between crypto and fiat
currencies it can get very complex, very quickly. says Scott
Mason, a crypto accountancy tax specialist and a Managing
Partner of FINDEX, a large Australasian accountancy
firm.
“Having a simple model that takes
that into account has to be a god-send from the compliance
perspective.”
MacGregor was trying to calculate his
own crypto tax obligations and quickly found himself
creating an entire software solution to tackle the
complexity.
“I realised that I had to share this
with the wider crypto-community and Taxoshi was born. IRD
estimates 25,000 to 100,000 crypto users who have a tax
obligation in New Zealand,” MacGregor
says.
“Accountancy information is fragmented and
only just coming into focus as IRD has released new
guidance, but even this guidance is incredibly
complicated.
“Taxoshi is the only platform that is
New Zealand specific and we plan to work with more
regulators to roll out globally in the future. Plus offering
calculations of mining revenue and other advanced ways to
earn money on blockchain and exchanges.
“As the
understanding of the space grows, more people will be
looking to get on the ladder. Taxoshi offers a streamlined
and easy way for them to stay tax
compliant.”
“Cryptocurrency is supported by
innovative technology and Taxoshi is a useful service that
we recommend to our clients for a comprehensive review of
their tax situation”, says Janine Grainger, Co-Founder of
Kiwi cryptocurrency retailer Easy Crypto. “It complements
what Easy Crypto does in terms of making things simple,
streamlined and easy for
customers.”