EY and TaxBit team up to support tax reporting for digital assets

By Gloria Methri

The EY organization has joined forces with TaxBit to help organizations meet tax reporting requirements for cryptocurrency and other digital assets. The alliance will provide organizations with a suite of solutions, along with services from EY US tailored to the digital asset ecosystem.

The move is part of the EY Digital Asset Tax Suite and enables the Digital Asset Customer Tax Operations solution, which combines TaxBit’s tax reporting software with EY tools such as the electronic Tax Form Validator (eTFV), Customer Tax Data Master (CTDM) and Withholding & Reporting Calculator.

The tax suite builds upon existing EY solutions such as the Blockchain Analyzer Tax (BAT) Calculator. It applies to market participants including global cryptocurrency exchanges, emerging decentralized finance (DeFi), gaming platforms, and first timers.

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

Mike Johnson, EY–TaxBit Alliance Leader, Ernst & Young LLP, added, “The digital asset industry is a complex space that needs a comprehensive suite of services to adapt to the evolving regulatory requirements. Through our alliance with TaxBit, we are more ready to support clients with their digital asset tax reporting needs.”

Lindsey Argalas, COO, TaxBit, said, “At TaxBit, we are focused on providing enterprises a single system of record to manage digital assets tax and accounting. Our alliance with EY US bolsters our solutions by integrating world-class expertise, services, and support. We look forward to working alongside the EY US team to enable compliant digital asset adoption for the global economy.”