Revolut partners with Koinly to aid its customers in submitting crypto taxes.
Revolut, a neobank and financial technology company that offers banking services, is modernizing the crypto tax reporting process by integrating Koinly's automated service for its users.
According to Revolut's announcement shared on April 27th, the digital bank's partnership with Koinly aims to simplify tax calculations for cryptocurrency gains and losses. This collaboration allows Revolut users to sync their crypto transaction history with Koinly, making tax computations more efficient.
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According to Jane McEvoy, Koinly's global head of partnerships, the partnership has been in the works since the beginning of 2023. Koinly's broad network of over 50 international partners has enabled the company to cater to a diverse clientele with varying crypto tax preferences and requirements.
Danny Talwar, Koinly's head of tax, emphasized the growing popularity of crypto tax software as tax authorities worldwide shift their attention to the sector, noting:
Many crypto traders have multiple exchanges and wallets, meaning keeping tax records is a nightmare. With strict and onerous record-keeping requirements globally, crypto tax software saves time and automates tax reporting.
Talwar stressed the significance of cryptocurrency tax services in helping US citizens leverage "tax loss harvesting." He advised taxpayers to capitalize on the downturns in the crypto market to minimize their tax liabilities, particularly ahead of the US tax deadline in April 2023.
With the partnership, Revolut is also offering a discount for Koinly's tax plans. All Revolut customers who want to purchase Koinly's plans will automatically receive a 20% discount. However, to receive a 60% discount, users must have "made fewer than 250 Transactions in the relevant tax year" and haven't synced "any Transactions from a non-Revolut wallet or exchange."
It is worth noting that, in August 2022, Revolut received Cyprus Securities and Exchange Commission’s (CYSEC) approval to provide crypto services. This approval allows Revolut to offer its services across the European Economic Area (EEA).
Revolut's integration of Koinly's automated tax reporting service demonstrates the growing need for accessible and streamlined crypto tax solutions as the sector continues to gain attention from global tax authorities.
