CoinTracker, a global cryptocurrency tax compliance and portfolio tracking firm has announced its entry into Indian shores in a bid to help crypto users wade through tax complexities and gauge deductions with ease. The company intends to not only engage with crypto users in India but also hire and grow its globally distributed team in the country. Noting that from April 1, 2022, income from the transfer of virtual digital assets such as cryptocurrencies and NFTs is taxable in India at 30 percent, CoinTracker believes that tax compliance ranks high on the minds of both users and regulators.
CoinTracker's tax compliance product will help Indian users track their crypto tax liability from transactions across centralised or decentralised exchanges. Users can sign up for the service by linking their crypto wallet details on the platform, which will automatically calculate and generate a tax liability estimate that can be generated at any time while filing income tax returns or when asked for by a tax consultant.
The platform follows a subscription-based model which starts with a free tier that works for users with up to 25 transactions across wallets. The paid tiers start at Rs. 699 as a one-time payment for the tax year, with a 'Premium' tier with more features like wallet-wise breakdown etc priced at Rs. 2,499 per tax year.
"It can be challenging for folks to navigate the complexity of buying, holding, and transacting with cryptocurrency and nearly impossible to comply with taxes without the right tool. We built CoinTracker to solve this problem seamlessly and are excited to deliver our offering in India," said Jon Lerner, chief executive officer, CoinTracker in a statement.
"We plan to rapidly expand our integrations and partnerships with all the popular exchanges and tax products used in India in the coming months, and ultimately work together to help enable mainstream adoption of cryptocurrency in India," Lerner added.
The foray into the Indian market arrives after CoinTracker secured a $100 million (roughly Rs. 775 crore) Series A funding, which it is using to build products and expand into regions like India. The company is also upbeat about its prospects in India despite the muted cryptocurrency trading volumes in recent weeks.
Alongside the launch of its platform, the company has also released a comprehensive guide that explains the Finance Act and the current status of crypto tax rules in India.
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