MetaMask and CoinLedger augment tax reporting for users

CoinLedger, a tech platform specialising in cryptocurrency tax reporting software, revealed a partnership with Web3 wallet provider MetaMask. The alliance brings streamlined interoperability and functionality for MetaMask users. Users who connect their accounts can now load their transaction history into CoinLedger’s tax reporting software in a single click. This makes the process seamless, transposing and combining tax reports from various accounts and/or wallets.

Officials from CoinLedger explained that this partnership brings full integration with MetaMask’s Portfolio offering. Users can now directly sync their portfolio with CoinLedger and then generate tax forms automatically directly from MetaMask Portfolio. By reducing the friction associated with calculating and reporting taxes, they’re making the cryptocurrency ecosystem more accessible to everyone.

Navigating tax reporting in crypto landscape

With the April 15 tax reporting deadline looming for most United States taxpayers, those who’ve bought, received, sold, or gifted cryptocurrency and other digital assets, such as nonfungible tokens or Ordinals, are adjusting to the changing financial landscape. The partnership comes in time for digital asset owners/traders working within the MetaMask/CoinLedger ecosystem.

The cryptocurrency industry’s opinions seem to vary greatly between recognising the need for a correction to prevent crypto firms and large individual investors from overextending the margins all the way to declaring it impossible for cryptocurrency connoisseurs to comply with the laws as written.

At the institutional level, the Biden administration presents the idea of a 30% excise tax on cryptocurrency mining for any company utilising computer resources in the process.

This would apply whether firms owned the equipment and space or leased. The tax would be implemented over three years, with the rate starting at 10%, increasing to 20% during the second year, and finally reaching the full 30% in the third year. According to Riot Platform’s Pierre Rochard, the tax would apply to mining firms regardless of whether they were pulling electricity from the grid or using off-grid resources such as solar and wind power.