BitPay, a popular crypto payment company, has decided to start a partnership with Refundo, a financial company that is specialized in offering people tax refunds. With the new partnership, the company will offer people the chance to get some of their tax refunds in Bitcoin, as announced on the press release.
Basically, the new project will be a partnership between CoinRT, the new service of Refundo to let people receive some money back from the government in BTC and BitPay’s Payouts, which will be used to pay the refunds with low fees and high speed.
In order to create an account on the platform and start receiving their refunds on BTC, all that the taxpayers have to do is to have a BTC wallet (obviously) and pass the Know Your Customer (KYC) process. They will receive a unique routing number then and the Internal Revenue System (IRS) will send their BTC. BitPay will do all the rest and transfer the money to the client’s wallet.
Obviously, you can only access the system if you are a U. S.-based citizens who pay taxes in the country. At the moment, BitPay has not announced any kind of similar service for other countries.
According to Rolf Haag, head of business solutions at BitPay, the company is thrilled with the partnership, which was created because there was a huge demand for it. The CEO of Refundo, Roger Chinchilla, affirmed that BTC was a natural fit for the customers of the company because they could send money internationally paying less fees.
Several Companies Are Interested In Cryptos and Taxes
There are many companies which got interested in helping people to pay their taxes using BTC, to receive BTC refunds or to help to declare what they own. The main reason for that is that it is still hard to understand all the changes in the system, so guidance can be very useful.
Ernst & Young, for instance, has recently decided to launch a tool that would help people to use the data from several crypto exchanges in order to prepare their taxes to be declared.
Another U. S.-based service, TurboTax Online, has started a partnership with CoinsTax LLC in order to help people to calculate their taxes as well. This way, people import their data and can easily calculate it.
The issues are so common that several letters were sent to the IRS recently asking it to clarify for the taxpayers how to actually pay their taxes. Unfortunately, the IRS has not responded until now.