Tax filing platform Cleartax has forayed into the crypto tax segment with the launch of crypto tax calculation and filing products. It aims to provide an end-to-end solution to tax filers.
Clear is looking to simplify the legal obligations of investors in digital assets by streamlining and enabling an accurate taxation process for investors and businesses.
As per the rules, users cannot offset crypto losses across different crypto tokens, making it difficult to track net profit/loss. The platform enables users to optimize crypto taxes to offset losses and manage GST and TDS on crypto transactions. It also offers DIY taxation management solutions for retail investors.
Avinash Polepally, Senior Director-Crypto Business Head, Cleartax, told businessline, “We see a huge market opportunity with 25 lakh people estimated to be filing taxes this year. The market is anywhere around Rs100-120 crore and we expect to get 50 per cent of the market share. The new offering is expected to bring in revenues in the range of Rs40 - 50 crore. The platform will leverage crypto communities and influencers to inform users about the product.”
The platform has integrated with over 100 exchanges, including Coinbase, CoinDCX, Binance, WazirX, and many others. Apart from this, the platform also enables Taxation and management services for Airdrops and staking in cryptos. The amalgamation of various exchanges and offerings enhances user experience with a single view of all their investments.
The platform leverages advanced algorithms and historical market data to ensure accurate tax calculations, while automatic API integration with several popular exchanges makes it easy to sync transactions in real time, said the company.