Launched in 2012 by Paxos, the itBit crypto exchange platform supports several digital currencies. One of its most alluring features is an over-the-counter trading desk. It also offers several APIs for advanced trading ideas at a meagre trade fee.
Irrespective of any exchange you invest, you need to file taxes at the end of each financial year if you are a crypto trader. In such cases, the need for KoinX emerges. KoinX offers an automated tax calculation provision which aims at simplifying the process. You can integrate your itBit API report and get a tax report on your crypto transactions. But then, how to integrate your itBit API report with KoinX? All information regarding integrating itBit with KoinX is available in this article.
A step-by-step guide on how to generate your itBit tax report with KoinX
Step 1: Log in to your itBit account.
Step 2: On the top right corner, select the Settings (gear-shaped) icon.
Step 3: In the API section, click on Create API.
Step 4: Select Read All permissions.
Step 5: Select the EdDSA algorithm and give your public key.
Step 6: Log in to KoinX.
Step 7: Click on the Integrations section in the navigation bar.
Step 8: In the search bar, search for itBit exchange and select the exchange.
Step 9: Paste your API keys and hit the Import Now button.
How to easily calculate & file your itBit taxes with KoinX
Step 1: Add all the chains and exchanges where you have an account
KoinX supports integrations of more than 180 crypto exchanges, wallets and blockchains. You can easily integrate your API report of the exchange you are trading using the ‘Integrations’ section of KoinX. Hence, if you are an itBit user, please connect your account to the KoinX platform.
Step 2: Review your transactions
Once you have linked your CEX account, KoinX will automatically categorise all your transactions per nature, profits and losses. Once you have the categorised report, you must thoroughly review it to check for errors. Alternatively, if there is an issue with your API report, KoinX will inform you.
Step 3: Generate your tax reports for the selected financial year
If you are satisfied with the categorised report of KoinX, you can give it a green flag to calculate your tax reports based on the tax regimen of the current financial year. Do note that KoinX keeps itself updated with the latest tax slabs for cryptocurrencies so that you can have a hassle-free tax filing experience.
Step 4: File your taxes
Once the tax report is generated, it will be available for download in various formats. You can ask KoinX to provide a CA to file your taxes. Alternatively, you can report to your respective CAs to file income tax reports.
Important things to consider while generating your itBit tax report with KoinX
You are required to adhere to specific points while integrating itBit with KoinX. These points are stated below:
- You have to sync all the transactions before the computation process. Avoiding gaps is necessary for this process as it will ensure the report stays error-free.
- KoinX requires all the data from the account creation date to the present date. For this purpose, you must transfer all the data from itBit to KoinX.
- The platform will start with the computation of profits and losses as soon as the data is compiled. But before that, you should review all your transactions thoroughly.
You don’t need to struggle with the tedious tasks of manually creating and filing your tax report anymore. KoinX is here to assist you with your crypto taxations.
Frequently Asked Questions
Do I need to report my itBit transactions for tax purposes?
Yes, you need to report your itBit transactions for tax purposes. It has been declared mandatory for all users performing crypto trading and transactions to file for taxes. You have to follow the rules laid down by the authorities in your specific region.
Does itBit report to the Income Tax Department?
No, itBit does not report to the Income Tax Department. itBit is a cryptocurrency exchange that lets you trade, bull and sell cryptocurrencies and other digital assets on its platform.
Does itBit provide tax reports?
No, itBit does not provide tax reports. Users can either sell or buy crypto on this platform. For generating tax reports, you have to sync up with KoinX. It is one of the most famous platforms serving this purpose.
How are itBit transactions taxed?
ItBit transactions are taxes per the latest tax laws dictated by the authorities. All the crypto assets have to bear a 30% tax. 1% TDS has also become mandatory for all digital currencies.
How does itBit tax reporting with KoinX work?
As you integrate your itBit API report with KoinX, it will begin categorising all your transactions as the nature of the investment and present it on your KoinX dashboard. To check your tax liabilities, you are supposed to buy a paid plan and download your tax report, which can then be presented to a CA for tax filing.
What are the most common issues with importing transactions from itBit to KoinX?
To begin with, select the correct exchange. Secondly, check if the API report is downloaded in “Read All” format. While generating your itBit tax report, you must ensure that you have selected the EdDSA algorithm and given your public key.
How do I troubleshoot my itBit integration with KoinX?
If you are facing any issues with integrating your itBit API report with KoinX, refer to this blog. If the blog cannot resolve the problem, you can contact our customer support through live chat or write to us on Twitter. You can also email us your query at support@koinx.com.
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