Phemex is a full-service cryptocurrency exchange platform founded in 2019. It has earned a prominent position in the industry with leverage trading options of up to 100 times the initial investment. Moreover, the platform facilitates interest-earning opportunities and provides premium members with free real-time trades.
This platform is recommended and renowned for its comprehensive offerings. However, investors using Phemex should be mindful of potential tax liabilities. Fortunately, KoinX comes to the rescue by providing a solution by simplifying cryptocurrency tax management, easing tax calculations, and ensuring regulatory compliance.
Here is an in-depth explanation of how to generate your Phemex tax report from KoinX.
Generate your Phemex tax reports with KoinX
Koinx can help you elevate crypto tax management and stay on your game! With Koinx, you can gain complete control over your portfolio. Our platform helps you generate precise tax reports and easily integrate transactions from various currencies and exchanges.
A step-by-step guide on how to generate your Phemex tax report with KoinX
Step 1: Log in to your Phemex account.
Step 2: On the top right corner of the profile section, click on API Management.
Step 3: Click on API Management and click on Create new API key.
Step 4: Click on the Default API entry.
Step 5: Make sure you have given Read-only as permission and select Don’t Bind for your IP address before hitting the generate key button.
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 Phemex exchange and select the exchange.
Step 9: Paste your API keys and hit the Import Now button.
How to easily calculate & file your Phemex taxes with KoinX
Step 1: Add all the chains and exchanges where you have an account
KoinX makes it effortless for users to import their transaction data from major cryptocurrency exchanges and wallets. It provides extensive support, which makes importing data into a single platform convenient and hassle-free.
Step 2: Review your transactions
KoinX ensures auto-categorisation of all transactions and precise calculation of gains and losses. It ensures utmost accuracy and full compliance with the latest tax regulations.
Step 3: Generate your tax reports for the selected financial year
KoinX allows you to categorise your trades as Capital Gains or Business Income. If cryptocurrency trading is a secondary income alongside passive investing, Capital Gains is the suitable option. On the other hand, if trading is your primary income, opt for Business Income.
Step 4: File your taxes
Effortlessly export tax reports from KoinX and transfer them to your preferred tax software, or you may also provide them to your tax professional for quick and stress-free filing.
Important things to consider while generating your Phemex tax report with KoinX
While generating your Phemex tax report, keep in mind these important factors:
- Ensure proper connections for all integrations.
- Pay sincere attention to any warnings or issues flagged during the import process, and follow guidelines for resolution.
- Grant KoinX access to your full transaction history for precise tax calculations.
- KoinX syncs transactions from your wallet address. However, if required, you can manually synchronise them with the ‘Sync Now’ feature.
To generate an accurate tax report for your Phemex transactions with KoinX, adhere to these vital considerations.
Frequently Asked Questions
Do I need to report my Phemex transactions for tax purposes?
Yes, it is crucial to report your Phemex transactions for tax purposes. As per the Indian government’s 2022 Budget, cryptocurrency activities, including Phemex transactions, are subject to a 30% profit tax. Regardless of the transaction amount, adhering to tax regulations is essential. Ensure accurate reporting of gains, losses, and relevant details to comply with tax laws.
Does Phemex report to the Income Tax Department?
Phemex adheres to all legal and regulatory obligations, which include diligently reporting financial transactions to the Income Tax Department. This commitment to transparency and compliance establishes a secure atmosphere, instilling user confidence and trust.
Does Phemex provide tax reports?
Phemex does not offer tax reports directly. However, users can integrate their Phemex account with KoinX to generate tax reports. Alternatively, they can use Phemex’s transaction history or upload their financial statement to KoinX for accurate tax calculations.
How are Phemex transactions taxed?
Phemex transactions in India are subject to tax obligations. Regardless of gains or losses, all crypto transactions, including those on Phemex, incur a 1% Tax Deducted at Source (TDS). Furthermore, profits from Phemex trades are subject to a 30% annual income tax, falling under the tax jurisdiction for such transactions.
How does Phemex tax reporting with KoinX work?
Phemex’s tax reporting with KoinX is a hassle-free integration process. Paste the Phemex address into KoinX and import transaction data. This will allow you to automatically organise and generate accurate tax reports.
What are the most common issues with importing transactions from Phemex to KoinX?
When importing transactions from Phemex to KoinX, the integration is generally smooth. However, occasional issues like uploading incorrect addresses or missing characters can arise. To avoid such problems, it is advisable to carefully review the file before uploading, ensuring seamless data transfer between the platforms.
How do I troubleshoot my Phemex integration with KoinX?
To troubleshoot your Phemex integration with KoinX, kindly refer to our comprehensive guide and review the outlined steps. If you encounter any difficulties, feel free to seek further assistance by contacting us via Twitter or our support team at support@koinx.com.
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