Thomson Reuters, which is the multinational media conglomerate, made an announcement several days ago. On December 19, Reuters announced that it plans to create the new cryptocurrency tax tool in cooperation with Verady. This company specializes in the accounting and reporting of cryptocurrencies and blockchain assets.
As a result, Thomson Reuters GoSystem Tax RS product will include a “Virtual Currency Organizer.” This tool will help the people who have to fill out tax form 1040. Based on the information, the tax tool will serve as a single post of data entry and review for crypto-related transactions. For example, exchanges, purchases, and payment for services fall under this category.
Moreover, this new tool will provide useful information to accounting professionals. Furthermore, clients of Varady’s Ledgible blockchain accounting platform will be able to create reports that are ready for GoSystem Tax and Ultra Tax products.
The CEO of Varady made a comment about the new tool. According to Kell Canty, clients who integrated their wallet and exchange activity can benefit from his new tool. For example, a person who is using this service will be able to notify his or her accounting professionals that the data is ready to go. Accountants will bring this data into the GoSystem Tax product and will place it in the virtual currency organizer.
Cryptocurrency data and a new tool
One of the biggest challenges is to gather trustworthy data about cryptocurrencies. Thomson Reuters partnered with Verady to tackle this issue. This company is helping financial institutions and organizations when it comes to dealing with blockchain assets.
In 2019, the U.S. Internal Revenue Service will explicitly ask taxpayers to provide information about their virtual currency activity. This question will be part of the new IRS Form 1040.
More and more countries will start asking a similar question in the following years.