Bitpanda is thus the first European trading platform to offer a fully comprehensive tax solution for trading with crypto currencies such as Bitcoin & co. With the Bitcoin exchange rate rising at the moment and profits generated from it, the partnership between the companies creates legal security for users.

Linz, Vienna | Blockpit and Bitpanda join forces to help more than one million traders with their tax declaration. Since the beginning of the year cryptocurrencies such as Bitcoin and Ethereum put on partially more than 30% at value. Many crypto traders are facing the question how to correctly tax their profits. The main goal of the partnership between both companies is to create more legal certainty in trading with digital assets: "We are very pleased that with Bitpanda we have been able to win the largest and most important trading platform for digital assets in the DACH region as a partner. Legal certainty is an important step for the enforcement of these assets on the international financial market," says Florian Wimmer, CEO of Blockpit. In contrast to common trading portfolios at traditional banks, realized profits are mostly not automatically reported and deducted to the tax authorities. In the case of digital assets, taxable profits must be reported independently and without a call, as otherwise high penalties are threatening.

Paul Klanschek, co-founder and CEO of Bitpanda, also welcomes the cooperation: "Our mission as a leading neo-broker is to break down the barrier for private finances and provide easier access to investments. The tax treatment of crypto-assets is currently considered complex, multi-layered and therefore extensive. With this partnership, we want to provide our more than 1.3 million customers with a simple way to optimize the trade with digital assets from a tax point of view, as well as to process it in a legally compliant and uncomplicated manner".

Income from crypto trading needs to be taxed
Bitpanda, many private investors, but also companies, still assume that the taxation of profits from trading in digital assets is a grey area or are uncertain about the current legal situation. However, the regulations here are mostly specified by the financial institutions. Both companies recommend a detailed and complete documentation of all trades for later verification. "These reports can and will be demanded by the tax office", Florian Wimmer points out. Only in August, Blockpit took over its largest competitor from Germany and is currently the only provider to offer comprehensive real-time tax calculation algorithms for the DACH region and the USA under the CryptoTax brand. These algorithms and the resulting reports are specifically created per country and the framework has been audited by one of the big four accounting firms based on the current legal situation.

Tip for interested and beginners:
Blockpit also provides a cryptographic tax guide for download free of cost. The 50-page free PDF deals with the tax law treatment of the trade with digital assets in Austria, Germany and Switzerland and serves as a first contact point for interested and affected parties. The cryptographic tax guide can be downloaded free of charge via kryptosteuerguide.com. An updated version will be released in late autumn and will offer more detailed insights.