BitPay, a crypto payment services firm, has recently tied up with a company called Refundo, which deals with tax-oriented financial products, so that common people can get some of their tax refunds back in the form of Bitcoins (BTC). A crypto media outlet recently reported this on the basis of a private press release on the 30th of April.
Refundo’s new product is called the CoinRT and this will allow taxpayers to receive the entirety or a part of the tax refunds from the state and federal sources. According to the press releases furnished, it appears that these refunds via BTC will happen through the Payouts from BitPay, and will ensure high speed, low costs of transaction and a high quality of service to those lacking banking facilities.
For using this particular platform and making use of its benefits, users (existing taxpayers) must create an account first and provide a Bitcoin wallet address they have already created for themselves.
In turn, they will then receive a unique routing and account number they can provide while filing their tax returns. The users must then go through a KYC (know your customer) procedure. After that, when the IRS or the Internal Revenue Service or the state authorities send in the refund, BitPay takes care of the payment processing and then makes a proportionate transfer to the crypto wallet owned by the taxpayer.
Major companies within the finance industry have already started to consider the relation between tax payments and use of cryptocurrencies. In fact, last month itself, Ernst & Young, one of the Big Four auditing and professional services firm launched a brand new tool for crypto users, whereby they can prepare taxes and accounts. As the link between taxation and crypto becomes more pronounced, use cases are expanding everyday and we can only hope these developments keep coming up.