Engiven, a donation platform for organizations’ cryptocurrencies, simplifies tax reporting for cryptocurrencies and nonprofits by launching a tax form and cryptocurrency donation assessment service.
Engiven’s platform now allows non-profit organizations and donors to automatically create a tax form for the Internal Revenue Service (IRS), the company announced on Tuesday.
According to Engiven, nonprofits must file IRS Form 8282 for cryptocurrencies of $ 500 or more if donated funds are exchanged for U.S. dollars, while donors must file Form 8283 with a tax return for donations of $ 500 or more. Engiven automatically enters donation details on tax forms from the tax authorities and sends the completed form to the non-profit organization for signature and registration.
In addition, Engiven will provide a free evaluation to all crypto donors who donate cryptocurrencies worth $ 5,000 or more using their platform.
To donate $ 5,000 or more in cryptocurrencies, donors must have the donated funds evaluated by a qualified expert. According to Tony Oommen, vice president of the public charity Fidelity Charitable, eligible cryptocurrency values can range from $ 100 to $ 600 for a donation of $ 5,000.
Engiven’s CEO James Lawrence noted that Engiven’s new tax functions and services are ultimately intended to help donors and charities focus on their mission by automating the process of creating tax forms.
“Before the tax season comes, we want to ensure that donors and non-profit organizations on the Engiven platform have the necessary, pre-filled tax forms they need to comply with the tax authorities’ rules for crypto donations,” said Lawrence.
Founded in 2018, Engiven is one of the largest crypto-donation platforms in the United States, facilitating crypto-donations to more than 400 religious groups and non-profit organizations, including the charity The Salvation Army. In February, Engiven partnered with US Skating, the national snowboarding governing body, to help it donate cryptocurrencies such as Bitcoin (BTC).
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Engiven’s recently launched cryptocurrency-focused tool comes in the middle of an imminent tax deadline, with residents in the US having until April 18 to file a tax return. Create cryptocurrency tax forms without the help of specialized automated tax reporting services.