Income tax payers in the United States now have an option to receive their federal and state tax refunds in Bitcoin (BTC).
This latest development as announced on Tuesday is made possible through a partnership between crypto payments company Bitpay and U.S. based tax and financial services provider Refundo.
According to the press release, Refundo customers can now choose to receive all or a part of their tax refund in Bitcoin through the company’s Coin-RT product. The process will require taxpayers to setup their account, provide basic KYC (Know-Your-Customer) details and their bitcoin wallet address.
After the documentation process and on refund of payment by the Internal Revenue Service (IRS), BitPay will process the payment and send bitcoin to the taxpayer’s wallet.
CEO of Refundo defines the service as ‘primarily focused on serving the underbanked community with faster payments and lower transaction fees’. In his words:
Adding Bitcoin was a natural fit for our customers who often do not have traditional checking accounts, pay high check cashing fees and regularly send money internationally. Coin-RT enables them to get bitcoin quickly and easily for one flat fee.
The Coin-RT service costs a $34.95 flat rate regardless of the refund amount and with no extra charges or processing fees; great option for over 140 million US taxpayers and a plus for adoption.
It will be recalled that BTC.ng had published a post on Bitcoin for tax payments in Ohio, United States. Similarly, at this time Canada is experimenting a one year trial of bitcoin for property tax payments.
The subjects ‘Bitcoin for taxes and crypto tax payments’ are making waves especially in the United States, with new apps and financial authorities all looking to leverage on it.