The post Taxbit Joins Backpack to Provide Compliant Crypto Tax Reporting appeared on BitcoinEthereumNews.com.

Taxbit, a renowned crypto tax platform, has collaborated with Backpack, a popular crypto self-custody and exchange entity. The partnership aims to automate regulatory requirements as the worldwide crypto tax requirements have become relatively standardized and strict. As Taxbit disclosed in its official social media announcement, Backpack is integrating its technology to streamline the way consumers track, report, and calculate taxable crypto operations. Hence, the development highlights the wider market push toward audit readiness, regulatory alignment, and transparency. We’re proud to partner with @Backpack to power compliant digital asset tax reporting. Taxbit enables due diligence data collection, cost basis calculations, 1099-DA reporting, and federal/state filing. Supporting accuracy, compliance, and confidence as regulations evolve. pic.twitter.com/LxRLw2OU1A — Taxbit (@Taxbit) February 19, 2026 Taxbit and Backpack Alliance Brings 1099-DA Reporting and Cost-Basis Tracking Taxbit’s integration with Backpack will permit it to offer a comprehensive tax reporting within its ecosystem. This will include automated cost-basis evaluations and the due diligence data aggregation. The respective infrastructure permits precise loss and gain tracking across diverse digital asset transfers. This has become essential amid the growing complexity of crypto trading activity across staking, derivatives, and spot products. Apart from that, the system also focuses on generating 1099-DA forms, under the exclusive tax reporting benchmark in the U.S. for digital assets. This helps consumers comply with impending federal requirements. Additionally, the solution backs jurisdiction-focused compliance workflows and state-level filings. This is specifically significant while the regulatory authorities are broadening reporting responsibilities for brokers and exchanges dealing with digital assets. By incorporating tax instruments into the trading ecosystem, Backpack minimizes dependence on 3rd-party manual reconciliation. It is a procedure that often paves the way for underreporting and errors. Therefore, the collaboration attempts to elevate both regulatory risk reduction and operational efficiency. The development can enhance consumer confidence while minimizing administrative pressure…

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Filed under: News - @ February 20, 2026 6:26 am