Tax services for every
Fund class including
digital assets

taxplex
Crypto Fund Tax
SPV Tax
Venture Fund Tax
Hedge Fund Tax
Private Equity Fund Tax

Who We Are

Formidium offers tailored tax services for diverse fund types, like Digital Asset, Hedge, Private Equity, Venture, and SPVs. Based in Downers Grove, IL, we serve a global clientele across 10+ countries. Trusted by 600+ funds, we provide top-tier tax support using cutting-edge Proprietary Tax Accounting & Allocation Technology. With licensed CPAs leading our team of 75+ professionals, we excel in automating tax calculations, reporting, and filings, including schedule K-1s for investors. Our technology streamlines data retrieval, cleaning, and reconciliation, ensuring accurate capital gains/loss calculations and precise tax lot accounting. At Formidium, we prioritize innovation and client service for unmatched results.

Our Services

Formidium offers specialized tax services for U.S.-based funds, particularly partnerships like hedge funds. We combine investor data with income information for precise income allocation and tax calculations. We provide a full range of tax services , adept at simplifying complex tax calculations, reporting, and filings for various funds. Our strength lies in our technology and expertise in handling multi-currency, cryptocurrency, and global U.S.-based funds.

  • Review of private placement memorandum tax section.
  • Preparation of U.S. federal returns (1065, 1120, 1120-S), and state tax returns for all U.S. states, including handling composite tax returns, state filing fees, state tax withholdings, and other related tasks.
  • Preparation of all supporting and additional tax forms that are filed along with federal and state tax returns. (Form 8949, 4797, 8825, 8990, 8082, 8832-B, etc.)
  • Preparation of federal and state schedule K-1 reporting for investors.
  • Partner tax allocations using appropriate allocation methods.
  • Preparation and compliance with foreign investments. (Form 5471, 8865)
  • Preparation of international reporting tax forms K-2 and K-3.
  • Preparation of other miscellaneous forms like Form 1099s, name change, address change forms, and many more.
  • Preparation of responses to IRS and state revenue notices.
  • Offering and organizing cost amortization, book-to-tax reconciliations, maintaining tax basis for investor's capital and fund's investment, and handling the assignment of interest from one investor to another.
  • Tax lot level capital gain/loss calculations, wash sales calculation.
  • Carried interest reporting under IRC 1061.
  • All the items are covered for U.S. funds/entities.
  • Preparation of foreign partnerships, blocking corporations' tax returns, including foreign master-feeder structures.
  • Analysis of the entity's structure to determine its applicable U.S. tax filings. (Passive foreign investment company vs. controlled foreign corporation determination)
  • Filing applicable tax forms for non-U.S. funds/entities, including Form 8621, 5472 reporting.
  • Preparation of K-1 equivalent forms for non-U.S. entity/fund's investors, including PFIC/CFC reporting.

Our Edge

Our Seamless fund accounting system, featuring Seamless tax, revolutionizes tax services for various funds including Crypto/Digital assets funds, Hedges funds, Venture funds, Private Equity funds, and SPV. It streamlines tax calculations, allocation of capital gains, and preparation of federal/state returns, K1s, 1099s, and 1042s. With API connectivity to 160+ exchanges and custodians, it handles complex transactions including DeFi & CeFi, in-kind contributions/distributions, and provides detailed tax lot reporting. Seamless Tax ensures efficient processing of tax allocations, reconciles books vs. tax adjustments, and maintains quality controls for accurate tax returns and schedules.

Our Clients

We partner with managers of digital asset, hedge, private equity, venture funds, and SPVs, navigating them through complex tax obligations.