Are you paying the right crypto tax?

HM Revenue & Customs (HMRC) has reminded those who have invested in crypto assets that they may need to disclose their trading and pay tax on their profits and gains.  

The letters from HMRC state: “We're writing to you as our records show you have disposed of cryptoassets. However, you have not declared everything correctly. This means you may have tax to pay.” 

If you have received such a letter from HMRC, it is vital you do not ignore it. Your crypto activity may be subject to Income Tax and/or Capital Gains Tax if you’ve: 

• sold cryptoassets for money 
• used cryptoassets to buy other cryptoassets 
• used cryptoassets to buy goods or services 
• gifted them 
• swapped them 

If you need to report income from cryptocurrency or gains you have made, speak to an accountant who can help you register for self-assessment and prepare a tax return. Contact TaxAssist Accountants on 0121 794 4888 or use out online contact form and we will get back to you. 

For more information on when and why you may have to pay tax on your cryptoassets read our guide on Crypto Tax. 

Last updated: 20th August 2024