According to Accounting Wise, UK crypto tax rules apply whenever individuals sell, exchange, spend, or give away digital assets. Navigating these requirements can feel overwhelming, but understanding the core thresholds provides clarity and peace of mind for everyday investors.
Capital Gains Tax Rates and Allowances
According to Accounting Wise, the annual Capital Gains Tax exempt amount for individuals is £3,000 for the 2026/27 tax year. Gains falling within the basic-rate income tax band are taxed at 18%, while gains above it are taxed at 24%.
Disposals include selling crypto for pounds, swapping one token for another, spending crypto on goods, or gifting assets to non-spouses. Disposals must also be reported if total proceeds exceed £50,000 in the tax year for those registered for Self Assessment.
New Reporting Framework and Key Deadlines
According to Accounting Wise, under the Cryptoasset Reporting Framework, UK-based crypto service providers must collect user transaction data, with the first reports due to HMRC by 31 May 2027.
For individuals reporting via online Self Assessment for the 2026/27 tax year, the filing and payment deadline is 31 January 2028.
Record-Keeping for Taxpayers
According to Accounting Wise, taxpayers should retain full transaction histories, dates, exchange rates, and fee receipts to support their tax calculations and stay compliant with HMRC requirements.
Main picture: Photo by Markus Winkler on Unsplash
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