HMRC reminds cryptoasset holders of tax obligations
Ahead of this month’s filing deadline for the 2022/23 tax return, HMRC is urging cryptoasset holders to check if they need to report transactions. Does this affect you?
HMRC is concerned that individuals who sell or exchange cryptoassets may not be aware that they need to file a tax return, particularly as a charge can arise even if no money (in the traditional sense) is received. A return will be needed if capital gains, including any arising from transactions in cryptoassets, exceeded £12,300, or if aggregate disposal proceeds for the tax year exceed £49,200. HMRC says that you should check your position if you have made transactions involving cryptoassets, including:
- selling cryptoassets for money
- exchanging one type of cryptoasset for another
- using cryptoassets to make purchases
- gifting cryptoassets to another person
- donating cryptoassets to charity.
In some circumstances, the receipt of cryptoassets may be liable to income tax, e.g. where received from an employer or from mining activity. You should refer to the online guidance accordingly.
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