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Crypto and tax: HMRC is getting a clearer view from 2026

  • Tax

If you’ve bought, sold or swapped crypto through a UK platform, there’s a change you should know about. HMRC is about to get a much clearer picture of who holds crypto and what they’ve done with it.

Nothing here is a reason to panic. But it’s a good moment to check your records and make sure what you’ve told HMRC matches what’s actually happened.

What’s changed

Since 1 January 2026, UK crypto platforms have been collecting details about their users and their transactions under new international rules called the Cryptoasset Reporting Framework.

They’ll send their first reports to HMRC between 1 January and 31 May 2027, covering everything that happened during 2026.

To do that, platforms need some details from you: your full name, date of birth, address, and a tax reference such as your National Insurance number or Unique Taxpayer Reference. If you don’t give them, or give the wrong ones, you could face a penalty of up to £300. So if your platform asks for these, it’s worth replying.

When crypto is taxed

This is where a lot of people get caught out. You don’t have to cash out to your bank for there to be tax to pay.

For Capital Gains Tax, what matters is when you dispose of your crypto. That includes:

  • selling it

  • swapping one token for another

  • using it to pay for goods or services

  • giving it away (gifts to your spouse, civil partner or a charity are the exception)

If your total gains for the tax year are over the tax-free allowance, currently £3,000, you need to report them and pay the tax.

Reporting it on your tax return

Self Assessment returns now have a dedicated section for cryptoassets, starting from the 2024 to 2025 tax year. Gains are reported in pounds sterling.

Keep your own records

HMRC is clear that you must keep your own records. The reports your exchange gives you aren’t tax calculations, and they don’t track the pooled costs that HMRC’s rules use.

For each transaction, keep a note of:

  • the type of token

  • the date

  • how many tokens you disposed of and how many you have left

  • the value in pounds sterling

  • your bank statements

  • your pooled costs before and after the disposal

If you use several platforms or wallets, this can get complicated quickly. The sooner you pull it together, the easier it is.

If you’ve missed something in the past

If you think you owe tax on crypto from earlier years, HMRC has a Cryptoasset Disclosure Service for telling them. It’s usually better to come forward yourself than to wait for HMRC to get in touch.

How we can help

We’re a family-run firm of CIMA Chartered Management Accountants in Fawley, working with clients across the UK. We can help you get your crypto records in order, work out what’s taxable, and make sure it’s reported correctly on your tax return.

Book a free call with our team: www.kara-accountants.net/contact/

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