A Look into HMRC Crypto Capital Gains Tax UK

Capital Gains Tax UK: The HMRC has declared that cryptocurrency is to be taxed as either Income Tax or Capital Gains Tax. In this article, we would like to give you a little introduction to Capital Gains Tax.

What are common crypto disposals?

Simply put, cryptocurrency is taxed as Capital Gains Tax when you dispose of your crypto in the following ways:

• Selling cryptocurrency for fiat currency such as GBP, dollars, etc.

• Exchanging crypto for crypto.

• Using crypto as currency to purchase things.

• Using crypto as a gift (unless you are gifting your spouse which is tax-free).

Does capital gains tax depend on income? In terms of the amount of Capital Gains Tax you are required to pay, that depends on the amount of time you have held your assets, as well as your Income Tax rate.

What are the types of capital gains?

There are various types of Capital Gains Tax you need to consider such as:

• Tax breaks

• Short-term capital gains

• Long-term capital gains

• and losses.

This can be a daunting process and that is where Crypto Accountants comes into play.

At Crypto Accountants, our crypto tax experts are here to help all individuals and companies understand the type of taxes owed on their crypto assets.

To contact us, visit our website at: https://www.cryptoaccountants.live/.