Everything You Need to Know about Selling Crypto Tax
Do you need to declare crypto to HMRC? The HMRC has declared that cryptocurrency is to be taxed as either Income Tax or Capital Gains Tax.
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).
Selling Crypto
Is selling cryptocurrency taxable in the UK? Since selling crypto is considered disposal, you will be liable to pay tax:
Selling crypto for fiat currency GBP – this will depend on your regular income and will determine whether you pay either 10% or 20% if you have acquired any gain from the transaction.
Exchanging crypto for crypto – This, once again, will be subjected to Capital Gains Tax. To find out whether you have acquired a gain or a loss, then you need to figure out the cost basis of your crypto asset and subtract it from the asset’s fair market value on the particular day you traded.
Crypto Tax Accountants UK
Our experts at Crypto Accountants are ready to ensure all individuals, companies, and businesses are fully prepared for this venture, assisting you in calculating how much tax you owe, as well as ensuring you get the maximum profit possible according to the guidelines set by HMRC.
To contact us, visit our website at: https://www.cryptoaccountants.live/