How to declare crypto as income?

Cryptocurrency investors in the United Kingdom are obligated to declare any profits earned through their cryptocurrency holdings on their annual self-assessment tax return. This requirement ensures that the government collects its due taxes on the increasingly popular digital assets.

BTCC, a leading cryptocurrency exchange, offers a range of services that cater to the needs of cryptocurrency investors. These services include spot trading, futures trading, and a secure wallet for storing digital assets.

To facilitate the tax reporting process, the HMRC (Her Majesty's Revenue and Customs) offers a real-time Capital Gains Tax (CGT) reporting service. This service allows investors to promptly declare and pay taxes on their cryptocurrency gains, ensuring compliance with tax regulations.

The use of the HMRC's CGT reporting service is optional but highly recommended for cryptocurrency investors. It streamlines the tax payment process and helps avoid potential penalties for non-compliance or late filing.

It's essential for crypto investors to keep accurate records of their transactions, including purchase and sale prices, to accurately calculate their taxable gains. This information is crucial for both the annual self-assessment tax return and the real-time CGT reporting service.