New rules in the UK mean HMRC will soon get much deeper access to details on crypto transactions. Starting January 2026, crypto platforms have to share information about users’ activity directly with tax authorities. This is part of the new Cryptoasset Reporting Framework (CARF).
From that date, anyone in the UK who holds crypto will need to give personal details to the platform where they trade or store their crypto. This is to reduce tax evasion. If they don’t, there’s a risk of a £300 penalty from HMRC.
In fact, HMRC is already asking for full disclosure about crypto activity on self-assessment forms for the 2024-25 tax year. That means anyone with Bitcoin, Ethereum, Dogecoin, or other digital assets will now see a new version of their tax return. They’ll find a dedicated section in the capital gains pages to report crypto gains or income.
Capital gains tax might apply if you made a profit selling or trading crypto. Income tax and national insurance could also apply, such as for crypto earned from employment or mining, lending, or betting activities. The message from HMRC is clear: these new rules are designed to catch people dodging tax. Ignoring them is not an option.
Once crypto platforms start sharing data, HMRC will be able to check who’s paying the right amount of tax … and who isn’t. The government expects to collect up to £315 million in unpaid tax by April 2030.
Crypto values have soared recently. Over the last year, for example, Bitcoin jumped from £38,000 in August 2024 to £86,000 in January 2025, before settling at £80,000. According to the Financial Conduct Authority about 12% of the UK population (seven million people) own some digital currency.
From January 2026, service providers must collect and report info such as users’ names, addresses, birth dates, tax residency, national insurance or tax reference numbers, and details of crypto transactions. The UK is leading the way, with several other countries joining by 2027 or 2028, but some big crypto hubs haven’t signed up yet.
‘HMRC says these steps will help people keep their tax affairs in order and advises crypto users to check what details they’ll need to provide,’ says Emily Bridges of re:accounts Chartered Accountants. ‘There’s also a voluntary crypto disclosure service, but it’s smart to get professional advice before using it. The planned changes don’t change current law; they just add some extra reporting requirements.’
Do you invest in crypto?
Are you aware of the new reporting requirements?
If in doubt, please talk to the friendly experts at re:accounts Chartered Accountants in Stevenage. We love helping clients to minimise their tax liability while staying compliant. Let’s talk – preferably with coffee!
