# On Receipt of Income Reward * Cryptoasset tokens received as an income reward are taxable as miscellaneous income when received; subject to income tax but not national insurance. The taxable income is the sterling market value of reward tokens at the date of receipt. * Cryptoasset tokens received as an income reward are excluded from the capital gains calculations needed at the time of locking away the principal tokens and at the time the principal is returned. * Acquisition cost of the tokens received as an income reward is the sterling market value of the tokens received, at the date of receipt. * Income reward tokens are subject to capital gains tax in the future when they are disposed of, based on the appreciation or depreciation in value between acquisition and disposal. See our [Example 1B](/uk-tax-guide-for-individuals/cryptocurrency-tax/new-hmrc-defi-guidance/consider-the-tax-treatment/staker-lender-collateral-provider/income-rewards/bo-not-transferred/example-1b.md) illustrating the tax position at each point in the lifecycle of staking tokens where there is NO transfer of beneficial ownership and income rewards are received. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.recap.io/uk-tax-guide-for-individuals/cryptocurrency-tax/new-hmrc-defi-guidance/consider-the-tax-treatment/staker-lender-collateral-provider/income-rewards/bo-not-transferred/on-receipt-of-income-reward.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.