Which Taxes Apply?
Anyone who trades (buys/sells) or mines cryptoassets, or uses cryptoasset derivatives, needs to first consider if they are engaged in financial trading in cryptoassets (ie a business activity), rather than simply assuming they are classed as an investor and taxed under the capital gains tax regime/miscellaneous income regime.
Whether or not there is financial trading in cryptoassets is a complex area. We recommend you read our detailed guidance and consult a professional tax advisor to consider your specific circumstances.
Assuming the cryptoasset activity is not treated as a financial trade, here is an overview of the most common tax treatment for different types of crypto activity. Click the activity type for more detailed information.
* No Capital Gains Tax at the time of acquisition, but it is subject to capital gains tax when the cryptoasset is later disposed.
^ may affect Capital Gains Tax base cost, though.