# Which Taxes Apply? Anyone who trades (buys/sells) or mines cryptoassets, or uses [cryptoasset derivatives](/uk-tax-guide-for-individuals/transaction-types/cryptoasset-derivatives-cfds-futures-and-margin-trading.md), needs to first consider if they are engaged in[ financial trading in cryptoassets ](/uk-tax-guide-for-individuals/cryptocurrency-tax/investor-or-trader.md)(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. {% hint style="info" %} HMRC state: "Only in exceptional circumstances would they expect individuals to buy and sell exchange tokens with such frequency, level of organisation and sophistication that the activities amount to a trade in itself." {% endhint %} 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](https://www.wrightvigar.co.uk/services/crypto/) to consider your specific circumstances. {% content-ref url="/pages/EJGuKCi8WFhZbSPgtYoO" %} [Investor or Trader?](/uk-tax-guide-for-individuals/cryptocurrency-tax/investor-or-trader.md) {% endcontent-ref %} Assuming the cryptoasset activity is not treated as a [financial trade](/uk-tax-guide-for-individuals/cryptocurrency-tax/investor-or-trader.md), here is an overview of the most common tax treatment for different types of crypto activity. Click the activity type for more detailed information. | Disposal/Activity Type | Capital Gains Tax | Income Tax | | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------- | -------------------------- | | ​:pound: [Selling Crypto for Fiat​​](/uk-tax-guide-for-individuals/transaction-types/selling-crypto-for-fiat.md) | ✅​​ | ❌ | | 🔄 [Trading Crypto to Crypto](/uk-tax-guide-for-individuals/transaction-types/trading-crypto-to-crypto.md) | ✅​​ | ❌ | | :shopping\_bags: [Purchases using Crypto](/uk-tax-guide-for-individuals/transaction-types/purchases-using-crypto.md) | ✅​​ | ❌ | | :gift: [Gifts](/uk-tax-guide-for-individuals/transaction-types/gifts.md)​​ | ✅​​ | ❌ | | :ring: [Spouse Transfers](/uk-tax-guide-for-individuals/transaction-types/spouse-transfers.md) | ❌ (if conditions met) | ❌ | | :reminder\_ribbon: [Gifts to Charity, CASCs & Bodies for a National Purpose](/uk-tax-guide-for-individuals/transaction-types/gifts-to-charity-cascs-and-bodies-for-a-national-purpose.md) | ❌ (if conditions met) | ❌ | | ​🎈 [Airdrops](/uk-tax-guide-for-individuals/transaction-types/airdrops.md)​​ | ❌\*​ | ✅ (Sometimes) | | 🤝 [Staking](/uk-tax-guide-for-individuals/transaction-types/staking.md)​​​ | ✅​​ (if [beneficial ownership](/uk-tax-guide-for-individuals/cryptocurrency-tax/new-hmrc-defi-guidance/is-beneficial-ownership-bo-transferred.md) is transferred) | ✅ | | :money\_with\_wings: [Transfers](/uk-tax-guide-for-individuals/transaction-types/transfers.md)​​ | ❌​​ | ❌ | | :fork\_and\_knife: [Forks](/uk-tax-guide-for-individuals/transaction-types/forks.md)​​​ | ❌^ | ❌ | | :pick: [Mining](/uk-tax-guide-for-individuals/transaction-types/mining.md)​​​ | ❌\* | ✅ | | :purse:​​​​​​ [Employment income](/uk-tax-guide-for-individuals/transaction-types/employment-income.md) | ​​❌\*​ | ✅ | | :rotating\_light: [Lost & Stolen Crypto](/uk-tax-guide-for-individuals/transaction-types/lost-and-stolen-crypto.md)​ | Potential to claim capital losses​ | ❌ | | :game\_die: [Gambling](/uk-tax-guide-for-individuals/transaction-types/gambling.md) | ​​✅​​ | ❌ | | :droplet: ​​​​​​​​[Liquidity Pool Rewards](/uk-tax-guide-for-individuals/transaction-types/liquidity-pools.md#liquidity-pool-rewards)​​ | ​❌\* | ✅ | | :droplet:[Liquidity Pool Entry/Exit](/uk-tax-guide-for-individuals/transaction-types/liquidity-pools.md#liquidity-pools-entry-and-exit) | ​​✅​​ (if [beneficial ownership](/uk-tax-guide-for-individuals/cryptocurrency-tax/new-hmrc-defi-guidance/is-beneficial-ownership-bo-transferred.md) is transferred) | ❌ | | :arrow\_up: [Token Upgrades/Swaps](/uk-tax-guide-for-individuals/transaction-types/token-upgrades-swaps.md)​​​ | ❌^ | ❌ | | :crystal\_ball: [Cryptoasset derivatives (CFDs, Futures and Margin Trading)](/uk-tax-guide-for-individuals/transaction-types/cryptoasset-derivatives-cfds-futures-and-margin-trading.md)​​​ | ✅​​​​​​ (Individual discretion) | ✅ (Individual discretion​) | | :briefcase: [Crypto Loan Principal​​](/uk-tax-guide-for-individuals/transaction-types/crypto-loans.md) | ✅​​ (if [beneficial ownership](/uk-tax-guide-for-individuals/cryptocurrency-tax/new-hmrc-defi-guidance/is-beneficial-ownership-bo-transferred.md) is transferred) | ​​❌ | | :briefcase: [Providing Collateral](/uk-tax-guide-for-individuals/transaction-types/crypto-loans.md) | ✅​​ (if [beneficial ownership](/uk-tax-guide-for-individuals/cryptocurrency-tax/new-hmrc-defi-guidance/is-beneficial-ownership-bo-transferred.md) is transferred) | ❌ | | :arrows\_counterclockwise: [REPOS](/uk-tax-guide-for-individuals/transaction-types/repos.md) | ​​ (if [beneficial ownership](/uk-tax-guide-for-individuals/cryptocurrency-tax/new-hmrc-defi-guidance/is-beneficial-ownership-bo-transferred.md) is transferred) | ❌ | | :gem:[​​ Lending Rewards​​​](/uk-tax-guide-for-individuals/transaction-types/crypto-loans.md#lending-rewards) | ❌\* | ✅ | | :mirror: [Reflections Rewards](/uk-tax-guide-for-individuals/transaction-types/reflections-rewards.md)​​ | ❌\*​ | ❌ | | :busts\_in\_silhouette: [Referral Income](/uk-tax-guide-for-individuals/transaction-types/referral-income.md)​​​ | ❌\* | ✅ | | :credit\_card: [Cashback](/uk-tax-guide-for-individuals/transaction-types/cashback.md) | ❌\* | ❌ | | ​​​​​​:art: [NFTs (Non Fungible Tokens)](/uk-tax-guide-for-individuals/transaction-types/nfts-non-fungible-tokens.md) | ✅ | ❌ | | :video\_game: [NFTs earned playing games](/uk-tax-guide-for-individuals/transaction-types/nfts-earned-playing-games.md)​​ | ❌**\***​​ | ✅ | \* 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. --- # 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