> For the complete documentation index, see [llms.txt](https://docs.recap.io/uk-tax-guide-for-individuals/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.recap.io/uk-tax-guide-for-individuals/cryptocurrency-tax/which-taxes-apply/vat.md).

# VAT

VAT may be applicable where the individual has a crypto business activity (ie a financial trade), or  has a traditional business (like consultancy) where they receive payment from customers in cryptoassets.

HMRC's guidance on this is at [CRYPTO45000](https://www.gov.uk/hmrc-internal-manuals/cryptoassets-manual/crypto45000). 

{% hint style="info" %}
**Mining** 

Exchange tokens received by miners for their exchange token mining activities will generally be outside the scope of VAT on the basis that:

* the activity does not constitute an economic activity for VAT purposes because there is an insufficient link between any services provided and any consideration; and
* there is no customer for the mining service
  {% endhint %}

{% hint style="info" %}
When exchange tokens are exchanged for goods and services, no VAT will be due on the supply of the token itself.
{% endhint %}