HMRC has issued a major update on its crypto crackdown, with £300 fines set to be issued in months.
From January 2026, anyone holding crypto like Bitcoin, Ethereum, or Dogecoin must provide personal details to each crypto service provider they use Users will need to provide their name, date of birth, address, and national insurance number (or tax identification number for non-UK residents).
HMRC warned on X (formerly Twitter) today that failure to comply could result in a £300 fine.
Service providers will also face penalties of up to £300 per user if they fail to report accurate data.
The new rules, called the Cryptoasset Reporting Framework, aim to uncover unpaid tax on crypto profits.
HMRC will use the data to identify users who haven't paid the tax they owe.
In the UK, you need to report crypto earnings to HMRC because any profit you make from selling, exchanging, or using cryptocurrency can be subject to capital gains tax (CGT) or income tax.
You're liable to pay CGT on crypto when you dispose of it (e.g. sell it, trade it, gift it) and make a profit that exceeds your annual CGT allowance, which is currently £3,000 a year.
The amount of CGT you'll pay in the UK depends on your income tax band. Read more>>
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