Last updated: August 2024
This article is general information about UK tax rules, as we understand them on the date shown. It is not advice on your circumstances. Tax rules depend on your own facts and can change, so please speak to a tax professional before acting on it.
Calculating the amount of cryptocurrency capital gains tax you owe can be a very complex process. It involves evaluating not only all transactions made in the tax year you are calculating for, but also all previous transactions as you need to establish the cost basis you have for the assets your dispose of. This involves accurately pricing cryptocurrencies and often other fiat currencies against each other at the time of disposal, accounting for HMRC’s bed and breakfasting and pooling rules and then ensuring you have not missed any transactions out.
Once you have established your total taxable income and gain or loss for the year, you can work out how much tax you owe based on your tax rate. Check the latest income tax and capital gains tax rates and get more detail in our article "UK tax rates: how to calculate your crypto taxes".
Recap’s UK focused cryptocurrency tax calculator takes away the stress of doing all of these calculations manually. Simply connect your accounts and ensure all historical data is accurate within Recap and our software automatically generates a crypto tax report for all years with taxable activity. Our tax engine was built alongside chartered tax accountants in the UK and according to HMRC’s guidance.