Bitcoin
Reading time: ~2 m
Starting in 2025, income from digital assets will be identified as a separate section on UK tax return forms. This follows from the amendments to the national budget submitted by the country’s Ministry of Finance.
In the table of expected expenses and incomes of Britain, the line of crypto assets will appear only from 2025-2026. In other words, citizens will have to declare their income for the previous reporting period – 2024-2025.
The agency indicated a minimum mark of expected receipts in the amount of £10 million ($12 million). A specific figure is not given.
The initiative is in line with plans to develop a regulatory framework for cryptocurrencies.
The non-profit organization Chartered Institute of Taxation (CIOT) welcomed the plans of the country’s Ministry of Finance.
“The need to declare crypto transactions to the Internal Revenue Service will help raise awareness of citizens’ obligations in this area,” CIOT Deputy President Gary Ashford said.
The specialist emphasized the need for additional measures to counter “widespread ignorance of tax payment and reporting requirements for digital assets.”
In July 2022, the UK authorities invited the public to discuss the possibility of taxing staking and crypto loans.
Recall that the Deputy Governor of the Bank of England, John Cunliffe, proposed to regulate digital assets by analogy with traditional finance. He also pointed out that decentralized protocols do not yet provide an effective way to manage risk.
In December 2022, Cunliffe called for the creation of a regulatory framework for cryptocurrencies before “systemic problems” arise.
Earlier, a bill on financial services and markets was submitted to the UK Parliament, which included the regulation of digital assets.
#Bitcoin #listed #separate #category #tax #returns
