Capital Gains Tax on cryptoassets (2025/26)
Quick answer: For 2025/26, the CGT annual exempt amount is £3,000. Basic-rate taxpayers generally pay 18% on crypto gains; higher and additional-rate taxpayers pay 24% on most chargeable assets including shares and crypto. Report through Self Assessment or the CGT real-time service.
Most individual investors pay Capital Gains Tax on crypto profits rather than Income Tax. The rate and reporting depend on your total gains, your income band, and whether you have used your annual exempt amount elsewhere.
Working out your gain
Your gain is normally the disposal proceeds minus allowable costs. Proceeds are the pound sterling value at disposal. Allowable costs include what you paid for the tokens (via pooling), transaction fees, and costs of valuing the asset for that transaction. Costs already deducted for Income Tax cannot be deducted again.
Rates for 2025/26
For disposals on or after 30 October 2024, the CGT rate on most assets (including crypto) is 18% where total taxable income and gains fall within the basic-rate band, and 24% above that. Residential property has different rates — crypto follows the 'most assets' rates published by HMRC.
Using losses
If you dispose of tokens at a loss, you can offset that loss against other gains in the same tax year. Unused losses can be carried forward to future years, but you must report them to HMRC within the allowed time limits to preserve them.
Reporting deadlines
If you file Self Assessment, include crypto gains in your return due by 31 January following the tax year. Alternatively, use HMRC's 'report and pay Capital Gains Tax' service within 60 days of the disposal for UK residential property — for crypto, Self Assessment or the real-time CGT service are the usual routes for individuals.
Frequently asked questions
What if I lost money overall this year?+
Report the losses on your tax return. You can carry them forward to offset future gains once registered with HMRC.
Does spending crypto on goods trigger CGT?+
Yes. Using tokens to pay for goods or services is a disposal. You calculate the gain based on the sterling value at the time of purchase.