# NFT tax in the UK — Capital Gains Tax and Income Tax

Selling an NFT for a profit is usually a Capital Gains Tax disposal. Creating and selling NFTs regularly may count as trading income instead. Owning an NFT does not give you copyright in the artwork.

## Key facts
- Each NFT disposal needs a sterling value at sale.
- Creators who sell regularly may pay Income Tax on profits.
- Royalties from secondary sales may be income.
- NFTs are not exempt from UK tax rules.

## Buying and selling NFTs

If you buy an NFT as an investor and sell later, calculate the gain in pounds sterling. Swapping an NFT for crypto is a disposal of the NFT and acquisition of the crypto.
## Creating NFTs for sale

If you mint and sell NFTs as a business or trade, profits may be subject to Income Tax and National Insurance rather than CGT alone. Keep records of costs and sales.

## FAQs
### Are NFT gifts taxable?

Gifting an NFT to someone other than a spouse or civil partner can trigger CGT on any gain, similar to other crypto disposals.

## Sources

- [HMRC — Cryptoassets Manual](https://www.gov.uk/hmrc-internal-manuals/cryptoassets-manual)

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— Digital Assets UK (https://digital-assets.co.uk/tax/nft-tax-uk/), reviewed 2026-06-23. Source: https://www.gov.uk/hmrc-internal-manuals/cryptoassets-manual