New UK Crypto Reporting Rules Coming into Force in 2026 – Essential Guide for Crypto Investors
Major HMRC Crypto Reporting Changes Coming in 2026 – What UK Investors Need to Know
From 1 January 2026, HMRC will introduce a new set of reporting requirements that will impact almost every UK crypto investor. These rules form part of the OECD Crypto-Asset Reporting Framework (CARF), designed to give tax authorities worldwide better visibility of digital asset activity.
As specialist UK crypto tax advisers, we’ve created this comprehensive guide to help you understand how the rules work, who they affect, and what steps you should take now to prepare.
What Is CARF and Why Does It Matter for UK Crypto Investors?
CARF is an international reporting standard requiring crypto platforms to share user data with tax authorities. It works similarly to how banks already report interest and account details to HMRC.
From 2026, HMRC will begin receiving information directly from:
UK-based crypto exchanges
Overseas exchanges operating in CARF-participating countries
Custodial wallet providers
Certain intermediaries facilitating crypto transactions
This change does not introduce a new tax but dramatically strengthens HMRC’s ability to detect unreported gains, losses and income from crypto.
What Crypto Platforms Must Report to HMRC from 2026
Starting 1 January 2026, platforms must begin collecting detailed information to be submitted to HMRC by 31 May 2027. The data includes:
1. Personal identification
Full name
Address
Date of birth
Residency status
Tax identification number (NI or UTR)
2. Transaction information
All disposals (including crypto-to-crypto swaps)
Acquisitions
Transfers
Wallet identifiers and linked addresses
GBP value of each transaction
Associated fees
Your chosen exchange will report these details automatically, regardless of whether you submit a Self Assessment return.
How These Rules Affect UK Crypto Investors
HMRC will automatically match data to your tax return
If you have missing gains, incorrect figures or unreported crypto income, HMRC may open an enquiry or send a nudge letter.
Crypto-to-crypto swaps remain taxable events
Many investors still misunderstand this. Any swap, sale, spend or gift is a disposal for Capital Gains Tax (CGT).
Income-type crypto rewards remain taxable
Activities that may fall under Income Tax include:
Staking rewards
Mining income
Airdrops (in certain cases)
Token incentives
DeFi yield
Correct classification is essential to avoid penalties.
Good record-keeping becomes crucial
HMRC will now be able to cross-check your records with platform data, so accuracy is more important than ever.
How to Prepare for the 2026 HMRC Crypto Reporting Rules
1. Keep complete and accurate records
You must track:
Dates of every transaction
GBP values at the time
Fees paid
Gains/losses
Staking and airdrop income
Wallet-to-wallet transfers
2. Review and update your KYC information
If your personal details on exchanges are out of date, HMRC may receive incorrect information.
3. Use trusted crypto tax software
Tools like Recap, Koinly or Accointing can consolidate your exchange and wallet activity into one report. We have been working with Koinly since 2021, so we would naturally recommend them as the go-to tool for Crypto reconciliations and reports.
4. Correct previous mistakes early
Voluntary disclosure is always better than waiting for HMRC to contact you.
Free Download: UK Crypto Tax Record-Keeping Checklist (2026 Edition)
To help investors prepare, we’ve created a simple one-page checklist covering:
Required crypto records for HMRC
Income vs capital treatment
Wallet and exchange data you must retain
Annual reporting requirements
Common compliance mistakes
👉 Download the free PDF checklist: “UK Crypto Tax Record-Keeping Checklist – 2026 Edition”
Work With a Specialist UK Crypto Tax Accountant
With HMRC’s new reporting rules, accurate record-keeping and correct tax reporting are more important than ever.
At Crypto Tax Accountants, we specialise exclusively in:
Crypto tax returns
DeFi tax treatment
NFT tax advice
Tax planning for investors and crypto businesses
HMRC enquiries and voluntary disclosures
Book a free initial consultation today and get personalised guidance from a qualified UK crypto accountant.
This blog provides general guidance only and is not legal or professional advice. We are not liable for actions taken based on this content. Full advice and protection apply only to clients
