Accounting for Cryptocurrency

At Braant, we have a specialist team of cryptocurrency tax accountants, so we can account your Cryptocurrency gains or losses accurately. From Bitcoin tax to advanced cryptocurrency accounting, your portfolio will be in safe hands.

Bitcoin

Our UK Crypto Accountants Are Here To Help

Braant Accountants can assist with various aspects related to cryptocurrency, including gain/loss calculations, tax return preparation, and optimising tax strategies. We have a specialist team dedicated to handling cryptocurrency matters, ensuring accurate tracking and calculation of crypto gains or losses for tax purposes. 

Additionally, Braant offers guidance on minimising tax on cryptocurrency through various methods. By integrating your crypto activity into your tax return and exploring legal ways to minimise your tax burden, we can help. Some of the services we offer include:

  • Tax compliance advice: Ensure your crypto activities are reported correctly to HMRC with our professional advice. We can help you get the necessary documentation and declarations in place, removing the possibility of surprise HMRC intervention. 
  • Gain/loss calculations: Accurately track and calculate your crypto gains and losses for tax purposes and save time and possibly money. 
  • Tax return preparation: If you have crypto income you need to declare, we can help you incorporate this into your annual tax return, ensuring you stay compliant with income tax laws. 
  • Optimising tax strategies: We can help you reduce the amount of tax you pay on income made from crypto trades. Our expert team is always on top of new rules and regulations to ensure you get the most out of additional income generated. 

Contact us today – to find out more about our cryptocurrency services.

We have the resources, the experts, the knowledge and experience to help your business grow. And with over 1,000 accountancy clients in the UK and London, the volume of our work allows us to share economies of scale with you.



What Is Cryptocurrency?

Cryptocurrency is a form of digital cash that has no intrinsic value in so much as it’s not legal tender and is not backed by government or any financial institution. It’s completely decentralised, meaning transactions are peer-to-peer (P2P) validated and confirmed.

Cryptocurrency security depends on public key, asymmetric cryptography and the blockchain. The blockchain is a public ledger of transactions – everyone on the network has a copy of the ledger, tracing the history of each transaction. Once created, the blockchain cannot be changed.

What Expenses Are Associated With Cryptoassets?

Owning and trading crypto involves several potential tax implications, and possible trading costs including:

  • Capital Gains Tax (CGT): This applies to profits made from selling crypto above the purchase price. If you’ve made significant money off a crypto trade, then it will be subject to CGT. 
  • Income Tax: This may apply to income earned through activities like staking, mining, or airdrops, and may raise the possibility of you needing to pay tax. 
  • Trading Income: If your crypto activity is considered trading income, it may be taxed differently, however, this is dependent on the specific circumstances. 
  • Trade Costs: Depending on the platform you use to trade and exchange crypto, you may also need to pay a small fee to the broker or platform as a commission. 

For further clarification and professional advice, you may need to seek the assistance of accountants who are familiar with the nature of income made from trading crypto. 



UK Cryptocurrency Tax FAQs

Do I need to pay tax on crypto gains? 

Yes, if your profits exceed the annual CGT allowance. However, we have mechanisms in place that may reduce the amount of tax you’re liable to pay. 

How do I report crypto transactions? 

The best way to report transactions is to keep detailed records and documents and consult an accountant for guidance.

Can I offset crypto losses against taxes? 

Yes, capital losses can be used to offset taxable gains if you are eligible. Our team can advise on such cases. 

Contact us today – to discuss how we can help your business grow.

We have the resources, the experts, the knowledge and experience to help your business grow. And with over 1,000 accountancy clients in the UK and London, the volume of our work allows us to share economies of scale with you.