4 ms·

Nope. You only have to report capital gains in excess of your annual allowance, which is £11,300 at the moment.

dogma1138 9y ago
You still have to record them. Also don’t forget that if you have an ISA, other savings and investments that allowance isn’t that big. As an individual if you mine you have to record the value as it was at the time of mining if you buy you record it at the time of purchase and you pay capital gains if you exchange the crypto for fiat currency or goods or services directly on the difference between the values. It gets more complicated since you can’t select an individual currency unit form your wallet but atm you are allowed to use creative accounting for that. The fact that you have an allowance doesn’t mean it’s not taxed and if you have any substantial amount you’ll blow throgh that allowance pretty darn fast.
- psergeant 9y ago
  I don’t believe any assets held in an ISA have any bearing at all on your capital gains allowance.
  - golangnews 9y ago
    This is correct, gains in ISAs are tax free and have no impact on cgt allowance. So if cryptocurrencies were a good investment an ISA would be an excellent place to hold them and convert gains to currency you can spend, but I don’t think any isa providers support them.
    - psergeant 9y ago
      Which is a particularly useful case for Bitcoin ETFs
    - dogma1138 9y ago
      They don’t have impact unless you sell or cash out. The same goes for many other assets you pay cgt only when the profit is realized.
      - golangnews 9y ago
        No, you don’t ever pay cgt on gains in an isa, that’s the whole point of them. So if you could hold bitcoin (at the moment only an etf is possible), there are no taxes on gains. https://www.gov.uk/capital-gains-tax/what-you-pay-it-on https://www.gov.uk/capital-gains-tax/what-you-pay-it-on
- celticninja 9y ago
  You only record them if you otherwise self assessment for tax. If you do t eve self assessment you do not claim if the gain is below £11k unless the total sale is in excess of £45k
d4rti 9y ago
Not wishing to be overly pedantic, but you have to report in any of the following circumstances: * Capital gains in excess of £11,300 * Disposals (sales) in excess of £45,200 * Losses that you wish to claim https://www.gov.uk/capital-gains-tax/work-out-need-to-pay https://www.gov.uk/capital-gains-tax/work-out-need-to-pay Worth noting e.g. if you receive stock under US company schemes and sell even if you have already been taxed on the gain versus FMV as income. You can be in a circumstance where the taxable gain is under the threshold but disposals are high.

You still have to record them. Also don’t forget that if you have an ISA, other savings and investments that allowance isn’t that big. As an individual if you mine you have to record the value as it was at the time of mining if you buy you record it at the time of purchase and you pay capital gains if you exchange the crypto for fiat currency or goods or services directly on the difference between the values. It gets more complicated since you can’t select an individual currency unit form your wallet but atm you are allowed to use creative accounting for that. The fact that you have an allowance doesn’t mean it’s not taxed and if you have any substantial amount you’ll blow throgh that allowance pretty darn fast.

psergeant 9y ago
I don’t believe any assets held in an ISA have any bearing at all on your capital gains allowance.
- golangnews 9y ago
  This is correct, gains in ISAs are tax free and have no impact on cgt allowance. So if cryptocurrencies were a good investment an ISA would be an excellent place to hold them and convert gains to currency you can spend, but I don’t think any isa providers support them.
  - psergeant 9y ago
    Which is a particularly useful case for Bitcoin ETFs
  - dogma1138 9y ago
    They don’t have impact unless you sell or cash out. The same goes for many other assets you pay cgt only when the profit is realized.
    - golangnews 9y ago
      No, you don’t ever pay cgt on gains in an isa, that’s the whole point of them. So if you could hold bitcoin (at the moment only an etf is possible), there are no taxes on gains. https://www.gov.uk/capital-gains-tax/what-you-pay-it-on https://www.gov.uk/capital-gains-tax/what-you-pay-it-on
celticninja 9y ago
You only record them if you otherwise self assessment for tax. If you do t eve self assessment you do not claim if the gain is below £11k unless the total sale is in excess of £45k

d4rti 9y ago

Not wishing to be overly pedantic, but you have to report in any of the following circumstances: * Capital gains in excess of £11,300 * Disposals (sales) in excess of £45,200 * Losses that you wish to claim https://www.gov.uk/capital-gains-tax/work-out-need-to-pay https://www.gov.uk/capital-gains-tax/work-out-need-to-pay Worth noting e.g. if you receive stock under US company schemes and sell even if you have already been taxed on the gain versus FMV as income. You can be in a circumstance where the taxable gain is under the threshold but disposals are high.