UK HMRC Orders Crypto Exchanges to Share User Data to Recover £300 Million in Taxes
Written by Ohris M. Greyoon, Blockchain & Crypto Expert
- Tax Recovery Measures: The UK HMRC has mandated cryptocurrency exchanges to share user data to recover an estimated £300 million in taxes, with the new regulations effective from January 1, 2026, aimed at enhancing tax oversight in the crypto sector.
- User Information Requirements: The new rules require users to provide personal details such as names, birth dates, tax identification numbers, and addresses to ensure HMRC can link users' crypto accounts to their tax records, thereby improving tax compliance.
- Capital Gains Tax Regulation: HMRC aims to reduce the likelihood of investors evading capital gains tax, particularly targeting those who buy low and sell high, with expectations of generating additional tax revenue for the government.
- Tax Exemption Policy: The current capital gains tax exemption threshold stands at £3,000, meaning users do not need to pay taxes if total gains do not exceed this amount, and they can offset losses within four years to reduce their tax burden, further encouraging compliant investment.
About the author
Ohris M. Greyoon
Ohris M. Greyoon holds a Master’s in Computer Science from MIT and has 10 years of experience in blockchain technology and cryptocurrency markets. A pioneer in decentralized finance (DeFi) analysis, he leads Intellectia’s Crypto News, offering cutting-edge insights into digital assets.
