Overview
- From January 1, 2026, reporting crypto service providers must capture identity, tax residency and full transaction histories, with the UK’s first submissions to HMRC due by May 31, 2027 for 2026 activity.
- Automatic international exchanges of crypto tax data are scheduled to begin in 2027 for the first-wave countries, with a second group including Australia, Canada and Switzerland starting collection in 2027 and exchanging in 2028.
- In the UK, platforms must gather details such as names, addresses, dates of birth, National Insurance numbers and wallet activity, with penalties up to £300 for incorrect or missing information and up to 100% of tax due for nonpayment.
- HMRC will use platform data to check taxpayer filings, with advisers expecting targeted inquiries and more voluntary disclosures as self-assessment returns add a dedicated crypto section for the January 31 deadline covering 2024–25 gains.
- The framework covers exchanges, custodial wallets, brokers and crypto ATMs, and may extend to some decentralized services where control exists, raising operational burdens and privacy concerns for smaller firms.