UK Tax Authorities Urge Crypto Investors for Voluntary Disclosure
Date: 2023-12-03 Author: Dima Zakharov Categories: IN WORLD
Warning to Crypto Investors
The British tax authority, HMRC, has issued a cautionary statement to individuals involved in cryptocurrency investments. They're urging these investors to voluntarily disclose any outstanding tax liabilities linked to capital gains or income tax arising from their involvement in digital assets. By doing so, they can sidestep penalties and potential claims from the Treasury.
Timeframe for Tax Calculation
Crypto investors in the UK are required to calculate their tax liabilities for a period spanning four calendar years from the date of notifying the authorities. This period is crucial for assessing any tax deficit related to their crypto investments.
Deadline for Payment
Those taxpayers who have already provided tax information to the UK Treasury have been given a 30-day window from the disclosure date to fulfill all necessary payments. Failure to comply within the given timeframe might lead the Treasury to take stringent actions, including forced fund recovery, and could subject users to fines.
Streamlining Taxation Rules
Earlier announcements from the UK tax authority indicated their intent to ease taxation rules for participants in the digital asset industry. This move aims to align their tax regime closer to existing operational regulations.
