Cryptocurrency has opened the door to new opportunities for investors, businesses, and entrepreneurs. But with opportunity comes complexity, especially when it comes to tax. Every trade, airdrop, or NFT sale can have implications, and HMRC is now far more active in monitoring crypto transactions.
At Clark Jamison, we help clients cut through the noise. Our team specialises in cryptocurrency and digital asset taxation. From calculating capital gains across multiple exchanges, to advising businesses paid in Bitcoin, we provide solutions that keep you compliant and tax planning opportunities around disposals.
Who we help
Clients under HMRC enquiry or who have undeclared activity
- Individual investors with long-term holdings or frequent trades
- High-frequency traders at risk of being classed as a business by HMRC
- Entrepreneurs and businesses accepting crypto payments
- NFT creators, collectors, and digital artists
- Miners, stakers, and liquidity providers
- Expats and non-residents with crypto assets across borders
How we can help
Capital gains on crypto
Most cryptocurrency transactions fall under Capital Gains Tax (CGT). This applies whenever you sell, swap, or even spend your crypto. Many investors are caught out by the fact that:
- Exchanging one crypto for another is a taxable event
- Each trade needs a GBP value assigned at the time of disposal
- Costs such as exchange fees and gas can sometimes be deducted
- Losses need to be reported if you want to offset them later
We handle the calculations, reconcile records across wallets and exchanges, and prepare accurate filings. Whether you have 50 trades or 50,000, we make sure your CGT position is correct.
Business and corporate crypto consulting
More businesses are accepting Bitcoin and other cryptocurrencies for payments, or holding digital assets as part of their balance sheet. This creates new challenges, including:
- Accounting for crypto on balance sheets
- VAT treatment of crypto transactions
- Payroll issues when paying staff in crypto
- Profit repatriation from overseas exchanges
- Group structuring for companies operating internationally
We advise directors, entrepreneurs, and SMEs on how to integrate crypto into their business without falling foul of accounting and tax rules.
Record-keeping and tracking
Accurate record-keeping is the backbone of crypto tax compliance. HMRC can demand detailed records for every disposal, which can be challenging when using multiple exchanges and wallets. We help by:
- Reconciling data across wallets and exchanges
- Using crypto tax software where appropriate
- Reviewing spreadsheets and records for accuracy
- Preparing clean, compliant calculations ready for HMRC
Digital assets
Airdrops, forks, and coin launches
Our team supports clients by:
- Assessing whether airdrops should be treated as income or gains
- Handling fork allocations and base cost calculations
- Providing tailored reporting for ICO participation and new coin launches
We ensure your filings are accurate and within financial guidelines.
NFTs, VAT, and new asset types
Clark Jamison advise NFT creators, collectors, and businesses on:
- VAT implications for commercial NFT sales
- Reporting disposals for CGT
- Structuring NFT launches to minimise unnecessary exposure.
We make sure your activity is reported correctly and all obligations are covered
General crypto trading and HMRC
There is a difference between an investor and a trader in HMRC’s eyes. Most people fall into the “investor” category, but high-frequency traders may be taxed under income tax rules instead of CGT. We help you understand which treatment applies to your activity, and structure your reporting accordingly.
That being said, not every crypto event triggers a tax bill. Some situations are free from Capital Gains Tax or Income Tax, though it is important to understand the limits.
| Scenario | Tax Position | Notes |
| Buying and holding crypto | Not taxable | You only pay tax when you dispose of the asset. |
| Transferring between your own wallets | Not taxable | HMRC does not treat this as a disposal. |
| Gifting to a spouse or civil partner | Not taxable | Transfers between partners are free of CGT, with base cost carried over. |
| Annual CGT allowance | First £3,000 of gains are tax-free | Applies across all disposals in the tax year. |
| Trading allowance | First £1,000 of income may be tax-free | Applies if HMRC treats activity as income (mining, staking, airdrops). |
| Using losses | Not taxable but can reduce future bills | Report losses to offset against future gains from any asset. |
Common myths about crypto tax
A lot of misinformation circulates online about how crypto is taxed. Here are some of the most common misconceptions we hear from clients:
| Myth | Reality |
| “HMRC cannot track my crypto. / Crypto is untraceable” | HMRC has agreements with UK and overseas exchanges to share customer data. Letters are already being sent to suspected non-reporters. |
| “Swapping one coin for another is not taxable.” | Every disposal, including swaps, is treated as a taxable event. |
| “If I lose access to my wallet, I don’t need to declare.” | Lost access does not automatically remove tax obligations, however we can make a negligible value claim to significantly reduce your liability. |
| “Airdrops are free money, so untaxed.” | It is nuanced, depending on whether or not the airdrop is classified as a gift. We would approach this on a case-by-case level and advise on how to secure the most beneficial outcome. |