HMRC Cracks Down on UK Crypto Tax Evaders

HMRC has sent out over 81,000 warning letters to UK crypto investors in the 2025-2026 financial year, nearly triple the number from the previous year.

The tax authority suspects many unpaid liabilities are linked to gains made between 2022 and 2025 during the crypto market's rise.

According to HMRC, investors can owe tax when they sell, exchange, give away, or spend their digital assets.

Failure to report taxable gains can result in interest and penalties of up to 100% of the amount owed.

The UK government expects new data-sharing measures with offshore crypto firms from 2027 to raise around £315 million by 2030.