HMRC Crypto Tax Crackdown Hits Record 81,000 Warning Letters in 2025/26

The UK's tax authority, HMRC, sent over 81,000 warning letters to crypto holders in 2025/26, nearly triple the number issued in 2024.

This surge in letters is attributed to gains realized during the bull market between 2022 and 2025, which has left many traders with unpaid tax bills.

The sharp rise points to a broader push against unreported digital asset earnings, as HMRC officials say most of the outstanding crypto tax liabilities are due to these gains.

Crypto holders may be unaware that selling, gifting, or swapping their assets can trigger a capital gains tax bill, and using digital assets to pay for goods or services carries the same obligation.