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  • CGT - Reporting Crypto Currency Disposal

    Hi there, During the (previous) tax year (2021-2022) I disposed of some Cryptoassets in a manner whereby I lost all ownership (intended) and I will be awarded new tokens of a different Crypto asset (a new project with the exact amount & value of new tokens TBD) in late 2022 (outside of the 2021-2022 tax year). As I disposed of the former Cryptoassets in tax year 2021-2022 and have not received a value nor amount for the to-be-awarded tokens - am I correct I should record the initial disposal as a provisional loss equivalent to the GBP sterling value on the date of disposal? I believe I am following CRYPTO22100 from the Cryptoassets Manual. Many thanks in advance.
  • Interest on Crypto Assets

    Hi there. I am trying to understand the tax implications for interest payments on Crypto assets - and where this fits in to a self assessment. To be clear, I am not talking about crypto staking as referred to in the Crypto Manual as I am not staking any tokens. However, it may be taxed in the same way. This is synonymous to interest on a current account whereby the interest is paid at a % rate at regular intervals based on the amount I have. The interest is paid in in the Crypto currency. For example, suppose I hold 100 of CryptoA and this was in an account giving 5% per annum, and over the financial year I received 5 CryptoA in interest. Am I correct in assuming: 1) This income is subject to income tax and does not qualify to fall under the Personal Savings Allowance [see https://www.gov.uk/apply-tax-free-interest-on-savings] - i.e. falls under box 17 of the Income section of SA100 "Other Taxable Income" 2) The GBP value must be calculated from the conversion rate as of the date of interest award. E.g. Say in January I receive approx. 0.42 CryptoA (as part of my 5 CryptoA per annum) I need to take the GBP value as of the date I received the 0.42 CryptoA. Thank you in advance.