Crypto Gains Tax UK: 2026-27 Rates, Allowances and Filing
UK crypto capital gains tax rules changed on 30 October 2024, when the Autumn Budget raised the rates for digital assets in line with property. The annual allowance also dropped to £3,000 from April 2024. Combined, the changes mean a typical UK crypto holder filing for the 2024-25 tax year onwards faces materially higher tax than two years earlier.
Here is exactly how crypto gains tax works in the UK for the 2026-27 tax year, with the current rates, allowance, calculation method, and the specific forms you need.
Current UK Crypto Gains Tax Rates
For disposals on or after 30 October 2024, the rates are 18 percent if your total income plus gains stays within the basic rate band (currently up to £50,270), and 24 percent on any portion of gains that falls in the higher or additional rate band.
For disposals between 6 April 2024 and 29 October 2024, the pre-Budget rates apply: 10 percent basic rate and 20 percent higher and additional rate. If you disposed of crypto in both periods within the 2024-25 tax year, the SA108 splits the calculation by date. HMRC’s online filing tool handles this automatically.
The annual exempt amount for 2026-27 is £3,000, down from £6,000 in 2023-24 and £12,300 in 2022-23. This is the amount of total capital gains across all assets (crypto, shares, property) you can realise before any CGT is due.
What Counts as a Disposal
HMRC’s Cryptoassets Manual (CRYPTO22000) treats the following as a disposal subject to capital gains tax:
1. Selling crypto for GBP, USD, EUR or any fiat currency.
2. Swapping one crypto for another (BTC to ETH, USDC to USDT).
3. Spending crypto to buy goods or services.
4. Gifting crypto to anyone other than your spouse or civil partner.
5. Bridging or wrapping (HMRC’s position remains that this is a disposal of the original asset and acquisition of a new one).
Transferring crypto between wallets you control is not a disposal. Moving BTC from Coinbase to a Ledger does not trigger CGT.
How HMRC Calculates Your Gain
Cost basis is calculated using Share Pooling under TCGA 1992 s.104, with two override rules.
Rule 1: same-day rule. Disposals are matched first to acquisitions made on the same day.
Rule 2: bed and breakfasting (30-day rule). Disposals are then matched to acquisitions made in the next 30 days.
Rule 3: Section 104 pool. Everything else falls into the pool, with cost basis averaged across all units in the pool.
Most crypto tax software defaults to FIFO. FIFO is wrong for UK tax. Koinly, CoinTracker, and Recap each offer a UK Share Pooling setting, but you have to enable it. If your software is set to FIFO, your gain figure is incorrect.
Worked Crypto Capital Gains Tax example for 2026-27
In January 2026 you buy 1 BTC at £30,000. In March 2026 you buy 1 BTC at £50,000. In October 2026 you sell 1 BTC at £70,000.
Section 104 pool cost basis equals (30,000 plus 50,000) divided by 2, which is £40,000 per BTC. Sale of 1 BTC equals £70,000 proceeds minus £40,000 cost basis, giving a £30,000 gain. After the £3,000 allowance, £27,000 is taxable. At 24 percent (higher rate), tax due is £6,480.
How and When to File Crypto Tax
Capital gains from crypto go on SA108 (Capital Gains Summary) attached to your SA100 Self Assessment return. The current filing deadlines are 31 October following the tax year end for a paper return, and 31 January following the tax year end for an online return. Tax payment is also due on 31 January.
You must file if any of the following applies:
- Total gains exceeded the £3,000 annual exempt amount.
- Total proceeds (not gains) exceeded £50,000 in the tax year, even if no gain arose.
- You incurred a loss you want to register for carry-forward.
The £50,000 proceeds reporting threshold is the one most UK crypto holders trip over. Even if your net gain was zero or a loss, total sales above £50,000 require reporting.
Staking, Mining, and Airdrops Are Not Capital Gains
Staking rewards, mining income, and most airdrops are taxed as miscellaneous income at the moment of receipt, not as capital gains. They go on the SA100 main return, not the SA108. See our staking guide for the full breakdown.
When you later sell those same tokens, then you have a capital gains event using the GBP value at receipt as cost basis.
Common Errors That Cost Money
Three patterns appear repeatedly in client reviews.
- Error 1: FIFO instead of Share Pooling. This overstates gains by 15 to 40 percent in volatile periods.
- Error 2: missing cost basis on transferred-in coins. This overstates gain by the full original cost.
- Error 3: wallet transfers booked as disposals. This creates phantom gains where no real disposal occurred.
Get the Numbers Right Before You File
The £3,000 allowance plus 18 to 24 percent rates means every miscategorised disposal directly costs money. Filing the wrong figure also creates HMRC nudge letter risk through CARF exchange data matching from 2026 onwards.
At Certified Crypto Accountant we file UK Self Assessment returns for crypto holders every week. We reconcile transactions under HMRC Share Pooling rules and file the SA108 with cost basis correctly applied.
Book a free 30-minute review at Certified Crypto Accountant. We will check your numbers and tell you exactly where you stand.
References and Further Reading
1. HMRC Cryptoassets Manual hub: https://www.gov.uk/hmrc-internal-manuals/cryptoassets-manual
2. HMRC CRYPTO22000 (Capital gains tax on crypto): https://www.gov.uk/hmrc-internal-manuals/cryptoassets-manual/crypto22000
3. HMRC Capital Gains Tax rates and allowances: https://www.gov.uk/capital-gains-tax/rates
4. HMRC SA108 Capital Gains Summary form: https://www.gov.uk/government/publications/self-assessment-capital-gains-summary-sa108
5. Autumn Budget 2024 (CGT rate change): https://www.gov.uk/government/publications/autumn-budget-2024
6. TCGA 1992 Section 104 (Share Pooling): https://www.legislation.gov.uk/ukpga/1992/12/section/104
7. HMRC Self Assessment deadlines: https://www.gov.uk/self-assessment-tax-returns/deadlines
8. Koinly UK Share Pooling setting: https://koinly.io/guides/hmrc-cryptocurrency-tax-guide/