HMRC sends 81,172 crypto tax warnings in one year

The UK’s HM Revenue and Customs (HMRC) sent 81,172 tax warning letters, emails and text messages to crypto investors during the 2025/26 financial year, according to figures reported on Aug. 20. Summary 81,172 warnings reached crypto investors in 2025/26, up from 64,982 during the previous financial year. HMRC treats crypto sales, swaps, purchases and most gifts as potential taxable disposals for investors. UK service providers began collecting customer details under the Cryptoasset Reporting Framework in January 2026. Platforms must submit their first reports covering 2026 activity to HMRC by May 31, 2027. Unpaid domestic tax can attract penalties reaching 100% of tax due, plus accrued interest charges. The number rose from 64,982 warnings in 2024/25 and 27,714 in 2023/24. The latest total was therefore about 25% higher than the previous year and nearly three times the figure recorded two years earlier. The figures came from a Freedom of Information request obtained by accounting firm UHY Hacker Young and reported by the BBC. HMRC reportedly suspects that some undeclared liabilities arose from gains accumulated as crypto prices increased between late 2022 and 2025. HMRC has not dis...