HM Revenue and Customs issues 81000 warning letters to cryptocurrency investors, planning to strengthen tax supervision

The UK's HM Revenue and Customs has issued 81000 warning letters to cryptocurrency investors in the past 12 months, a 25% increase from approximately 65000 in the previous year. Cryptocurrency exchange, using tokens to purchase goods or services, and gifting tokens may all constitute taxable disposals, and income from borrowing and pledging may be subject to income tax rules. The rules implemented in April 2027 will apply no gain, no loss treatment to encrypted lending and automated market making arrangements, with an expected impact on 700000 people. The crypto asset reporting framework requires service providers to submit transaction data for 2026, and it is expected that 52 jurisdictions will exchange data in 2027, with an additional 15 in 2028. （Bitcoin.com News）