The UK Treasury stated that effective from next year, taxpayers will need to report their cryptocurrency gains separately.
In a measure that is anticipated to raise an additional 10 million British pounds (US$12 million) every year for the public purse, UK taxpayers will be required to separately record crypto assets on their tax forms.
Jeremy Hunt, the Chancellor of the Exchequer, made the announcement in the annual budget on Wednesday.
According to a statement released by the U.K. Treasury on Wednesday, “the government is implementing amendments to the Self Assessment tax return forms requiring amounts in respect of crypto assets to be listed separately.” These changes will take effect in the tax year that ends in April 2025.
A statement published by tax regulator HM Revenue & Customs stated the change will apply to forms for capital gains tax, payable when investments are sold at a profit.
Also, the government stated that it would try to “maximize the potential” of the metaverse while managing potential privacy, security, and adverse effects risks.