What the UK’s Tax Reversal Means for Bitcoin
Indeed, getting the bitcoin community to agree what regulation is welcome will likely be a challenge all in itself.
U.K. users of the exchange who have received £5,000 or more in the past tax year will have their information passed to the tax authority.
After clarifying how individual taxpayers should deal with cryptos last year, the U.K.'s HMRC has now issued guidance for enterprises.
This marks the first time that HMRC has released guidance specifically describing how staking is treated for taxation purposes. It has been assumed previously that staking comes under the umbrella of mining, thus the same guidance has applied.
The U.K. tax authority is pressuring crypto exchanges to reveal customers' names and transaction histories in a bid to claw back unpaid taxes, sources said.
U.K. tax body HMRC has provided an in-depth explanation of how cryptocurrency users should pay taxes on their holdings.