HM Revenue and Customs said 240 people reported more than £1 million each in crypto capital gains during the 2024-25 tax year. A total of 17,600 individuals filed taxable crypto capital gains. Those individuals reported £13.8 billion in crypto disposal proceeds. They reported £1.38 billion in total gains. The average gain per individual was £78,000. The 240 people who reported more than £1 million accounted for £717 million of the total gains. The 2024-25 tax year was the first to include a dedicated crypto capital gains section on Self Assessment returns. Taxpayers previously reported crypto gains through the broader capital gains section. HMRC sent 81,000 warning letters to crypto investors it suspected had underpaid taxes during the past year. The number of letters was 25% higher than the 65,000 sent a year earlier. HMRC sent 27,714 such letters during 2023-24. The letters give recipients an opportunity to disclose underpaid tax before an investigation. UHY Hacker Young expects crypto trader investigations to increase as HMRC receives more information from overseas crypto businesses under new international reporting rules. UHY Hacker Young partner Neela Chauhan said HMRC could use the data and basic artificial intelligence software to identify cryptocurrency investors who are behind on capital gains or income tax. The UK began implementing the OECD's Cryptoasset Reporting Framework in January 2026. HMRC said it will start receiving customer data from crypto asset service providers in 2027. The data will include information that can help identify undeclared crypto gains. From May 31, 2027, HMRC is expected to automatically receive information on UK residents from crypto exchanges in 52 jurisdictions. Another 15 jurisdictions are expected to provide information in 2028. The figures cover individuals who made Capital Gains Tax-liable disposals of cryptoassets such as bitcoin, ether, and dogecoin. Selling crypto can trigger a taxable event. Exchanging one cryptoasset for another can also trigger a taxable event. Using crypto to pay for goods or services can trigger a taxable event. Certain gifts can also trigger a taxable event. For the 2025-26 tax year, taxpayers with crypto income or gains above the applicable tax-free allowance must report them through Self Assessment. They must pay any tax due by Jan. 31, 2027.
HMRC Reports 240 Individuals with Over £1M in Crypto Gains in 2024-25 Tax Year
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Summary
HMRC reported 240 individuals with over £1 million in crypto capital gains tax during the 2024-25 tax year. A total of 17,600 individuals disclosed £13.8 billion in disposal proceeds, with £1.38 billion in gains. The 240 high earners accounted for £717 million of total gains. HMRC sent 81,000 warning letters to suspected underpaying investors, a 25% rise. The UK will receive data from crypto firms in 2027 under the OECD framework, as MiCA aligns with global reporting standards. UHY Hacker Young said more investigations are likely as HMRC gains access to overseas data.
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