HM Revenue and Customs (HMRC) has issued over 81,000 letters to cryptocurrency holders in the past year, indicating potential capital gains tax liabilities. This number has nearly tripled since 2024, as officials express concerns over tax evasion among crypto investors, particularly younger traders who may lack experience with tax regulations.
With new powers set to take effect in March 2027, HMRC will gain access to information from international cryptocurrency platforms, making it easier to identify tax obligations. Analysts predict that these changes could significantly increase tax revenue, with estimates suggesting up to £315 million could be raised by April 2030.