UK crypto tax specialists
Tax for Crypto, CFD and Derivatives Traders
For active traders the decisive question is status. Whether HMRC treats your activity as trading or investment changes the rate, the loss relief and the National Insurance position.
- HMRC Cryptoasset Manual applied line by line
- Timestamped pricing feeds for every valuation
- Pooling and the 30-day rule handled correctly
For an active trader, almost every number on the return follows from one determination: is the activity a trade, or is it investment? That single question sets the rate, decides how losses can be used, brings National Insurance into play or leaves it out, and changes what has to be reported. It is also the question most generic accountants answer by assumption rather than analysis.
Trading versus investment
There is no volume threshold that makes you a trader. HMRC applies the badges of trade: frequency and organisation of the activity, the intention at acquisition, holding periods, the way finance is arranged, and whether the operation resembles a business. For individuals, HMRC's stated position is that only in exceptional circumstances will buying and selling cryptoassets amount to a trade, so the argument has to be built on facts and evidenced, not asserted.
The consequences are substantial. A trading position brings income tax and National Insurance on profits but allows losses to be set against general income. An investment position brings capital gains treatment with losses ring-fenced against gains. Neither is universally better, and the right analysis sometimes reaches an answer the client did not want.
Instruments we cover
- Crypto spot and perpetuals, including cross-venue and on-chain derivatives.
- CFDs, taxed as capital gains for most individuals, with careful treatment of financing costs and closing positions.
- Forex, where the treatment turns on the instrument and the purpose of the transaction.
- Spread betting, generally outside both capital gains and income tax for individuals, but not where it forms part of a wider trade, and losses are correspondingly unusable.
- Prop firm and funded-account income, which is usually trading or service income rather than capital.
What we produce
- A reasoned, documented status position you can rely on and defend.
- Full-year computations across every venue, with pooling applied correctly to crypto and per-contract treatment for derivatives.
- Loss relief planning, including carry-back and sideways relief where a trading position is established.
- Self-assessment filing, and where the scale justifies it, advice on whether a corporate structure improves the position.
Answers
Frequently asked questions
Next step
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Get a fixed quote for tax for crypto, cfd and derivatives traders
Tell us which exchanges and wallets you use and roughly how many transactions you have. We'll come back with a fixed fee and a realistic timeline.
- HMRC Cryptoasset Manual applied line by line
- Timestamped pricing feeds for every valuation
- Pooling and the 30-day rule handled correctly