UK to Hit Crypto Users With Penalties for Unpaid Taxes
The UK government has urged cryptocurrency users to voluntarily disclose any unpaid income or capital gains taxes to avoid penalties. It also issued guidelines on how to make such payments. The disclosures should include gains from exchange tokens like Bitcoin, non-fungible tokens (NFTs), and utility tokens. Users who have already disclosed their crypto taxes have 30 days from the disclosure date to pay them, failing which the Treasury will impose penalties and recover the money. This comes as the UK, an aspiring crypto hub, is clarifying its cryptocurrency tax stance. For instance, in 2021, it published a manual to assist cryptocurrency holders pay their taxes, and in March 2022, it announced that individuals will have to declare cryptocurrencies separately in their tax forms.
