{"id":242334,"date":"2019-11-11T08:53:18","date_gmt":"2019-11-11T13:53:18","guid":{"rendered":"http:\/\/insidebitcoins.com\/?p=242334"},"modified":"2019-11-11T08:53:18","modified_gmt":"2019-11-11T13:53:18","slug":"british-tax-authority-removes-crypto-assets-as-a-currency","status":"publish","type":"post","link":"https:\/\/insidebitcoins.com\/news\/british-tax-authority-removes-crypto-assets-as-a-currency","title":{"rendered":"British Tax Authority Removes Crypto Assets as a Currency"},"content":{"rendered":"

The British tax authority, Her Majesty\u2019s Revenue and Customs (HMRC), is currently combing through its tax guidance for individuals and businesses, and according to a new draft, it would seem that its stance on crypto assets is becoming much clearer.\u00a0<\/span><\/p>\n

Following in the footsteps of the United States Internal Revenue Service, HMRC has published tax guidelines for\u00a0<\/span>individuals<\/span><\/a>\u00a0and\u00a0<\/span>businesses<\/span><\/a>. Amongst other things, the tax guidelines show clearly that crypto assets are not to be treated as currency, while also defining how people and companies which deal in the assets would be taxed going forward.\u00a0<\/span><\/p>\n

Given the country\u2019s conservative nature, it comes as no surprise that the tax guidelines themselves are traditional. However, in more ways than one, it rings similar to those adopted by several countries.\u00a0<\/span><\/p>\n

Digital Assets are not Currencies<\/span><\/h2>\n

According to the guidelines, for individuals involved in cryptocurrencies, these assets are to be considered as a personal investment that attracts capital gains tax. Once a crypto exchange occurs, tax remittance follows. Investors would also pay capital gains taxes when cryptocurrencies are gifted between people.\u00a0\u00a0<\/span><\/p>\n