{"id":1409,"date":"2022-08-23T15:51:16","date_gmt":"2022-08-23T15:51:16","guid":{"rendered":"https:\/\/taxinvestigation.co\/new\/?p=1409"},"modified":"2022-08-23T15:51:17","modified_gmt":"2022-08-23T15:51:17","slug":"how-does-hmrc-investigate-cryptocurrencies-by-salman-anwar-associate-director-in-bdos-tax-dispute-resolution-team","status":"publish","type":"post","link":"https:\/\/taxinvestigation.co\/new\/how-does-hmrc-investigate-cryptocurrencies-by-salman-anwar-associate-director-in-bdos-tax-dispute-resolution-team\/","title":{"rendered":"How does HMRC investigate cryptocurrencies? by Salman Anwar, Associate Director in BDO\u2019s Tax Dispute Resolution team"},"content":{"rendered":"\n<p><em>Cryptocurrencies are becoming an increasingly important part of the global financial landscape. Salman Anwar looks at the UK\u2019s tax authority\u2019s approach to bitcoin and the like.<\/em><\/p>\n\n\n\n<p>The purpose of this article is to highlight the way HMRC investigates cases involving cryptocurrencies. However, first it is important to set the scene on HMRC\u2019s views of these new assets.&nbsp;<\/p>\n\n\n\n<p><strong>Background<\/strong><\/p>\n\n\n\n<p>Just like the world of cryptocurrencies (or \u2018cryptoassets\u2019, as HMRC prefers to call them), HMRC\u2019s view on the taxation of these assets has evolved somewhat over the past few years. This is demonstrated by subtle contrast in wording of the following passages:<\/p>\n\n\n\n<p>HMRC\u2019s policy paper of 3 March 2014, titled \u2018Revenue and Customs Brief 9 (2014): Bitcoin and other\u00a0 cryptocurrencies\u2019 (as can be found in the National Archives) \u2013 <em>Whether any profit or gain is chargeable or any loss is allowable will be looked at on a case-by-case basis taking into account the specific facts. Each case will be considered on the basis of its own individual facts and circumstances. The relevant legislation and case law will be applied to determine the correct tax treatment. Therefore, depending on the facts, a transaction may be so highly speculative that it is not taxable or any losses relievable\u2026 For example gambling or betting wins are not taxable and gambling losses cannot be offset against taxable profits.<\/em><\/p>\n\n\n\n<p>Download the full article below:<\/p>\n\n\n\n<div class=\"wp-block-file\"><a href=\"https:\/\/taxinvestigation.co\/new\/wp-content\/uploads\/2022\/08\/How-does-HMRC-investigate-cryptocurrencies-by-Salman-Anwar.pdf\">How-does-HMRC-investigate-cryptocurrencies-by-Salman-Anwar<\/a><a href=\"https:\/\/taxinvestigation.co\/new\/wp-content\/uploads\/2022\/08\/How-does-HMRC-investigate-cryptocurrencies-by-Salman-Anwar.pdf\" class=\"wp-block-file__button\" download>Download<\/a><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Cryptocurrencies are becoming an increasingly important part of the global financial landscape. Salman Anwar looks at the UK\u2019s tax authority\u2019s approach to bitcoin and the like. The purpose of this article is to highlight the way HMRC investigates cases involving cryptocurrencies. However, first it is important to set the scene on HMRC\u2019s views of these [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[38],"tags":[],"class_list":{"0":"post-1409","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-february-march-2022"},"_links":{"self":[{"href":"https:\/\/taxinvestigation.co\/new\/wp-json\/wp\/v2\/posts\/1409","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/taxinvestigation.co\/new\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/taxinvestigation.co\/new\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/taxinvestigation.co\/new\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/taxinvestigation.co\/new\/wp-json\/wp\/v2\/comments?post=1409"}],"version-history":[{"count":1,"href":"https:\/\/taxinvestigation.co\/new\/wp-json\/wp\/v2\/posts\/1409\/revisions"}],"predecessor-version":[{"id":1411,"href":"https:\/\/taxinvestigation.co\/new\/wp-json\/wp\/v2\/posts\/1409\/revisions\/1411"}],"wp:attachment":[{"href":"https:\/\/taxinvestigation.co\/new\/wp-json\/wp\/v2\/media?parent=1409"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/taxinvestigation.co\/new\/wp-json\/wp\/v2\/categories?post=1409"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/taxinvestigation.co\/new\/wp-json\/wp\/v2\/tags?post=1409"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}