Coinbase users in the UK have been informed that their names must be given to tax authority HMRC if they cashed out more than £5,000 in fiat during the 2021 tax year.
“We would encourage you to consult with your tax or legal advisor with any questions you may have regarding tax matters and your Coinbase account activity,” Coinbase clients were informed.
This is not the first time Coinbase has warned its users of financial disclosures to HMRC. In January last year, an almost identical warning was posted for the 2019 and 2020 tax years. Indeed, the authority reached a deal with the exchange back in 2020:
“Based on further discussions with HMRC, a revised noticed was issued with reduced scope that now requires the disclosure of customers with a UK address who received more than £5,000 worth of crypto assets on the Coinbase platform,” Coinbase wrote.
#coinbase are sending out the below emails. DO NOT PANIC
Simply ensure you are on top of your #crypto & #NFT taxes in the UK
If you are not speak with an #Accountant and get started
DM me if you want some advice #HMRC #CryptoTax pic.twitter.com/aSgTwtUO5B
— 🇬🇧 Thesecretinvestor – Tax Accountant 💰 💸 📈 (@Thesecretinves2) March 13, 2023
Accountants remind crypto traders to file their tax returns on Twitter.
