Tag: tax

Best Accountant for Crypto in UK: Built for Investors Tired of Spreadsheet Chaos

What Kind of Crypto Investor Are You? Pick the Right Accountant for UK Taxes

Crypto portfolios come in all shapes. Some hold a few coins for years. Others trade hourly. Then there are DeFi users mixing staking, swaps, and liquidity pools. Because each profile pays taxes differently, the choice of accountant matters. That’s where a specialist built for the crypto crowd, like Crypto Tax Made Easy, becomes a serious advantage when searching for the best accountant for crypto in uk.

Four Types of Crypto Investors, And What They Need

The Casual Holder, Small Wallet, Simple Gains

Casual holders buy tokens, wait months or years, then sell when prices climb. These investors may only need capital gains tax reporting when they sell. They benefit from a straightforward tax return and clean record of holdings. A crypto tax accountant helps track cost basis and sale dates to calculate gains accurately for a self assessment tax return.

The Frequent Trader, Many Trades, Many Wallets

Frequent traders shift coins between wallets, exchanges, tokens. Each move can trigger taxable events. Keeping track of cost basis, swaps, and disposals becomes tricky quickly. A specialist accountant brings value here. They reconcile every transaction, apply fair market value for each trade, and build comprehensive reporting, avoiding inflated tax liabilities from guesswork or incomplete records.

The DeFi Participant, Staking, Pools, and Extra Income Streams

DeFi activity adds complexity. Staking rewards, liquidity pool returns, airdrops, swaps, each item may carry separate tax implications under UK law. A crypto tax advisor familiar with digital asset taxation sees the difference. They calculate income tax where required. They classify capital gains when assets leave liquidity pools. They verify taxable events for every action.

The Business or Side‑Gig Operator, Crypto as Income or Payment

Some users run businesses or side ops that accept crypto as payment. It introduces accounting services broader than personal tax. Firms need to handle crypto income, bookkeeping, corporation tax (if relevant), and compliance under UK rules. A chartered accountant with experience in cryptocurrency accounting supports bookkeeping and tax reporting tailored to business activity.

Why One Size Doesn’t Fit All for Tax Accounting

Crypto activity isn’t uniform. Tax needs vary by volume, frequency, and transaction type. Traditional accountants offer standard services, income, dividends, property, but rarely cover crypto‑specific demands. Without expertise, mismatches in tax reporting can happen.

A leading crypto accountant UK knows crypto assets behave differently. They understand how swaps, chain bridges, and token rewards impact tax position. They know when capital gains or income tax applies. The expertise reduces mistakes and protects investors from avoidable tax liabilities or audit risk.

What Smart Crypto Tax Services Offer

  • Full transaction reconciliation across multiple wallets and exchanges
  • Accurate tracking of cost basis, buy dates, and sale or swap dates
  • Clear classification of income vs gains, especially for staking, airdrops, or DeFi rewards
  • Preparation of clean reports or summaries for self assessment tax return
  • Advisory service and tax planning for future trades or income streams

Firms like Crypto Tax Made Easy built systems to support all types of investors, from casual holders to active traders. Their staff treats every transaction as taxable unless proven otherwise. The kind of attention matters most for frequent traders or business‑based crypto users.

Match Your Style, Know What Questions to Ask

When choosing a crypto tax advisor, keep these in mind:

  • How many transactions can they handle without errors?
  • Do they support a variety of activities, trades, staking, pools, wallets, business payments?
  • Can they rebuild past years’ records if data is incomplete?
  • Do they provide clear cost‑basis tracking and documentation?
  • What’s their fee structure, flat, tiered, or per hour?

Your answers determine whether they suit a casual investor, active trader, DeFi enthusiast, or business user.

Why More UK Investors Are Moving to Crypto‑Focused Firms

Crypto activity in the UK keeps growing. Tax laws treat crypto as property or income depending on activity. People who hold coins, trade frequently, or run crypto‑based businesses face merging tax rules for capital gains, income tax, and accounting compliance. A crypto accounting firm understands all moving parts and helps investors keep control of their tax position, not the other way around.

Crypto Tax Made Easy remains a solid reference point for investors evaluating which firm fits their style. Their workflow works for different investor profiles. Their track record spans casual holders to high‑volume traders.

If a tax year includes more than a few trades, includes staking or DeFi activity, or involves crypto income, a crypto‑savvy accountant may be exactly the right move.

 

Frequently Asked Questions

Do I need to report all my crypto transactions to calculate my tax position?

Yes, each crypto transaction, including swaps, sells, and spends, may create tax obligations and must be tracked for accurate reporting.

Can chartered tax advisers help with crypto tax liability?

Yes, qualified tax professionals with experience in crypto taxation provide guidance on tax obligations and help minimize crypto tax liability where possible.

How do I know if I need to pay capital gains tax on my crypto?

If you dispose of crypto assets at a gain, you’re typically subject to capital gains tax depending on the holding period and fair market value at the time of sale.

What kind of crypto assets tax assistance does Crypto Tax Made Easy provide?

The firm offers full-service crypto tax reports and advisory built around complex cryptocurrency transactions across wallets, chains, and software.

Should I use a crypto tax calculator or seek advice from a specialist?

Crypto tax calculators can help estimate totals, but investors with high transaction volumes should seek advice from crypto tax specialists for accurate reporting.

Are UK tax laws different when it comes to crypto income or inheritance tax?

Crypto Tax Made Easy does not currently claim expertise in UK tax laws or inheritance tax matters, so UK investors should consult a local specialist.

Why do leading crypto tax accountants focus on tax advice for crypto assets?

Because crypto is subject to capital gains and income tax rules, leading crypto tax professionals focus on helping clients understand and meet tax obligations with clarity.

Ireland ranks among Europe’s most affordable countries to start a business

For anyone thinking of going freelance or launching their own small business, new research from Europe’s second-largest neobank, bunq, reveals that Ireland is one of the most affordable countries in Europe to get started. Among the top 10 EU economies analysed, Ireland stands out as a highly attractive destination for entrepreneurs and digital nomads looking to kick off their next venture.

Low Entry Costs

Ireland saw a big boost in entrepreneurship in 2024, with 23,384 new businesses starting up – a 5.5% jump from the year before. That includes everything from limited companies to sole traders and partnerships. It was actually the second busiest year for new business registrations in over a decade – only 2021, right after the pandemic, saw more. A key factor behind this growth is Ireland’s low financial barriers that present a highly attractive environment for emerging business ventures. With a nominal fee of €50 charged by the Companies Registration Office (CRO) to register a business officially, combined with a €1 minimum capital requirement and an average business bank account setup cost of €7.17, Ireland remains a popular destination for entrepreneurs compared to other European countries giving self-starters a true head start.

Before professional advice and excluding tax advisor fees, potential staffing costs, and other overheads these mandatory government and basic setup costs total just €58.17 – which makes it on the third place in the European comparison, right after Greece and Portugal. Even though not legally required for setting up a business, the costs of tax advice in Ireland are fairly low with an average hourly rate of €50. By factoring in an average of 15 hours of tax support, the total projected costs for starting a business would increase to €808.17.

How Ireland Compares: A European Snapshot

While Greece (€287) and Portugal (€751) offer the lowest startup costs, Ireland’s total of €808.17 is competitive. In stark contrast are countries like Germany (€26.266) and Italy (€13.512), where LLC’s face significantly higher initial expenses, largely due to mandatory capital requirements. Notably, Ireland also compares favourably on the cost of essential tax advice (€750 for 15 hours), sitting well below countries like France (€3.300) and Austria (€3.000). For comparison, the UK’s post-Brexit startup costs are broadly similar, with a £50 registration fee and no minimum capital requirement, but business banking and tax advisory fees can run higher.

Ireland still tops the list with lowest tax rate

With its remarkably low corporation tax rate of 12.5%, Ireland offers an unbeatable advantage for businesses aiming to set up within the EU. This rate is notably the lowest in the study and compares very favorably to the UK’s tiered tax system, which varies from 19% to 25% based on profits. This factor, combined with the low initial setup costs, positions Ireland as a hidden gem for startups and expanding companies.

Bianca Zwart, Chief Strategy Officer at bunq, comments on the research: “Starting something new takes courage, but where you start can make all the difference. Our research shows that in the right environment – like Ireland’s – ambition meets opportunity in a very real, tangible way.”

Tax Implications of Cryptocurrency Loans – What You Need to Know

Cryptocurrency has become a popular alternative to traditional financial systems, with the rise of decentralized finance (DeFi) and the increasing use of blockchain technology. One way that people are using cryptocurrency is by taking out loans using their cryptocurrency holdings as collateral. While this can be a useful way to access funds, it’s important to understand the tax implications of cryptocurrency loans. So, if you are interested in Bitcoin trading, you may use a reliable trading platform like 1G Profit System App. 

The Tax Treatment of Cryptocurrency

Firstly, it’s important to understand the tax treatment of cryptocurrency in general. The IRS treats cryptocurrency as property for tax purposes, meaning that every time a cryptocurrency is bought or sold, it triggers a taxable event. The taxable event can result in either a capital gain or a capital loss, depending on the difference between the purchase price and the sale price.

Cryptocurrency Loans and Tax Implications

When someone takes out a cryptocurrency loan, they are essentially using their cryptocurrency holdings as collateral. The loan is typically paid back with interest, and if the borrower cannot repay the loan, the lender can sell the collateral to recoup their funds. In this situation, the tax implications can be complex.

Collateralizing Crypto Assets

When collateralizing crypto assets for a loan, the borrower is not selling the assets, but rather using them as collateral. This means that no taxable event occurs at the time the loan is taken out. However, if the borrower defaults on the loan and the lender sells the collateral, this will trigger a taxable event. The lender will need to calculate their capital gain or loss based on the difference between the loan amount and the value of the collateral at the time of sale.

Taxation of Interest Payments

Interest payments on cryptocurrency loans are taxable, just like interest payments on traditional loans. If the borrower pays interest on the loan, they can deduct the interest payments from their taxable income. The lender will need to report the interest payments as income and pay taxes on it.

Taxation of Loan Principal

The loan principal is not taxable, as it is not considered income. This is because the borrower is not receiving money, but rather borrowing against their own assets. This means that the borrower will not have to pay taxes on the loan principal.

Tax Implications of Loan Default

If the borrower defaults on the loan and the lender sells the collateral to recoup their funds, this will trigger a taxable event for both parties. The borrower will need to calculate their capital gain or loss based on the difference between the loan amount and the value of the collateral at the time of sale. The lender will also need to calculate their capital gain or loss based on the difference between the loan amount and the amount they received from selling the collateral.

Losses and Gains

If the borrower defaults on the loan and the value of the collateral has decreased, they may be able to claim a capital loss on their tax return. However, if the value of the collateral has increased, the borrower may have a capital gain, which is taxable.

If the lender sells the collateral and receives less than the loan amount, they may have a capital loss, which is also deductible. If the lender sells the collateral for more than the loan amount, they will have a capital gain, which is taxable.

Conclusion

Taking out a cryptocurrency loan can be a useful way to access funds while holding onto your cryptocurrency assets. However, it’s important to understand the tax implications of cryptocurrency loans. Collateralizing crypto assets for a loan is not a taxable event, but if the borrower defaults on the loan and the collateral is sold, this will trigger a taxable event. Interest payments on cryptocurrency loans are also taxable, but the loan principal is not. Understanding the tax implications of cryptocurrency loans can help you avoid any unexpected tax bills and ensure that you stay compliant with IRS regulations.

In summary, while cryptocurrency loans can provide access to funds, borrowers and lenders must be aware of the potential tax implications. Proper tax planning and consulting with a tax professional can help ensure compliance and minimize tax liabilities. As with any financial transaction, it’s crucial to do your research and fully understand the risks and benefits involved.

Ministers Donohoe and Martin launch Tax Credit for Digital Games

The Minister for Finance, Paschal Donohoe TD, and Minister for Tourism, Culture, Arts, Gaeltacht, Sports and Media, Catherine Martin TD, have today (Monday) launched the Tax Credit for Digital Games.

Ministers Donohoe and Martin attended a launch event hosted by the digital gaming company “Black Shamrock” in the Guinness Enterprise Centre and formally signed the regulations to give full effect to the legislation. This follows approval of the credit by the European Commission in recent weeks.

The relief will take the form of a refundable corporation tax credit available to digital games development companies for qualifying expenditure incurred on the design, production and testing of a digital game. It will be available at a rate of 32% of eligible expenditure up to a maximum limit of €25 million per project. There will also be a per project minimum spend requirement of €100,000.

Ireland has an international reputation for excellence in the arts. It is Government policy to support the development of a vibrant media production and audiovisual sector in the State. The introduction of the Tax Credit for Digital Games aims to capitalise on the synergies with our established film and animation sectors to support the expression of Irish and European culture, and to support quality employment in creative and digital arts in Ireland.

In welcoming the measure, Minister Donohoe stated:

 “I am delighted to announce the launch of the Tax Credit for Digital Games. Ireland is already a world leader in other areas of the audiovisual sector including film, television and animation production, I believe that this credit will be instrumental in replicating such successes in the digital gaming sector. The introduction of this credit will ensure that Ireland is competitive in an industry that is estimated to be worth up to €260 billion.”

Speaking today, Minister Martin said:

“Digital games and growing employment and output from Ireland’s games sector is a key part of the Government’s Audio-visual Action Plan. The Digital Games Tax Credit will lead to support for the development of indigenous games companies along with increased investment from overseas games companies looking to locate in Ireland. Today is an important day for the expanding Irish Games industry and this Scheme will help to create jobs in the creative and digital arts in Ireland.”

Craig Stephens of Imirt, the Irish video games industry association said:

“The launch of the Digital Games Tax Credit is a huge moment for the Irish video games industry; it will welcome a new era of development creativity. This globally significant 32% credit will support our existing games development talent, plus attract major investment from overseas. Ireland is ideally positioned to secure more of the rapidly expanding $300 billion worldwide industry”. 

The regulations will now be signed by the Chairman of the Revenue Commissioners thereby allowing digital games development companies to apply for an interim certificate from the Department of Tourism, Culture, Arts, Gaeltacht, Sport and Media for a qualifying digital game. It is expected certificate holders will then be able to apply for remuneration under the credit from Revenue from 1 January 2023.

Getting paid in Cryptos? How it will be taxed and how to manage risks

Companies in the US are becoming more alert about increasing the headcount in their firm. It is due to the illusion of recession taking shape. Yet as the work is still required to get completed, over 75 % of businesses in the US are interested in hiring freelancers during this economic uncertainty. As per a recent survey, almost one-third of freelancers prefer to be paid in crypto. Some want their entire salary package, and some a part of their package. If you are into Bitcoin, here are the Ways to reduce the risk. 

Get all ideas about the current situation.

It’s devastating how vulnerable these individuals are to being conned out of their money because they are unaware of the risks associated with not validating the payer’s wallet.

Therefore, if you are looking for freelance work in international businesses, you might also get paid in cryptocurrencies, but you would also have to deal with the risks.

The massive growth of “dirty” crypto creates a dilemma for freelancers, despite cryptocurrencies being fast and hassle-free international payments that, among other benefits, do not require you to worry about currency exchange rates.

Approximately 40% of BTC transactions are illegal. Demchuk stated, “Receiving dirty cryptocurrency can put you in danger and result in the ban of your account if you are a freelancer.”

Therefore, to safeguard your fund, you must manage crypto risks and deal with fluctuations in the value of cryptocurrencies on trading platforms.

“Anyone can, without even realizing it, get illegal funds, like drug money, into their account. Until their accounts get frozen or banned without an explanation, everything appears to be going well at first. Therefore, even if you have complete faith in the person paying you, they might unintentionally put you in danger. Using a dedicated service to validate each wallet or transaction is the only way to protect yourself, which is basic crypto hygiene.

How will taxation work?

The taxation rules are the same, as there is no clear status for cryptocurrencies in India. So, for tax purposes, will a person’s cryptocurrency work be considered income or investment if paid for it? How will it be taxed, too?

Depending on the nation, cryptocurrency-related tax laws may differ. For instance, Demchuk stated, “Taxpayers in the United States are required to report all crypto sales, conversions, payments, and income to both the IRS and state tax authorities.” But , the implications of tax on every action vary.

Taxable income includes earning rewards from mining cryptocurrency, receiving payment in cryptocurrency, and exchanging goods or services for crypto. These are subject to federal and state taxes because they are regarded as “earned” income. As a result, when you receive the cryptocurrency, you must record its value in US dollars and include it in your gross income on your tax return.

Demchuk said that selling cryptos for cash, converting a crypto to another, and spending crypto on goods or services are all capital gains. He said it about the regulations of the tax system of the US. They are taxed at zero percent, fifteen percent, or twenty percent, depending on your tax bracket.

He said that yet, there are also non-taxable events. These are buying cryptocurrency with cash and holding it. Also, donating crypto to a charity or non-profit. Apart from these, receiving or making a gift. It is also moving your cryptocurrency from one wallet or account to another that you own.

Many nations have similar regulations, but a few do not tax crypto profits or only a part of them. Demchuk continued that these include, for example, Singapore, Switzerland, and Germany. Here capital gains tax is not imposed on assets held for more than a year.”

Conclusion

In India, the RBI is not ready to give cryptocurrency any recognition. So any payment you get in crypto would not get treated as income. Yet you need to pay tax when you redeem the currency to convert it into a rupee for all expenses. Then a question may get raised on the sources of your crypto. The instances of payments for freelancing in crypto will increase. Then the government will never allow it to go untaxed. They may bring a few regulations for taxing the income too. 

 

How to Start a Company in the UK: Legal Side of the Business

So you’re thinking about starting a business. Well done! Starting a business is the best way to escape the nine-to-five rat race and live the entrepreneurial dream. But it’s not as easy as it looks. There are a lot of legal hoops to jump through, and it’s easy to get overwhelmed.

So we’ve come up with a checklist to help you with the process – you might find some of these steps familiar, but we hope they can help you start your company with some extra guidance. So keep reading and have all your questions answered — be it about opening a UK bank account for non resident running a small business or obtaining a licence.

1. Research What You Want to Do

What kind of business is this going to be? Do you have the resources to back it up? If not, can you get them? If you’re starting a new business, have you spoken to a few other companies who’ve done something similar? It’s not enough to just say: “I want to run a business, let’s do it!” You need to know what you’re doing and why. You need to think about your business strategy, financials, marketing, and how it will work – all these things, plus the nuts and bolts of getting it all running. 

2. Make a Plan

Once you’ve done your research, it’s time to put everything into a plan. Before you start working out how you’re going to start your business, it’s a good idea to do the following:

 

  • Draft a business plan — Whether you’re a web designer, a doctor, a mechanic or just starting your own business, this is going to be the backbone of your company. A business plan will tell your story. What will it be about? How much will you charge? Who will you work with? Will it be a home-based business, a franchise, or a business registered with a third-party provider? 
  • Determine the legal structure of your business — This is a way of dividing ownership of your business between you and the company — whether it’s a sole trader, limited company, or partnership. Different rules apply to each type of company, but each has its benefits;
  • Draft a company constitution — Some people will want their company to operate on a different basis to their personal life, so it’s worth having a look at the legal implications of how you want your business to run. There are certain things you won’t be able to do as an individual – like buying or selling property, or trading on a particular market – that are fine if you operate as a limited company;

3. Register Your Business

Some businesses have to register with the local authority to get started. This could be to check whether there’s anyone on the electoral roll, or it could be to make sure you’re registered with HMRC or VAT number to file any tax returns.

4. Check the Health of the Local Economy

A healthy local economy means there’s a good number of potential customers in the area, and local businesses are likely to give you support. You’ll want to find out what other companies are operating in your area. Think about local industries. Are there any that are in decline? Has the same industry been making a profit for years and years, or have things been changing? How healthy is the surrounding area’s public transport system? Is the road network, shops, schools, and recreational facilities still operating? These are all things to look out for.

5. Find out More About Local Licencing

Are there any local licencing requirements? There might be. A local business licence will be required, for example, for a bar, nightclub, restaurant, or shop selling alcohol. If you’re setting up a business to provide accommodation, such as a bed and breakfast or guest house, you may need to apply for planning permission from the local council. And if you’re planning to sell drugs, for example, you need to apply for a Class C drug licence from the local police. Check all the local licencing requirements before starting your business.

6. Know the Law and Tax Systems

Before starting your business, you need to understand the law. Most government departments, whether they’re local councils, the police, or HM Revenue & Customs, keep a register of who is who. They include all the important people who should know who they are and what they need to do. They’ll also tell you what you’ll need to do to set up your business and comply with the law.

Plan Your Effort Accordingly

Starting a company is a time-consuming process. But you can do things right by creating a plan and sticking to it closely.