The United Kingdom’s Her Majesty’s Revenue Customs (HRMC) is collecting cryptocurrency user data from overseas in a move seen as part of a crackdown on the industry, Decrypt reported.
- HRMC has asked overseas tax authorities to submit data on cryptocurrency exchanges, personal data of the one-time and regular clients, the frequency of transactions, and the estimated value of their cryptocurrency holdings.
- The requests have been made in accordance with international law, as the HRMC in March updated its tax advice to include cryptocurrency staking. The UK categorizes digital assets as personal investments subject to tax.
- Exchanges have already provided the information for the 2017/2018 and 2019/2020 periods, but the HRMC has asked for “bulk data” for the given periods.
London law firm Gherson Solicitors believes the requests may be part of a wider crackdown on the industry and urged those affected to seek legal advice.
BTC is down 3.05%, ETH down 1.27%, and XRP down 4.80%.