UK To Step Up Crypto Oversight: Tax Forms Must Include Separate Reporting For Crypto Assets – More Regulation Coming?

The UK will step up oversight of the crypto sector with tax forms sent to individuals now set to include a separate reporting option for crypto assets.

The tax form change will take effect from the tax year ending April 2025 and applies to capital gains tax forms.

These are taxes that investors pay when assets, including crypto assets, are sold for profit.

“The government is introducing changes to self-assessment tax return forms requiring amounts relating to crypto-assets to be separately identified,” the UK Treasury said in a document released on Wednesday.

The new reporting option was announced by Chancellor of the Exchequer Jeremy Hunt as part of the annual budget unveiled on Wednesday.

So far, no other regulations or limitations regarding crypto have been unveiled as part of the budget.

“Maximize the potential” of the metaverse

Meanwhile, and perhaps on a more positive note, the government has said it wants to “maximize the potential” of the so-called metaverse, a term used to describe virtual worlds that may or may not rely on crypto technology. and blockchain.

The government also said the metaverse push must be done in a way that protects against privacy, security risks and other forms of harm to consumers.

A global hub for crypto

The UK has been trying to position itself to become a more dominant player in the crypto economy, with the government announcing plans in 2022 for the country to become a global crypto hub.

As part of the initiative, a plan was unveiled by then-Chancellor of the Exchequer Rishi Sunak to enable the use of stablecoins in the UK payment system.

“The measures we have outlined today will help ensure businesses can invest, innovate and grow in this country,” Sunak said at the time.