The Bitcoin and cryptocurrency tax conundrum

At the start of the year, one Bitcoin was worth just under $1,000, but the price has since peeked at nearly $8,000. Some other cryptocurrencies, of which there are now more than 1,200, have resulted in gains of a much higher magnitude for those investing in the currency’s initial coin offering (ICO).

Simple assessment – ending the tax return?

Around 11 million people currently have to complete a tax return every year to provide HM Revenue & Customs (HMRC) with information about their income. With greater use of existing data, HMRC can now find the information for some of those taxpayers elsewhere without needing them to complete a tax return. This new system is called simple assessment, and HMRC have just begun issuing assessments for the 2016/17 tax year.