The British Revenue and Customs Authority has issued 81,000 encrypted tax alerts over the past 12 months, an increase of 25 per cent

On 22 August, HMRC, the British Revenue and Customs Administration, sent **81000 tax alerts to encrypted money investors over the past 12 months,** an increase of 25 per cent over the previous year ' s 65,000, compared with 27714 in the fiscal year 2023-24, with the relevant data being obtained by the accounting firm UHY Hacker Young through a public application for information. This type of warning letter is used to remind interested investors to voluntarily declare outstanding taxes and to avoid formal investigations by tax authorities. It was reported that the use of encrypted currency conversions, consumer payments, token gifts and collateral proceeds of borrowing could trigger British tax obligations, and that many investors were mistakenly convinced that using an overseas exchange would exempt the British mainland from tax obligations. By statute, British encryption service providers have been required to implement a framework for encrypted asset reporting since 2026, to collect user identification and transaction records, and to submit their first full transaction report in 1 January to May 2027. Since 2027, the multinational clearing-house mechanism will have landed and 52 jurisdictions will have provided encrypted transaction data from British residents abroad to the PMRC, and the ability of tax agencies to regulate offshore transactions will be significantly enhanced. At the same time, the UK plans to adjust DeFi's tax rules in April 2027 to “no gain/loss” tax on eligible, encrypted lending and automated market operations, an adjustment that is expected to cover about 700,000 users。