The UK Tax Authority Implements New Regulations from 1/1/2026, Requiring Crypto Asset Users to Provide Tax Identification Number and Personal Information to Service Providers.
The United Kingdom is tightening its regulatory grip on the crypto asset market through a series of new regulations aimed at enhancing tax transparency. The UK Royal Customs and Tax Authority (HMRC) has announced regulations requiring crypto asset users to provide their Tax Identification Number (TIN) and other personal information to service providers starting from January 1, 2026.
The goal of this regulation is to enhance HMRC's ability to link crypto-related activities with individual and legal entity tax records, thereby simplifying the process of determining tax obligations. According to the guidelines issued by the government, all individuals conducting buying, selling, transfer, or exchange of crypto assets through a service provider - regardless of whether the provider is domestic or not - will need to provide their full name, date of birth, residential address, and usual country of residence.
Regarding the tax identification number, the government recommends that UK residents provide their National Insurance Number or Individual Taxpayer Reference (UTR). However, individuals who are not eligible to be issued a TIN in their country will be exempt from this requirement.
Regulations Apply to Both Legal Entities and Individuals
Legal entities such as companies, partnerships, or charitable organizations will need to provide their full legal name, business address, and company registration number if established in the United Kingdom. The guidelines also note that some legal entities will be required to report information about their "ultimate beneficial owners".
By requiring service providers to collect and in some cases share this data, the tax authority hopes to gain a clearer view of crypto transactions for each individual and organization. The guidelines also warn that providing incorrect information or failing to provide complete information may result in a fine of up to 407 USD (300 British pounds).
Regarding tax obligations, the guidelines clearly state that if a person sells, trades, or gifts crypto assets, they may be required to pay Capital Gains Tax. Cases of receiving crypto assets from labor activities or mining will be subject to personal income tax and social insurance contributions.