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<p>Capital Gains Tax (CGT) is due on gains from cryptoassets held as investments which
are taxed in line with CGT tax rates and exemptions rules as for other assets. The
Self-Assessment form does not currently separate capital gains made on cryptoassets
from other assets. As a result, a reliable estimate for Capital Gains Tax due from
cryptoassets would only be available at a disproportionate cost.</p><p> </p><p>Decentralised
Finance (also known as DeFi) is a comparatively recent innovation with notable uptake
during mid-2020. Amounts arising from decentralised finance are, generally, liable
to either Income Tax or Capital Gains Tax. However, as with cryptoassets, the Self-Assessment
form does not separate capital gains and/or income arising from decentralised finance.
As a result, a reliable estimate of Capital Gains Tax or Income Tax collected from
decentralised finance would only be available at a disproportionate cost.</p>
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