Tax Agencies
/
Binance
checkCircle
Expert verified
9 min read

Does Binance Report to HMRC?

BinanceUnited Kingdom
governments
/
Binance
info
Our Editorial Standards:
Our content is designed to educate the 400,000+ crypto investors who use the CoinLedger platform. Though our articles are for informational purposes only, they are written in accordance with the latest guidelines from tax agencies around the world and reviewed by certified tax professionals before publication. Learn More

Cryptocurrency exchanges around the world are starting to report more and more information to government agencies. In this guide, we analyze Binance’s tax reporting policies within United Kingdom. We’ll also break down a simple way to report your Binance taxes in minutes.

Does Binance report to HM Revenue & Customs (HMRC)?

HMRC has requested UK taxpayer information from the largest exchanges operating within the country. While it has not been confirmed whether Binance complied with the requests of HMRC, other prominent exchanges such as Coinbase have stated that they cooperated by turning over transaction details for users who received more than £5,000 worth of crypto on its platform.

What does HMRC do with the information that Binance provides?

HMRC has used data matching to crack down on crypto tax fraud. By using information provided by exchanges like Binance, HMRC is able to track crypto transactions and identify individuals who have not met their tax obligations.

Do I have to pay taxes on my Binance transactions?

Yes. In the UK, your transactions on Binance or other platforms are subject to capital gains tax and ordinary income tax. 

If you’ve earned or disposed (ex. Sold or traded away cryptocurrency) during the year, you’ll have a tax liability to report to HMRC. 

For more information, check out our complete UK guide to cryptocurrency taxes

Is Binance legal in the UK?

U.K.'s Financial Conduct Authority has stated that Binance's local unit is no longer authorized to provide any regulated services in the country.

How do I avoid Binance taxes in the UK?

Remember, there is no way to legally evade your taxes in the UK. However, tools like tax-loss harvesting and cryptocurrency tax software can help you save thousands of dollars legally. 

For more information, check out our guide on how to avoid crypto tax in the UK

Get a Binance tax report today

Looking for a simple way to report your Binance taxes? With CoinLedger, you can import your Binance transactions and auto-generate a complete gains, losses, and income tax report in minutes.

CoinLedger integrates with Binance and dozens of other wallets, blockchains, and cryptocurrency exchanges to automate the entire crypto tax reporting process.

You can get started with a free preview report today.

ellipseellipsecalculator

Calculate Your Crypto Taxes

  • Check
    No credit card needed
  • Check
    Instant tax forms
  • Check
    No obligations
Get Started For Free
percent
ellipseellipse