CGT on Bitcoin

sgx2000

Hi Everyone

I bought into bitcoin 7 years ago.....
Total novice.....

I have added over the last 7 years....
I have made every novice investors mistake over that period...
(Bought, sold, exchanged to other crypto etc etc etc)

I recon I have about £7500 invested which is currently worth about £15,0000

If I have never declared anything for tax....(allegidly)

If I take out £3,000 annually do I have to declare anything?

uknick

Just to clarify, it's the gain that is taxed, not the value of what you remove.

If your total gains for the tax year are less than the the CGT allowance (currently £3k) and you aren't required by HMRC to do a self assessment there is no need to declare the gain.

sgx2000

Thanks for the reply...

So,  if I take £3000 per year out of it, regardless of how much its value increases.
I don't have to declare it?

And, given that a few years ago I sold Bitcoin (a gain of probably less than £3k)  then bought XRP (then sold that at a loss)  and bought back into Bitcoin....

Yes I know.... worst trader ever

Do I have to declare anything?

[Deleted User]

I presume it’s £15000. It’s possible therefore that the gain is £7500. 

You have made a gain of £1 on each bitcoin. You can therefore, without declaration, withdraw £6000 each year as the gain on that £6000 would be £3000.