Coin Tax Atlas
An introductory explainer — not tax, legal or investment advice. Rates and filing rules are your country’s to set; check the official pages and use a licensed tax adviser where it matters.

Topics · Basics

How Bitcoin and other crypto are taxed

Basics · read this first

Compiled by Coin Tax Atlas. Method: official tax-authority guidance and legislation first, every figure marked with the year it applies to. We do not estimate anyone’s personal tax bill, and nothing here replaces advice from a licensed professional.

The one-line answer to “is Bitcoin taxed?”

It depends on what you do with it. Across the UK, Australia, the US and Germany, buying Bitcoin and holding it — or shuffling it between your own wallets — is generally not taxed. Sell it, swap it for another coin, or spend it, and a taxable capital gain may arise. Sitting still costs nothing; moving is what can cost.

Three rules that hold almost everywhere

  • 1. Holding is not taxed: buying with fiat, holding long-term, and transfers between your own wallets are normally non-events.
  • 2. Disposing is taxed: selling for fiat, swapping coin for coin (BTC → ETH), or paying with crypto each settles a capital gain or loss — market value at disposal minus cost.
  • 3. Rewards are income: staking rewards, airdrops and mining output are usually income at market value when received; disposing of those coins later triggers a separate capital gain on any growth since.

Beyond these three, rates, allowances and holding-period perks diverge sharply by country — which is exactly why the next stop is your own country’s page.

“Bitcoin” is just the search term

People search “Bitcoin tax”, but the question covers all cryptoassets — Ethereum, stablecoins, the rest. To a tax authority the core logic is identical across them: disposals produce capital gains, rewards produce income. What varies is the frame around that logic: Germany exempts private sales held over a year, Australia halves gains after 12 months, the US splits short-term from long-term rates, and the UK runs a £3,000 annual exempt amount.

Now, your country: the actual rates and allowances

Pick the country you pay tax in — each page runs the same drill: event → taxable? → rate → official source.

  • United Kingdom: mostly CGT, £3,000 annual exempt amount, 18%/24% rates (2025/26).
  • Australia: a CGT asset; individuals holding 12+ months usually get the 50% discount (2025–26).
  • United States: property treatment, short-term at ordinary rates, long-term 0/15/20%; broker 1099-DA reporting since 2025.
  • Germany: private sales tax-free after a year; within a year, personal income rates and a €1,000 exemption limit.

The overlooked bit: swaps count too

The beginner’s classic is assuming that nothing matters until fiat lands in the bank. In the UK, Australia and the US, swapping one coin for another — stablecoins included — is usually already a disposal, settled at that moment’s market value, with not a cent withdrawn. The practical consequence: record every transaction from day one, so filing season is transcription rather than archaeology. What to export and keep is in Keeping transaction records.

FAQ

My Bitcoin went up but I haven’t sold. Do I owe tax?
Usually not. Unrealised paper gains are generally untaxed; tax arrives when you dispose — sell, swap or spend — and the gain or loss becomes real.
Is buying something with Bitcoin taxable?
In the UK, Australia and the US, spending crypto is normally treated as a disposal, with gain or loss measured at the market value when you paid. Germany routes it through the private-sales framework, where the one-year holding period decides.
Can losses reduce my tax?
Most countries let capital losses offset capital gains (generally not wages), with unused amounts carried forward — and some require you to claim the loss formally first. Details are on each country page.

Figures and official sources live on the country pages; checked on 1 September 2026.

Before you rely on this

An introductory explainer, not advice for your circumstances. File by your country’s official position, and put complex situations in front of a licensed tax professional.