Hi,
I'm in dire need of an accountant that genuinely understands the current HMRC position on bitcoin.
I talked to a few and none of them understand it and therefore will not comment on it (understandable).
The questions I'd like to cover are relating to a situation where 100% of your income is in BTC - in which case you're bringing large amounts of FIAT to your bank account via an exchange yet hold no official work activity. I'm looking for someone who can offer authoritative advice on the matter.
Does anyone know a firm that I could contact?
Holding no official work activity? is this at your end or the place you are getting paid from? It is not hard to follow the rules from HMRC. Just become VAT registered if you are wanting to claim taxes back though what you are paying out and claim your expenses back. If not then just file your tax return at the end of the year and keep track of all your incoming, outgoing, costs etc.. Personal Allowance is £10,600 Per year. If you are earning under it then you got no tax to pay but I would still show the income to HMRC so you can cover your tracks in the event of HMRC asking you questions or if not submitting id just declare all earnings and have no worries about it in the future. Anything above your personal allowance is taxed at 20%. If you exceed £31,786 then you will pay 40% tax total fucking joke for HMRC to double up your tax but hay ho that's the tax man for you. I would only expect to pay Capital-Gains Tax if over the personal allowance and if under then you are tax free and no need to worry.
If you are as say 100% BTC income then its just a matter of working out your total income if exceeds your personal allowance then you will need to pay tax on it and just submit tax return. If want claim expenses like VAT then id look at becoming vat registered and it is simple enough to do. Then you can have fun doing tax wright offs and making claims to get back
