Guide on how to report Bitpanda crypto taxes in United Kingdom?

Introduction

Do you need to declare your Bitpanda crypto earnings to HMRC? Are you unsure which transactions are taxable? Do you struggle to calculate your gains correctly? You are in the right place for clear, straightforward guidance.

Tax authorities worldwide, including HMRC, now have more insight into your crypto activities. International efforts aim for greater transparency. This means platforms increasingly share transaction data with authorities.

Waltio simplifies this complex process for you. We help you accurately calculate your crypto taxes. We also populate the correct forms. This ensures full compliance with United Kingdom tax regulations.

This guide will explain how to report your Bitpanda crypto taxes in the UK.

What is Bitpanda?

Bitpanda is a European crypto trading platform. Users can buy, sell, and store various cryptocurrencies. Bitpanda started operations in 2014.

Bitpanda operates in the United Kingdom via Bitpanda GmbH. Users should always check its official registration status. You can do this with the Financial Conduct Authority (FCA). Regardless of registration, you must still report your crypto activity in the United Kingdom.

How does the HMRC know I have crypto on Bitpanda?

International efforts to increase financial transparency have grown. This global push covers all financial markets, including crypto.

New DAC8 regulations were adopted across the EU. This boosted international cooperation against tax evasion. As of January 1, 2026, Bitpanda and other regulated platforms must report your transaction history. They send this data directly to tax administrations automatically.

Learn more about DAC8 and how it affects you

How are Bitpanda transactions taxable in United Kingdom?

HMRC generally considers cryptoassets as property for tax purposes. If you dispose of your crypto, you may owe Capital Gains Tax (CGT). Capital Gains Tax is a tax on the profit you make from selling an asset. Income-generating activities may also be subject to Income Tax. Income Tax applies to various forms of income.

The law defines a taxable event. These are:

• Selling crypto for fiat currency (e.g., GBP).
• Using crypto to pay for goods or services.
• Exchanging one crypto for another.
• Gifting crypto (unless it is to your spouse or civil partner).

Exchanging one crypto for another is a taxable event. This applies to individuals in the United Kingdom.

Profits from these taxable events are called capital gains. You typically pay Capital Gains Tax if your total gains are above your annual exempt amount. The annual exempt amount is £3,000. Gains above £3,000 are taxed. Basic rate taxpayers pay 10%. Higher or additional rate taxpayers pay 20%.

Income from crypto activities is also taxable. Staking rewards, for example, are usually subject to Income Tax. Income Tax rates are progressive. They range from 20% to 45%. This depends on your total income for the year.

HMRC may see you as a “trader” if your crypto activities become significant. This differs from being an “occasional investor.” This difference can change how your profits are taxed. They might move from Capital Gains Tax to Income Tax or corporation tax. Always check the latest HMRC guidance. This confirms your correct status. You can find more details in HMRC’s Cryptoasset Manual.

Comprehensive guide to crypto taxes in United Kingdom

How to calculate gains and losses of Bitpanda?

You must determine your gain or loss on each disposal. This is for Capital Gains Tax purposes. HMRC requires specific accounting rules. These rules match your disposals with your acquisitions. They are known as “pooling” and the “30-day rule.”

Section 104 pooling is the main method. All tokens of the same type are grouped together. For example, all your Bitcoin form a single pool. When you sell some, you use the average cost of the entire pool. This calculates your gain or loss. It simplifies tracking many purchases at different prices.

The 30-day rule can override pooling in some cases. It is also called the “Bed and Breakfasting” rule. If you sell crypto and buy the same type within 30 days, the new purchase is matched. It is matched with the earlier sale. This stops you from claiming a tax loss if you immediately buy back the same asset.

Consider this example:

• You bought 1 BTC in 2018 for £5,000.
• You bought another 1 BTC in 2024 for £40,000.
• In 2025, you sell 1 BTC for £45,000.

Under Section 104 pooling, your average cost for 2 BTC would be (£5,000 + £40,000) / 2 = £22,500. When you sell 1 BTC, its cost is £22,500. Your capital gain would be £45,000 – £22,500 = £22,500. If you bought back BTC within 30 days, the 30-day rule would apply first. It would match your sale to the new purchase. This could happen before using the pool cost. This is a complex area. Keep careful records of everything.

How to declare staking & earn products from Bitpanda?

HMRC usually considers rewards from staking, lending, or other “earn” products as income. This income is generally subject to Income Tax.

You must value these rewards. Use their fair market value in GBP. This applies at the exact moment you receive them. This value becomes your acquisition cost for Capital Gains Tax. This is relevant if you sell the crypto later. For example, you get 0.1 ETH from staking when ETH is £2,000. You then have £200 of income.

Airdrops are when you receive crypto for free. They generally have an acquisition cost of £0. If you later sell an airdropped asset, the entire sale amount is usually a capital gain.

Remember, receiving the reward is one tax event (Income). Selling that reward later is a separate tax event (Capital Gain or Loss). You must record both events individually.

How do I declare my gains and losses for Bitpanda?

Individuals in the United Kingdom must report their crypto gains and losses. You do this through your annual Self Assessment tax return. You will use the main SA100 form. You also need the supplementary SA108 Capital Gains Summary pages.

On the SA108, you must declare your total capital gains and losses. This covers the entire tax year. It includes gains from crypto disposals. You will provide the total proceeds from your sales. You also need to state the total allowable costs. The form then calculates your net gain or loss.

You may not owe CGT if your total gains are below the annual exempt amount. However, you still need to report significant disposals. Always keep very good records of all your Bitpanda transactions. This helps support your figures.

How to Import Bitpanda operations into Waltio?

You can easily import your Bitpanda transaction history into Waltio. This simplifies your tax calculation. This process automatically calculates your taxable events. It follows United Kingdom tax rules.

📝 Description

The Bitpanda API allows you to connect your account to Waltio to automatically import your deposits, withdrawals, trades, and balances.
👉 This avoids manual file uploads and simplifies your tax reporting.

⚠️ Warnings

• If you delete or modify your keys, synchronization will stop. All modifications (labels, prices, etc.) linked to API data will be lost.
• Earnings from questionnaires are not taken into account and must be added manually with Waltio’s format.
• Bitpanda awards in BEST, COMP or others are not visible via API.
• Bitpanda indices trigger USD rebalancing trades. You should switch USD to USDT in Waltio to avoid taxable events.
• Some Bitpanda transactions (conversions to euros) may be taxable. By default, Waltio does not consider them taxable.
• BEST fees linked to stocks, ETFs, or metals are not supported. You must add them manually with Waltio’s sample file.
• Adding files containing transactions already read by the API may cause duplicates.

💡 Recommendations

• Always set the API scope to Transaction, Trade, and Balance.
• Copy your private key immediately, as it won’t be visible after leaving the page.
• Contact support if your API becomes disabled, as synchronizations run weekly.

📂 How to access your data

1. Log in to your Bitpanda account.
   
2. Open the top drop-down menu and click API key.
   

📤 How to export your data

1. Name your API key (e.g., Waltio Key) and set the scope: Transaction, Trade & Balance.
   
2. Click Generate a new API key.
   
3. Confirm the creation of the key via email.
   
4. Copy your private key.
   

➕ How to add your data to Waltio

1. Go to the Connect my API page on Waltio.
2. Enter your Bitpanda API keys.

Simplify your tax returns with Waltio

Waltio brings together all your exchanges and wallets. This streamlines your tax reporting. Connect your accounts using an API or by uploading files. You can track your crypto portfolio in real-time. Generate United Kingdom compliant tax reports with just one click.

Create your free account today. No credit card or KYC is required.