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Staking, Mining & DeFi Income

Rewards from staking, mining, airdrops and DeFi classified correctly: income tax now, CGT later, kept apart.

Not all crypto is a capital gain. Staking rewards, mining, airdrops and much of DeFi can be income, taxable at your marginal rate when received, and then a CGT asset afterwards. We classify each stream correctly so you are taxed once, on the right basis.

What’s included

06 items
  • Income classification: staking, mining, airdrops and DeFi

  • Marginal-rate tax: income valued and reported when received

  • CGT on later disposal: the second event tracked separately

  • DeFi activity: lending, liquidity and yield untangled

  • Record building: reward events captured and valued

  • Form 11: crypto income filed with your return

What you should know

The hardest part of crypto tax is not the gains; it is telling income from capital. Rewards from staking, mining or airdrops are generally taxable as income at your marginal rate, valued at the moment you receive them. That same crypto then becomes a CGT asset, so disposing of it later is a second, separate taxable event. Miss the distinction and you either overpay or leave a gap Revenue will find.

DeFi makes this harder again: lending, liquidity provision and yield can each be characterised differently, and the transaction history is often a tangle across protocols. We work through the activity, classify each stream on the right basis, value the reward events, and make sure the income goes on your Form 11 and the later disposals are tracked for CGT, so nothing is taxed twice and nothing is missed.

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