The short version
- EU: DAC8 applies from 1 January 2026. Crypto service providers collect data on 2026 transactions, and tax authorities exchange it by 30 September 2027.
- UK: the Cryptoasset Reporting Framework (CARF) applies from 1 January 2026, with the first reports to HMRC due by 31 May 2027.
- US: brokers report gross proceeds on Form 1099-DA for sales from 2025, and cost basis for covered assets sold from 2026.
Heads-up: some links on this page may be affiliate links. If you sign up through one, we may earn a commission at no extra cost to you. Tools are listed alphabetically; paid placements are always labelled "Featured". How we make money.
For years, tax authorities mostly relied on people to declare their own crypto gains. That is changing. From 2026, crypto platforms in the EU and the UK collect and report data on their users' transactions, and US brokers already send the IRS a new form. Here is what each set of rules does, and what it means for you. This is a summary of reporting rules, not tax advice for your situation.
EU: DAC8
DAC8 extends the EU's system for automatic exchange of tax information to crypto-assets. According to the European Commission:
- The rules apply from 1 January 2026. EU countries had to put them into national law by the end of 2025.
- Reporting crypto-asset service providers must collect information on the transactions of their resident and non-resident users.
- Data is sent to national tax authorities the year after the reporting year. For 2026, the exchange between EU countries takes place by 30 September 2027.
- The scope goes beyond MiCA: it also covers stablecoins, certain NFTs and decentralised-issued assets.
In practice, expect your exchange to ask for your tax residence and tax identification number if it has not already.
UK: the Cryptoasset Reporting Framework
The UK applies the OECD's Crypto-Asset Reporting Framework (CARF) from 1 January 2026. UK-based crypto service providers collect details of their users and transactions and report them to HMRC. The first reports, covering 2026 transactions, are due by 31 May 2027, and providers must register with HMRC by 31 January 2027, according to law firm Withers.
Users should expect to be asked for details such as their National Insurance number.
US: Form 1099-DA
In the US, crypto brokers now report digital asset sales on a dedicated form, 1099-DA:
- For sales from 1 January 2025, brokers report gross proceeds.
- For sales from 1 January 2026, brokers also report cost basis for "covered" assets: broadly, digital assets acquired from 2026 in a custodial account and held there until sold.
- Some activity, such as certain staking and lending, has temporary relief from reporting under IRS notices.
Because basis is reported only for covered assets, coins you bought before 2026 or moved in from another wallet may show proceeds with no basis. Without your own records, that can look like a bigger gain than you actually made.
What this means for you
- Your tax authority will see more. Assume transactions on regulated platforms are reported. Declaring them correctly matters more than ever.
- The platform only sees its own part. Transfers between exchanges and self-custody wallets break the chain. You need the full history to calculate gains.
- Keep records now, not in April. Export transaction history from every exchange you use, including ones you have stopped using.
- The tax rules themselves have not changed. Rates, allowances and what counts as a taxable event still depend on your country.
Where crypto tax software helps
Crypto tax tools import history from exchanges and wallets, match transfers between them, and calculate gains under your country's rules. Koinly produces reports for many countries; CoinTracker combines portfolio tracking and tax; CoinLedger lets you import and preview for free and pay to download reports. All three can produce files your accountant or tax software can use.
Before you pay, check that the tool supports your country's method and every exchange and blockchain you have used. See Koinly vs CoinTracker, Koinly vs CoinLedger, Koinly alternatives, or all tax tools. Still choosing an exchange? Read how to check a crypto exchange's MiCA licence.
Tools in this guide
Best for crypto tax reports in many countries.
Best for crypto portfolio tracking and tax.
Best for crypto investors filing in the US and abroad.
Frequently asked questions
What is DAC8?
DAC8 is an EU directive that extends automatic exchange of tax information to crypto-assets. Reporting crypto-asset service providers collect information on their users' transactions and report it, and EU countries exchange it with each other. It is based on the OECD's Crypto-Asset Reporting Framework.
Does DAC8 mean new crypto taxes?
No. DAC8 is about reporting, not tax rates. How crypto is taxed still depends on the rules of the country where you are tax resident. What changes is that the tax authority is much more likely to already have data on your transactions.
Do I still need crypto tax software if my exchange reports for me?
Often yes. A broker only sees what happened on its own platform. If you moved coins between exchanges and wallets, the cost basis it reports can be incomplete, and you remain responsible for an accurate return.
Sources
- European Commission, DAC8
- Withers, Navigating HMRC's incoming Crypto-Asset Reporting Framework, going live 1 January 2026
- IRS, Instructions for Form 1099-DA
- Greenback Tax Services, IRS Form 1099-DA: digital asset proceeds reported by your crypto broker
Published 25 October 2026, last checked 25 October 2026. Rules, prices and availability change; confirm with the provider or an adviser before you act. NxtGenFin is an independent directory, not affiliated with the companies named unless marked as featured, sponsored or affiliate link. Not financial, tax or legal advice.