Charities accepting crypto: tax and donation essentials

Q: What charities accepting crypto give the best receipts?

Charities using custodial partners or reputable exchanges typically supply detailed GBP receipts with token, amount, date and valuation. Request a formal receipt before donating.

Q: How do students calculate the GBP value of donated crypto?

Use a reputable exchange price at the exact disposal date and time. Custodial partners normally provide the conversion rate used in their receipt.

Q: Can Gift Aid be applied to crypto donations?

Gift Aid applies to money. If crypto is converted to GBP before the charity receives funds, Gift Aid may be applied where eligible; confirm with the charity.

Q: Are peer‑to‑peer transfers to charity wallets risky?

Yes. Peer‑to‑peer transfers can make it harder to obtain a prompt formal receipt and clear valuation. Prefer established custodial routes when possible.

Q: When must a student complete a self‑assessment for crypto donations?

If total taxable gains exceed the annual CGT allowance or HMRC requests a return. Otherwise keep records and be ready to file if thresholds are crossed.

Do concerns about tax, receipts and practical steps stop people from donating cryptocurrency to charity? Many potential donors—especially students and low‑income individuals—pause because the process seems technical. This guide explains clearly which charities accept crypto, how donations are processed, and what donors need to report to HMRC so the tax outcome is correct and simple.

Table of Contents

Key takeaways: what to know in 1 minute

Most registered UK charities can accept cryptocurrency, but not all do; check the charity’s policy and partner custodians.
Donating crypto can reduce Capital Gains Tax (CGT) because a gift in kind to a UK charity is treated as a disposal for CGT purposes but with reliefs available when given directly to the charity.
Students and low‑income donors often face no tax liability on small crypto gains due to the annual CGT allowance and low taxable income, but records must be kept and reporting rules followed.
HMRC self‑assessment must show disposals and any tax relief claimed; keep donation receipts and conversion records to prove the transaction.
Use established donation routes (custodial partners, third‑party platforms) to obtain a clear gift receipt and avoid uncertain peer‑to‑peer transfers.

How charities accepting crypto operate and the typical donation routes

Charities accepting crypto generally use one of three models: a) direct wallet addresses controlled by the charity, b) third‑party custodial partners (e.g. The Giving Block) who convert crypto and issue receipts, or c) exchange or payment‑processor integrations that settle in fiat. Each route affects the donor experience and the paperwork issued.

Direct wallet: charity provides an address; donation is on‑chain; donor must obtain proof of transfer and market value at disposal time. This model gives the charity full control but can make obtaining formal receipts slower.
Custodial partner: platforms such as The Giving Block often accept multiple tokens, convert to fiat for the charity, and provide a donation receipt. This simplifies tax reporting for donors and charities.
Exchange integration: some charities accept donations via exchanges or custody providers (e.g. Gemini custodial services) which credit the charity in fiat; donors get clear transaction records from the exchange.

Choose a charity route that issues a proper receipt showing token donated, date and value in GBP at disposal time. Receipts from established custodians usually make HMRC reporting straightforward.

Which UK charities currently accept crypto and how to compare them

A growing list of UK charities accept crypto. When comparing organisations, check: accepted tokens, fees and conversion timing, receipt format, and whether the charity offers Gift Aid on converted funds. The following HTML table compares common considerations (rows alternate styling for readability):

Charity / platform	Tokens accepted	Fee / conversion	Receipt quality	Gift Aid
National charity A (custodial)	BTC, ETH, USDC	1–2% conversion	Detailed GBP receipt	Sometimes
Local charity B (direct wallet)	BTC only	No fee; charity handles sale	Basic transaction confirmation	Rarely
International NGO (platform partner)	Multiple tokens incl. NFTs	2–5% depending on token	Comprehensive receipt + valuation	Often

Crypto tax for students and low‑income earners donating to charities accepting crypto

Students and low‑income earners frequently have limited or zero tax liabilities. Two rules matter most:

The annual Capital Gains Tax (CGT) allowance (the tax‑free gain each year). If total gains across all disposals in a tax year are below this allowance, no CGT is payable.
Income tax position: low or zero taxable income may mean donating crypto offers little immediate income tax benefit, but CGT treatment on the disposal still applies.

If a student donates crypto directly to a UK charity (the charity is a registered charity in the UK and the gift is an outright gift), the disposal is treated as occurring at the market value at donation. The donor reports the disposal on a self‑assessment if it causes total taxable gains above the annual allowance or if HMRC specifically requires a return. For many students the combined allowances and low gains mean no tax is due, but evidence and reporting are still necessary.

Do students pay crypto tax in the UK?

Short answer: often no, but not automatically. The outcome depends on three factors:

Size of the gain: if total gains in the tax year exceed the CGT allowance, tax may be due.
Source of the gain: disposals caused by donating to charity are still disposals for CGT, but when a donation is made directly to a charity (not sold first), the donor may be able to claim reliefs or show a reduced tax liability depending on circumstances.
Reporting thresholds and HMRC requests: HMRC requires self‑assessment if gains exceed allowances or other conditions apply.

For many students whose crypto holdings are small or who have minimal trading activity, taxable gains will remain below the threshold and no tax is payable. However, the donation should still be documented carefully.

How to report bitcoin on HMRC self‑assessment when donating to charity

When a donation of bitcoin (or another cryptoasset) is made, HMRC treats that action as a disposal. The donor should:

Calculate the disposal date, proceeds (market value in GBP at that date) and allowable costs (acquisition cost and incidental costs).
Determine the chargeable gain or allowable loss for the disposal.
Include the disposal on the Capital Gains section of the self‑assessment tax return if total gains exceed the annual allowance or if HMRC requires reporting.

Practical steps for the self‑assessment:

Step 1: gather evidence and receipts

Keep the charity’s donation receipt and the on‑chain or exchange transaction record. The receipt must show token, quantity, and the charity’s confirmation. If a custodian converted the crypto to fiat, include their statement showing the conversion rate and date.

Step 2: calculate gain or loss

Use the market value at disposal (in GBP) minus allowable costs (original purchase price and fees). If pooling rules apply (e.g. for multiple acquisitions of the same token), follow HMRC’s pooling rules.

Step 3: complete the Capital Gains section

On the self‑assessment, report the disposal under the appropriate asset classification (cryptoassets). Declare the gain or loss and, if claiming relief (see below), provide the necessary detail.

Useful HMRC guidance: HMRC: Tax on cryptoassets.

Capital Gains Tax allowances and thresholds relevant to students donating crypto

For the 2025/26 tax year (confirm current threshold on HMRC site at the time of donation), the annual CGT allowance provides a tax‑free band of gains. Students with infrequent, small disposals are likely to remain within this allowance.

Key points:

The allowance applies to total gains across all disposals in a tax year.
Losses can be used to offset gains; unused losses can be carried forward if reported to HMRC.
If the charity sale is conducted by a custodial partner converting to fiat before crediting the charity, the disposal value is the conversion price.

Students should check the active allowance figure at HMRC capital gains tax and treat small, one‑off donations as low risk for CGT.

Claiming allowable losses, reliefs and exemptions as a student donating crypto

If the crypto asset has fallen in value since acquisition, donating may realise an allowable loss. Allowable losses can be:

Set against gains in the same tax year.
Carried forward to offset future gains if properly reported.

Reliefs to consider:

If the charity is a UK registered charity and the gift is an outright transfer, the disposal follows normal CGT rules; there is no special charitable CGT exemption for individual donors, but the mechanism of donation (gift in kind given directly) often reduces friction because the charity may convert proceeds without the donor first crystallising a taxable sale in a commercial market.
In certain complex arrangements (e.g. where the donor uses an intermediary), tax advisers may structure the donation to maximise tax efficiency, but students and low‑income donors usually benefit sufficiently from direct donations via established platforms.

Always retain documentation to support any claimed loss or relief.

Record‑keeping essentials for low‑income crypto investors donating to charities accepting crypto

Record keeping is essential even when no tax is due. Effective records prevent future disputes and simplify any necessary self‑assessment.

Minimum records to keep for each donation:

Date and time of transfer to the charity or custodian.
Quantity and type of crypto donated (e.g. 0.01 BTC).
Market value in GBP at the time of disposal, including the source used to determine the GBP value (exchange rate or reputable price index).
Transaction ID or exchange/custodian statement showing the transfer and conversion if applicable.
Formal charity receipt stating the donation and the charity’s registration number.

Store records for at least five years after the 31 January submission deadline following the relevant tax year, as HMRC can request evidence within that period.

How to choose a charity accepting crypto: practical checklist

Confirm the charity is registered with the Charity Commission: Charity Commission.
Ask how donations are received and whether a custodial partner is used.
Request a donation receipt that includes token details and GBP valuation.
Check fees and conversion arrangements; small donors should avoid high percentage drains.
Verify whether Gift Aid is applied or can be applied post‑conversion.

Advantages, risks and common mistakes when donating crypto to charity

✅ Benefits / when to donate crypto to charity

Tax efficiency for donors with significant gains: donating appreciated crypto can be more tax‑efficient than selling and donating cash, provided proper receipts and handling.
Speed and transparency: on‑chain transfers can be faster than bank transfers and provide immutable proof of donation.
New funding channel for charities and enhanced donor appeal.

⚠️ Risks / errors to avoid

Donating without a proper receipt or valuation record can create HMRC disputes.
Sending crypto to an incorrect wallet address may be irreversible; double‑check addresses.
Using untrusted custodians risks delays or loss of funds; prefer established partners.
Assuming Gift Aid automatically applies; confirm procedures with the charity.

Visual process: donating crypto to a UK charity (quick flow)

Step 1 🔎 Choose a registered charity → Step 2 🧾 Confirm donation route and receipt → Step 3 🔗 Transfer crypto to provided address or platform → Step 4 💷 Obtain GBP valuation and receipt → ✅ Record and, if required, report to HMRC

Quick flow: donate crypto to a UK charity

1️⃣Choose registered charityCheck Charity Commission

2️⃣Confirm donation routeWallet / custodian / exchange

3️⃣Transfer cryptoKeep TXID / screenshot

4️⃣Get GBP valuation & receiptDate + value at disposal

5️⃣Record and reportSelf‑assessment if needed

Practical examples: student scenarios and HMRC reporting decisions

Example A — small donation: a student bought 0.002 BTC for £30 in 2022 and donates it in 2026 when its value is £80. The gain of £50 is below the typical annual CGT allowance for most years; no CGT payable. Keep the receipt and file only if total gains exceed the allowance.

Example B — larger holding: a student with multiple disposals in the year whose cumulative gains exceed the allowance should include the charity donation disposal in self‑assessment, using the charity receipt and conversion evidence to calculate the gain and any tax due.

Questions donors ask: short answers

Is it better to sell crypto and donate cash or donate crypto directly?

Donating crypto directly can be more tax‑efficient when the donor would otherwise realise a gain on sale; it avoids immediate disposal at market by the donor and often simplifies tax treatment if the charity receives the asset directly or via an established custodian.

Can Gift Aid be applied to crypto donations?

Gift Aid applies to donations of money. If a custodian converts crypto to GBP and the charity receives the proceeds as money, Gift Aid may be applied where eligible. Confirm with the charity.

Where to find HMRC guidance on reporting crypto disposals?

Use HMRC’s official guidance at HMRC: Tax on cryptoassets.

Preguntas frecuentes

What charities accepting crypto give the best receipts?

Most charities using custodial partners (e.g. The Giving Block) or established exchanges provide detailed GBP receipts. Always request a formal receipt showing token, amount, date and GBP valuation.

How do students calculate the GBP value of donated crypto?

Use a reputable exchange price at the exact date and time of disposal; custodial partners normally supply the conversion rate used.

Do charities accept NFTs and how are they valued?

Some charities accept NFTs. Valuation is the market value at donation; obtain written evidence from the charity or custodian of how value was determined.

Are peer‑to‑peer transfers to charity wallets risky?

They can be: without a custodian or exchange intermediary, obtaining a formal receipt and proof of market value may be slower. Prefer custodial or platform routes for clear documentation.

What records should low‑income donors keep?

Transaction ID, conversion evidence, charity receipt, acquisition cost. Keep records for at least five years after the relevant tax year.

When must a student complete a self‑assessment for crypto donations?

If total taxable gains across the year exceed the CGT allowance or HMRC specifically requests a tax return. Otherwise, keep records and be ready to file if thresholds are exceeded.

Your next steps:

Check the charity’s crypto policy and request a formal donation receipt showing GBP valuation.
Keep clear transaction evidence (TXID, exchange screenshots) and the charity’s confirmation.
Review total gains for the tax year; file HMRC self‑assessment if gains exceed the CGT allowance or if HMRC asks.

Crypto record‑keeping templates to meet HMRC reporting rules

Disclaimer: The information provided on this website is for general informational purposes only and does not constitute tax, legal or financial advice. Content is based on publicly available HMRC guidance and is intended to explain general principles of UK cryptoasset taxation. Tax treatment depends on individual circumstances and may change over time. Always refer to the latest HMRC publications or consult a qualified UK tax adviser before making tax decisions.

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