Are Bitcoin mining payouts taxable?

Usually, yes. In the U.S. the IRS treats mining rewards as gross income at their fair market value on the day you receive them (Notice 2014-21), and selling them later can create a capital gain or loss. The UK, Canada and Australia also tax mining, though when and how depends on your circumstances.

Does being paid in crypto avoid tax?

No. Tax agencies treat crypto as property or an asset, not as a way around tax. Income you receive in bitcoin is generally taxed like income you receive in dollars, valued at the market price when you receive it.

How do I work out the value of each payout?

Record the date and amount of every payout and its value in your currency that day. Tallyhashs' free payout statement does this from the public blockchain, using each day's BTC-USD closing price, and exports a CSV for your records or your accountant.

Mining taxes

Paid in bitcoin.Still taxable.

Getting paid in crypto doesn't make mining income tax-free. Here's how the main tax agencies see it, and a free tool that turns your payouts into a statement you can hand to your accountant.¹

Build my payout statement

The short version.

When a payout arrives

Most tax agencies treat mining rewards as income, valued at the market price on the day you receive them.

When you sell or spend it

Selling, swapping or spending the bitcoin later can create a capital gain or loss, measured from what it was worth when you got it.

Keep records

Note each payout's date, amount and value in your currency. The statement below does it for you.

By country

What tax agencies say.

A starting point, with links to each agency's own guidance.

United States · IRS

Mining rewards are gross income at their fair market value on the day you receive them. Selling them later can create a capital gain or loss.

IRS Notice 2014-21 · IRS digital assets

United Kingdom · HMRC

Mining receipts are taxable as trading income if mining is a trade, and otherwise generally as miscellaneous income. Later disposals can be subject to Capital Gains Tax.

HMRC Cryptoassets Manual

Canada · CRA

Mining is treated either as a business, with income taxed as it's earned, or as a personal activity. Disposing of mined crypto has tax consequences either way.

CRA crypto-asset guidance

Australia · ATO

If mining is a business, mined crypto is income. If it isn't, tax generally arises when you dispose of it, under capital gains tax.

ATO: crypto mining

Elsewhere, most countries tax mining income or gains in some form. When in doubt, ask a tax professional where you live.

Free tool

Your payout statement.

Paste the Bitcoin address your payouts go to. We list every payment it received with that day's BTC-USD price, total it by year and give you a CSV.²

Payments received by the address
Date (UTC)	Transaction	BTC received	BTC-USD that day	USD value

Counts confirmed incoming payments that don't spend from the same address. USD values use Coinbase's daily BTC-USD closing price (UTC). Not tax advice.