Guides / Crypto and Inheritance Tax

Does crypto count for Inheritance Tax?

Yes. HMRC treats crypto as part of your estate, just like savings or shares. Here's how it works and what your executor will need.

UK guide · Updated 28 September 2026 · 5 minute read

The short answer

HMRC's own guidance says crypto is treated as part of a person's estate "in much the same way as other assets, such as bank accounts, property, shares, and investments." When you die, its value in pounds on the date of death is added to everything else you own.

Inheritance Tax is only due if the whole estate is worth more than the tax-free allowances. For most people that's £325,000, plus up to another £175,000 if you leave your home to your children or grandchildren. Anything you leave to a spouse or civil partner is usually tax-free. Above the allowances, the rate is normally 40%.

So many estates with crypto won't owe any Inheritance Tax. But the crypto still has to be found, valued and reported.

Want a figure for your own estate? Use our free crypto Inheritance Tax calculator. It includes pensions under the rules from April 2027.

How crypto is valued

Your executor needs the value of each holding in pounds on the date of death. In practice that means:

Working out exactly what was held on that date: which coins, how many, and where.
Finding the price of each one in pounds on that day, from a reliable source such as a major exchange or price service.
Keeping a record of the prices and sources used, in case HMRC asks.

Crypto prices can move a lot in a day, so it helps to be consistent and write down which price was used.

What if nobody can access it?

If the crypto exists but nobody has the recovery phrase or login, HMRC's guidance says the executor should explain on the Inheritance Tax return why it's inaccessible and what they believe it's worth.

This is a grey area. The crypto still exists on the blockchain, so it may not simply count as worth nothing, even though your family can't use it. It's one of the best reasons to leave clear instructions.

HMRC is paying attention. In 2026 HMRC wrote to tax agents who had filed Inheritance Tax returns, asking them to check whether estates held any crypto and to correct returns that left it out.

What about Capital Gains Tax?

There's no Capital Gains Tax on death itself. The people who inherit are treated as getting the crypto at its value on the date of death. If they sell it later for more than that, Capital Gains Tax may be due on the increase.

That's another reason an accurate date-of-death value matters: it becomes the starting point for your family's own tax later.

What executors should do

Look for signs of crypto: exchange emails, bank transfers to exchanges, wallet apps on phones, hardware wallets, notes about "seed" or "recovery" words.
Contact each exchange with the death certificate and grant of probate to find out what's held.
Value everything in pounds on the date of death and keep your workings.
Include it on the Inheritance Tax forms, and explain anything you couldn't access.

For more detail, see our guide: How to find crypto as an executor.

Save your family the detective work

A WalletLegacy plan lists everything you hold and where, so your executor can find it and value it without guesswork.

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This guide is general information based on HMRC's published guidance for the UK, not tax or legal advice. Allowances can change. For advice about a specific estate, speak to a solicitor or tax adviser. Source: HMRC Cryptoassets Manual, CRYPTO25000.