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2025-10-17

How Investing vs Trading impacts tax

In most cases of buying and selling cryptocurrency as a retail investor, you are participating in investing rather than trading. The two are treated differently for tax purposes.

  • Investing is subject to capital gains tax or income tax, depending on the nature of the transaction.
  • Trading in this case refers to self-employment which is subject to income tax and National Insurance Contributions.

The key difference between investing and trading – along with the different tax treatments, is how losses generated in the crypto-activity can be used.

In their guidance, HMRC have explicitly stated that they would expect it to be exceedingly rare that any crypto-activity constituting buying & selling crypto would be classified as “trading”.

If you are uncertain, speak to a tax advisor as there are always exceptions, including but not limited to, developing tokens and large scale mining.

How is crypto tax calculated in the United States?

You can be liable for both capital gains and income tax depending on the type of cryptocurrency transaction, and your individual circumstances. For example, you might need to pay capital gains on profits from buying and selling cryptocurrency, or pay income tax on interest earned when holding crypto.

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17
 
Oct
 
2025
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10
min di lettura

Big News: Crypto Tax Calculator has rebranded to Summ

Key takeaways
This tax guide is regularly updated: Last Update  
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Why Summ?

Summ comes from summation, which is defined as:

  1. the act or process of forming a sum
  2. sum, total
  3. cumulative action or effect
  4. a final part of an argument reviewing points made and expressing conclusions

It speaks to where we are and where we're going. Knowing the sum of all the parts is how smart decisions are made.

Summ is about adding clarity and subtracting doubt.

What changes?

Not a whole lot. You can now find us here, at summ.com. If you like, you can update your bookmarks. But don't worry, we've handled the redirects.

Your login credentials, your data and your reports all stay the same. So does your peace of mind.

Why rebrand?

When I launched Crypto Tax Calculator in 2018, I had a single mission: making light work of crypto tax for onchain transactions.

Truthfully, I didn't know what to call the business. Solving the pain and stress I had experienced first-hand, and had seen others experience, felt much more important than a catchy brand name. At the time, nobody was using Crypto Tax Calculator, so I went with that.

Fast forward to today, and the space looks a lot different; more people are starting to understand that they need to pay tax on their crypto.

As the space has developed, people have started to struggle to differentiate us from the other options in the market. We've even had copycats appear, which is a security concern.

In short, there are now a handful of crypto tax calculators on the market, but only one was the Crypto Tax Calculator.

As crypto has matured, so have we. We now have staff across four continents and offer our solution in over 180 countries. We're backed by global giants like Coinbase and Metamask, and beloved by individual investors and their accountants. We continue to double down on onchain support and regulatory rigour. I may be biased, but our users aren't. We're the best solution out there.

So, we needed to make it easy for people to find us. We needed to shift to a more identifiable brand.

To Summ it up, crypto has changed, and so must we. That's why we've become Summ.

Thanks for being with us on this ride. From day one until now, you have helped shape what we have built, and we could not be more excited for what comes next.

Shane Brunette

Co-Founder & CEO

Le informazioni fornite su questo sito Web sono di natura generale e non costituiscono consulenza fiscale, contabile o legale. È stato preparato senza tenere conto dei vostri obiettivi, della vostra situazione finanziaria o delle vostre esigenze. Prima di agire in base a queste informazioni, è necessario considerare l'adeguatezza delle informazioni rispetto ai propri obiettivi, situazione finanziaria ed esigenze e chiedere una consulenza professionale.
Summ (precedentemente Crypto Tax Calculator) declina ogni e qualsiasi garanzia, impegno e garanzia, espressa o implicita, e non è responsabile per eventuali perdite o danni di sorta (inclusi errori umani o informatici, negligenti o di altro tipo, o perdite o danni incidentali o consequenziali) derivanti da o in connessione, qualsiasi utilizzo o affidamento sulle informazioni o sui consigli contenuti in questo sito web. L'utente deve accettare l'esclusiva responsabilità associata all'uso del materiale presente su questo sito, indipendentemente dallo scopo per il quale tale uso o risultati vengono applicati. Le informazioni contenute in questo sito non sostituiscono la consulenza specialistica.

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