How to pay tax from mining in 2025: detailed instructions

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Ultramining
1 June, 2025 22:59

How to pay tax from mining in 2025: detailed instructions

From the beginning of 2025, cryptocurrency in Russia is officially equated with property. This means that income from its mining is subject to taxation. In this article you will learn how to correctly calculate the tax on mining, what rates apply, how to account for expenses and how to avoid penalties.

How to calculate tax on mining

Conducting legal mining activities requires legal entities and individual entrepreneurs to register in the state register of miners. Individuals are not required to do so, but their energy consumption should be no higher than 6000 kWh per month (approximately two ASIC-miners of average power).

Taxation is done in two stages:

when cryptocurrency is received by a wallet or pool;
when the mined coins are sold.

Stage 1: Tax on mined cryptocurrency

The formula used to calculate the tax is:

Taxable Base = Mining Income – Confirmed Expenses

Where:

Income = Quantity of BTC × market price (BTC/USD) × USD/RUB exchange rate.

Expenses include:

electricity or hosting fees;
amortisation of equipment (usually 24 months);
staff labour, equipment maintenance, rent, software and other operating costs.

Example: if the equipment was purchased for 408,000 roubles, the monthly amortisation deduction would be 17,000 roubles.

Important: the tax base is calculated by the Federal Tax Service on the basis of official stock exchange data and current exchange rates.

Step 2: Tax on sold cryptocurrency

When selling mined coins, the minimum price rule must be observed: it can not be lower than the market value minus 20%.

Formula:

Minimum price = Market price – (Market price × 20%)

Example: when selling 1 BTC at the exchange rate of 9,498,845.71 rubles, the minimum acceptable selling price is 7,599,076.57 rubles.

Tax rates for miners in Russia

The following tax rates apply in 2025:

Legal entities – 25% of income tax (OSNO);
Individual entrepreneurs and individuals – personal income tax on a progressive scale: from 13% to 22%;
Special taxation regimes (USN, self-employed) do not apply to mining activities.

The income tax base for operations with digital currency is determined separately from the general tax base. Note that the organisers of a mining pool or operators of the mining infrastructure, as a rule, pay income tax not on the cryptocurrency received, but in connection with the services rendered.

No tax will have to be paid for digital currency from close relatives. Exemption is also provided in case of inheritance. However, if, for example, cryptocurrency is gifted not by a relative, but by an acquaintance, the recipient will have to pay tax in the general order.

Comparative table of the principles of taxation of mining for individuals and legal entities

Taxpayer category	Individuals	Legal entities

Type of income

Income from mining

Taxation peculiarities

Taxed with personal income tax at a progressive rate of 13-22%. It is taken into account in the general tax base. Recognised as income in kind with a source in the Russian Federation.

It is subject to income tax at the rate of 25%. Refers to non-operating income (clause 32 of Article 250 of the Tax Code of the Russian Federation).

Determination of the value of cryptocurrency

Market value as of the date of obtaining the right to dispose of cryptocurrency

Market value as of the date when the right to dispose of cryptocurrency arises

Taxation of cryptocurrency mining in other countries

Cryptocurrency mining is taxed in most countries around the world, but tax rates and rules vary considerably from jurisdiction to jurisdiction. In some countries – such as Malta, El Salvador, Malaysia, Singapore and the United Arab Emirates – there is a full or partial tax exemption if certain conditions are met. In other countries, miners usually have to pay taxes on income or capital gains.

Comparative table of taxes on mining and cryptocurrency trading by country

Country	Income from mining	Income from cryptocurrency trading
USA	Subject to taxation as ordinary income. Miners must declare the value of the mined coins at the time of receipt. The tax rate depends on the total income and can be as high as 37%.	Taxed on capital gains, the rate depends on the period of ownership of assets.
Germany	Subject to income tax on a progressive scale (up to 45% for high incomes). Amounts up to 600 euros per year are not taxed. If mining is conducted as a business, additional VAT (19%) is payable.	Capital gains are taxable, but after one year of ownership of cryptocurrency, tax exemption is possible.
Canada	Income from mining is considered taxable and is subject to income tax (rates from 15% to 33% depending on income).	Trading is subject to capital gains tax; in some cases, the entire amount of the transaction may be considered income.
Australia	Income from mining is included in the taxable base and is subject to income tax (up to 45% on a progressive scale).	Capital gains are taxable, but tax relief is available for long-term ownership.
Switzerland	Taxation depends on the canton. Generally, income from mining is considered as self-employment income and is taxed on a progressive scale (up to 40%).	Individuals who trade professionally are subject to capital gains tax; private investors may be exempt.
South Korea	Income from cryptocurrency mining is subject to income tax (up to 42% depending on the level of income).	Cryptocurrency trading is subject to capital gains tax.
Japan	Income from mining is included in total taxable income and is taxed at a rate of up to 45% for individuals.	Cryptocurrency trading is subject to income tax.
Singapore	If mining is not conducted as part of a commercial activity, no tax is levied. In case of commercial mining, a corporate tax of 17% applies.	Income from the sale of cryptocurrency is not subject to capital gains tax.
UAE	Individuals are exempt from income tax, income from mining is not taxed. If mining is conducted through a company – corporate taxes apply depending on the zone and type of activity.	Similarly: for individuals there are no taxes, for companies – taxation depends on the jurisdiction of registration.

As you can see, the approaches to taxation of mining and cryptocurrency transactions in the world differ significantly. When planning your activities, it is important to take into account not only the tax rates, but also the peculiarities of the legislation in each particular country. The choice of jurisdiction can significantly affect the final profitability of a mining business.

Example of calculating the amount of tax payable

How is the tax on mining calculated? Let’s look at a detailed example:

Confirmed mining expenses:

Amortisation – 19,500 rubles
Cost of equipment placement – 16,870 rubles
Total confirmed expenses: 36 370 rubles

Income from cryptocurrency mining (in rubles): 37,250 rubles

To determine the taxable base, you must deduct the confirmed expenses from the income:

rUB 37,250 (income) – RUB 36,370 (expenses) = RUB 880 (taxable base)

Example when expenses exceed income

In some cases, expenses may be greater than income. Let’s consider such a scenario:

Accommodation bill – 16,870 roubles.
Amortisation – 22,000 roubles.
No other expenses

Total expenses: 38,870 roubles.

Calculation of tax base:

rUR 37,250 (income) – RUR 38,870 (expenses) = RUR -1,620 (negative tax base)

In this situation a loss is formed, which can be carried forward to future tax periods. At the same time, the amount of the carry forward is limited – no more than 50% of the amount of the loss.

Let us consider an example:

1,620 roubles. – loss in the current month (01.01-31.01.2025)
19,440 roubles – cumulative loss for the tax year (01.01-31.12.2025)
9,720 roubles – maximum possible reduction of the taxable base in the next tax period (01.01-31.12.2026)

Formula of confirmed expenses in the next tax period:

Confirmed extraction expenses =
Placement payment Amortisation Amortisation Loss carried forward Other costs

Example of tax calculation when the tax base is positive

When the base is positive, tax is calculated as follows:

Legal entities (OSNO):

880 rubles (base) × 25% = 220 rubles (tax payable)

Individuals and individuals (OSNO):

880 rubles (base) × 13% = 114.40 rubles (tax payable)

Calculation of tax after the sale of cryptocurrency

To determine the tax on the sale of cryptocurrency, it is necessary to take into account the minimum allowable selling price:

Example of sale of 1 BTC 06.02.2025:

Market value: 10,200,000 rubles.
20% of the market price: 2,040,000 rubles.
Minimum price for declaration:
rUB 10,200,000. – 2 040 000 rub. = 8,160,000 roubles.

Tax calculation for legal entities:

8,160,000 roubles × 25% = 2,040,000 roubles (profit tax)

Tax calculation for sole proprietorships and individuals (progressive scale):

2,400,000 rubles × 13% = 312,000 rubles.
(5 000 000 rub. – 2 400 000 rub.) × 15% = 390 000 rub.
(8,160,000 rubles – 5,000,000 rubles) × 18% = 568,800 rubles.
Total amount of tax:
312,000 390,000 568,800 = 1,270,800 rubles.

Important: Reporting on the production and sale of cryptocurrency must be submitted through the personal office of the taxpayer to the Federal Tax Service no later than the 20th of the month following the reporting month.

Peculiarities of accounting for expenses in mining

It is important to note that the tax authorities carefully assess the validity of expenses during audits. In order to recognise costs, it is necessary:

availability of official contracts and invoices;
correct execution of certificates of work performed;
availability of payment documents confirming actual payments.

Particular attention is paid to electricity contracts. If mining is carried out at home, it is recommended to conclude a separate contract with the supplier for technological consumption to separate the costs of mining from household needs.

Costs for:

internet connection (if stable access is required for the operation of the mining pool);
rent of premises (if the equipment is located outside of residential premises);
maintenance and repair of equipment.

What will happen for non-payment of tax

Failure to fulfil tax obligations in mining has the same consequences as failure to pay taxes in any other income-generating sphere.

Violation of tax obligations has serious consequences:

accrual of penalties for each day of late payment;
a fine from 20% to 40% of the amount of arrears for understatement of the tax base;
criminal liability in case of evasion on a large scale – from 500,000 roubles of arrears.

The list of these measures is detailed in the section “Liability for violations of legislation on taxes and fees” of the Resolution of the Plenum of the Supreme Arbitration Court of the Russian Federation No. 57 of 30 July 2013.

Maintaining accurate tax accounting allows you to comply with all legal norms and use the methods provided for by law to reduce the tax burden. These include: amortisation of equipment, loss carry-forwards, and confirmation of all expenses by official documents. In some situations, this makes it possible to reduce the taxable base to zero or even make a loss, which can be taken into account in the next reporting periods, reducing future tax payments.

Important: given the legalisation of cryptocurrency in 2025, the tax authorities have started to actively monitor the activities of miners. Blockchain analytics, transaction monitoring and data integration with cryptocurrency exchanges allow the FTS to receive information about citizens’ income in near real time.

How to reduce the tax burden on mining

To minimise tax risks and burden:

Keep regular records of expenses with a full package of supporting documents.
Depreciate equipment evenly over its useful life.
Use the possibility to carry forward losses to future tax periods.
Control the date of receipt of cryptocurrency into the wallet – the date of receipt determines the tax period.
Consult with tax lawyers and accounting professionals to properly structure the activity.

New trends in the regulation of mining

It should be taken into account that Russian legislation in 2025 continues to actively develop in the field of cryptocurrencies. Proposals are being considered to:

introduction of a compulsory licence for industrial mining;
strengthening control over the purchase of equipment;
application of increased electricity tariffs for mining farms.

Some of the initiatives are aimed at limiting “grey mining” in the residential sector and supporting large data centres integrated into the power grid.

Bottom line: taxes on mining – the price of legality

Proper tax accounting has become an integral part of any miner’s operation in 2025. Legal activity reduces the risk of audits, provides stability and allows the business to develop in the long term. With the government’s growing interest in cryptocurrencies, it is important to adapt to the new requirements in a timely manner, and to take into account all the nuances of calculations and documentary support.