In March 2025, Andersen LLP conducted a comprehensive quality assurance review of Recap, the UK’s privacy-first crypto tax calculator. Their conclusion? Recap is a highly credible, compliant and technically sound tool that applies HMRC rules accurately — even in complex areas like DeFi, NFTs and Section 104 pooling.
We’ve summarised the key findings below so you can understand exactly why Andersen rates Recap so highly. You’ll find a full copy of the report embedded in this blog for those who want the detail.
Executive summary
Andersen confirms that Recap accurately applies UK crypto tax rules, including complex matching rules like Section 104 pooling, same-day, and 30-day/10-day bed and breakfast rules. The report praises Recap’s privacy-first architecture, robust data handling, and detailed, HMRC-ready tax reports.
Key highlights:
- Full alignment with UK tax legislation
- Advanced data ingestion (API, CSV, blockchain wallet support)
- Accurate asset pricing using trusted sources like Kaiko and CoinGecko
- Strong data integrity checks and real-time error detection
- Rapid response to emerging issues (e.g., Celsius restructuring)
1. Company background
Founded in Lincoln in 2018, Recap is the only UK company offering a crypto tax calculator built specifically for the UK tax system. It’s been developed with expert input from UK tax professionals and is an active contributor to CryptoUK, Bitcoin Policy UK, and HMRC’s Cryptoasset Roundtable
2. Privacy and security
Crypto investors are rightfully cautious about sharing data. Recap addresses this by using a “zero knowledge” system where users — not Recap — control their encryption keys. This end-to-end encrypted setup is unique in the market and helps prevent data breaches.
Find out more about Recap's privacy-first approach on their security page.
3. Data imports
Recap supports:
- API integrations with over 30 exchanges (like Coinbase and Binance)
- CSV uploads for platforms without APIs
- Blockchain wallet syncs for DeFi and self-custody users
All data is normalised and classified automatically, but users retain full control and can adjust classifications as needed. Recap also supports custom CSV formats for more complex or unsupported data sets.
View supported exchanges and wallets.
4. Data integrity tools
To maintain accuracy, Recap includes:
- Balance checking per account
- Unidentified asset and missing acquisition warnings
- Section 104 pool and portfolio balance alignment
- Negative balance detection
These checks ensure your tax reports are based on complete, accurate data — essential for avoiding unexpected liabilities or HMRC enquiries.
5. Tax calculations
Recap handles all major tax treatments:
- Staking rewards as income
- Capital gains from disposals
- Remuneration from tokens received as earnings
Where tax guidance is unclear (e.g., DeFi, NFTs), Recap works with UK tax professionals to provide reasoned positions and continues to update guidance as the law evolves.
6. Section 104 pooling & matching rules
Recap correctly applies:
- Same-day matching
- 30-day rule (individuals)
- 10-day rule (companies)
- Pooling
Andersen notes that not all platforms do this — and praises Recap for getting it right. Appendices in the report provide worked examples showing Recap’s output matches HMRC expectations exactly.
7. Responding to tax law changes
Whether it’s new Self Assessment boxes or sudden CGT changes (like in the 2024 Budget), Recap quickly adapts. The platform also proactively tackles uncertain tax positions, like the Celsius case, and offers practical guidance on areas where HMRC is yet to provide clarity.
8. Valuation practices
Valuation can make or break a tax return. Recap uses:
- Kaiko as its primary pricing source
- CoinGecko and CryptoCompare as fallbacks
- Consistent GBP conversions to comply with HMRC’s requirements
This multi-source system ensures accuracy — even when prices are volatile or transactions are crypto-to-crypto.
9. Tax reports
Recap generates HMRC-ready reports that cover:
- Acquisitions
- Disposals
- Capital gains
- Income
- Balances
These can be used for Self Assessment submissions and help users monitor liabilities in real time, including scenarios like loss harvesting or dry tax charges.
10. HMRC enquiries
Recap’s detailed reports are not just for filing — they can be used to reduce the burden of a tax enquiry. Submitting them with a tax return may help avoid further questions from HMRC. If an enquiry is opened, having this data ready can save time, reduce stress, and even help defend against penalties.
Final thoughts
Andersen’s independent review confirms what many UK accountants and crypto investors already know: Recap is a trusted, privacy-focused, and technically sound solution for crypto tax reporting in the UK.
Whether you’re a first-time investor, a regular trader, or an accountant supporting crypto clients, Recap gives you the tools and confidence to stay compliant — without the complexity.
