How Much Tax You Owe on a $100 Crypto Profit in 2025

KEY TAKEAWAYS

• A $100 crypto profit is taxed diversely depending on your country and income.
  
• The U.S. charges 0–37% depending on holding period and tax bracket.
  
• The UK may tax it only if you exceed the CGT allowance.
  
• Canada taxes 50% of the gain at your marginal rate.
  
• Nigeria generally applies around 10% CGT on chargeable gains.

 

You made a tidy $100 profit tradeing or swapping , nice! But how much of that $100 will actually end up in the taxman’s hands? The short answer is: it depends. Tax treatment for crypto varies by country, by whether the gain is capital or ordinary income, by holding period, and by your overall income. 

Below, we’ll walk you through the common rules for four jurisdictions (the United States, the United Kingdom, Canada, and Nigeria), show simple step-by-step math for each scenario, and flag significant reporting and record-keeping points you mustn’t miss in 2025.

What Exactly is a Taxable Profit? 

A taxable crypto profit typically happens when you dispose of a that includes tradeing it for fiat, swapping one crypto for another, using it to purchase excellents/services, or sometimes when you receive it as a reward (staking/mining/airdrop) that’s taxed as income. You calculate the gain as:

Sale Proceeds (what you received) – Cost Basis (what you paid for the crypto, plus allowable fees) = Capital gain (or loss)

If that calculation gives $100, the jurisdiction’s rules determine how that $100 is taxed. (IRS, HMRC, and other tax authorities have explicit guidance reminding taxpayers to report digital-asset transactions.

Why Your Tax on a $100 Crypto Profit Depends on Your Country

Crypto isn’t taxed the identical everywhere. Each tax authority, whether the IRS, HMRC, CRA, or FIRS, defines “crypto gains” diversely, sets its own tax rates, and applies distinct rules on holding periods, allowances, and income classification.

That’s why the tax owed on the identical $100 profit can vary widely across borders. By comparing multiple countries, you view how these frameworks differ and where your own situation fits.

United States: Short-Term vs Long-Term Capital Gains (and a Possible 3.8% NIIT)

The IRS treats crypto as property.

• If you held the asset one year or less, gains are short-term and taxed at your ordinary federal income tax rate.
• If you held it for more than one year, gains are long-term and taxed at preferential long-term capital gains rates: 0%, 15% or 20% depending on your taxable income. High-income taxpayers may also pay the 3.8% Net Investment Income Tax (NIIT).

Examples for a $100 gain (showing the math step by step):

• Short-Term (Ordinary Income): if you’re in the 22% federal bracket. 100 × 0.22 = 22 → $22 tax.
• Long-Term Middle Income (15%): 100 × 0.15 = 15 → $15 tax.
• Long-Term low Income (0%): if your taxable income falls under the 0% threshold for long-term gains. 100 × 0.00 = 0 → $0 tax.
• Add NIIT if Applicable (3.8%): if NIIT applies, compute NIIT on the net investment income and add it. For example, on a $100 gain: 100 × 0.038 = 3.8 → +$3.80 on top of your. (NIIT only hits higher-income filers.)

In the US, your tax on $100 could be anywhere from $0 to ~$25 (or a bit more if NIIT applies), depending on holding period and your taxable income.

United Kingdom: Usually Capital Gains Tax; Small Gains May Be Exempt

treats most disposals of crypto as chargeable to Capital Gains Tax (CGT) unless the activity is trading (which would be taxed as income).

In 2025, the CGT rules changed: the annual CGT allowance is small (for recent tax years, it has been reduced to around £3,000), and main rates for disposals later than recent rate changes are 18% (basic rate band) or 24% (higher-rate band) on most non-residential gains. 

For Example: $100 profit ≈ £80 (approx platform rates vary).

• If your total taxable gains in the tax year (later than deducting the annual allowance of ~£3,000) are below the allowance, you pay £0 CGT on that $100.
• If it’s above the allowance and you’re a basic-rate taxpayer taxed at 18%:
• 100 × 0.18 = 18 → $18 tax (note: do currency conversion before filing; HMRC requires gains reported in GBP).

In most practical cases, a $100 gain will be below the CGT annual allowance and won’t be taxable, but if you’ve already used the allowance elsewhere, expect roughly 18–24% of the gain as tax.

Canada: Capital Gains Inclusion; 50% Usually Taxable (Computed at Your Marginal Rate)

The treats crypto as property. For capital gains, Canada uses an inclusion rate: 50% of your capital gain is included in taxable income (unless extraordinary policy changes apply). That included amount is then taxed at your personal marginal income tax rate. 

Example for $100 gain:

1. Inclusion: 100 × 0.50 = 50 → $50 included in taxable income.
2. If your Marginal Tax Rate is 20%: 50 × 0.20 = 10 → $10 tax.

In Canada, on a $100 capital gain, you’ll typically pay tax on $50 of that gain; the tax owed equals that $50 multiplied by your personal marginal rate.

Note: has viewn proposals to change the inclusion rate for certain taxpayers, so it is advisable to always check the current CRA guidance each tax year.

Nigeria: CGT Rules and Recent Reforms

Nigeria’s tax framework has been updated to explicitly capture digital assets as chargeable assets under CGT rules.

Historically, the published Capital Gains Tax rate in Nigeria has been 10% on chargeable gains (Finance Act amendments), though recent tax reform proposals and the 2025 Tax Act have introduced complexities, including aligning some gains with income tax rates for individuals and higher rates for companies.

If the 10% CGT rate applies:

• 100 × 0.10 = 10 → $10 tax (convert to NGN for filing).

Nigeria’s rules and enforcement are evolving; platforms and reporting obligations are being tightened, and higher individual rates have been discussed in reforms. If you are a Nigerian taxpayer, check the latest FIRS/NTA guidance or a local tax adviser before filing. 

Additional Factors That May Affect Your Results

Even with a clear $100 gain, several additional factors can affect how much tax you actually owe. These variables can push your final bill higher or lower depending on your circumstances.

• Classification (Capital Gain vs Income): Frequent traders, market-makers, , stakers, or people receiving tokens as compensation may have income taxed at ordinary rates rather than capital gains. That often increases tax on a $100 profit. (view CRA, HMRC, IRS guidance.)

• Local State/Provincial Taxes: In the U.S., state income tax can add to your bill; in Canada, provincial rates apply to the included amount.

• Currency Conversions and Reporting: Many tax authorities require gains reported in local currency using specified platform rates for the day of the transaction; small rounding differences can occur.

• Offsets: capital losses can offset capital gains (so if you have other crypto losses, your $100 may be fully or partially sheltered).

• Record keeping: keep timestamps, txids, platform statements, and fee records. Tax authorities (especially HMRC and the IRS) are increasing enforcement on crypto reporting.

Short Checklist: What to do Now

Before filing, walk through a few quick steps to ensure your $100 crypto gain is calculated, classified, and reported accurately.

1. Identify whether your $100 was from a disposal (sale, swap, spending) or income (staking, mining, ).
2. Determine holding period (≤1 year or >1 year) and local tax rules.
3. Convert proceeds and cost basis into local currency per your tax authority’s rules.
4. Apply the local tax treatment (examples above) and check for allowances or offsets.
5. File and keep records; if in doubt, consult a tax professional (crypto tax is an enforcement priority).

Understanding Your Real Tax Bill on a $100 Crypto Gain

A $100 crypto profit can translate to $0 tax (if you’re under allowances or taxed at 0% long-term), or roughly $10–$25 in tax in many common scenarios, depending on country, holding period, taxpayer income, and classification of the gain. 

The exact answer requires your country, filing status, holding period, and whether the activity looks like trading or passive . I’ve linked authoritative guidance above so you can confirm the current rules for your jurisdiction. 

FAQs

Do I always owe tax on a $100 crypto profit?
Not always. In some countries, allowances or exemptions mean small gains may fall below the taxable threshold.

Is a crypto-to-crypto swap taxable?
Yes. Most jurisdictions treat swaps as disposals, meaning gains must be calculated and reported.

What if my profit came from staking or mining?
Then it’s typically treated as income, not a capital gain, and taxed at regular income tax rates before any future gains apply.

Can losses cancel out my $100 crypto profit?
Yes. Capital losses can offset gains, potentially reducing your tax on the $100 profit to zero.

Do I need to report the profit even if the tax owed is very small?
In many countries, yes. Reporting is required even if the tax is minimal or reduced to zero through allowances or offsets.

References

• : Digital assets
• : Capital Gains Tax Rates 2025 and 2026: What You Need to Know
• : Check if you need to pay tax when you trade cryptoassets
• : Capital Gains Inclusion Rate
• :Canada: New capital gains/stock option inclusion rate implementation delayed until 1 January 2026