Gas fee

Also known as: gas, network fee, transaction fee

The fee paid to process a transaction on a blockchain, which can form part of base cost on acquisition or reduce proceeds on disposal.

Definition

A gas fee is the payment to validators or miners for including and processing your transaction on a blockchain; on Ethereum it is denominated in gwei. For tax, a gas fee directly related to acquiring crypto can be added to base cost, and a fee on a disposal can reduce the proceeds. Gas paid in the chain's native token may itself be a small disposal of that token. Tracking gas accurately keeps base cost correct.

Example

You pay R150 in ETH gas to buy a token. That fee can be added to the token's base cost; the ETH spent on gas is itself a tiny disposal of ETH.

Jurisdiction notes

  • South Africa: Acquisition-related gas can be added to base cost; gas paid in a native token is itself a small disposal of that token.

See also