(UK) Getting into trading - how to tax income?

cleartyle

Recruit
Messages
1
I've been interested in trading for a while but could never figure out how to get into it (until finding this forum! :) ). I want to do it alongside my current part time job which is barely supporting me. I was wondering how money from trading is taxed, as it will be different amounts per month? How would you go about paying tax? I've seen some insane success stories and putting their income through this a wage and tax tool shows they would be paying a huge amount of tax - you just wouldn't get away with not declaring it. I would expect to be making small amounts of profit, and likely lots of losses at the start - is there any way to mitigate the damages of the losses? Many thanks in advance :)
 

Thoris

Corporal
Messages
173
Also interesting question if people in fact declare it clearly and fully. Are you from UK, do you know some fellow UK'ers except you who trade, gain some profit and pay taxes. Mitigate damage of the losses in tax terms ? Probably only by creating LLP or so and operate from there ?
 

Shalirad

Corporal
Messages
115
You may want to withdraw all possible income in your case to something like netteller, skrill, perfect money or some other similar methods and only then you will decide what to do with that money and where (!!!) to tax them, see my point here for you ?
 

7Bulletin

Sergeant
Messages
154
It is very cool that you are interested in this information.
Most traders do not pay taxes at all, even if they have good profits.
So you can safely call your decision conscious and correct.
 

Bearad

Private
Messages
27
It may be worth consulting a lawyer or some other specialist. You do not want to make any mistakes, do you?
 

May Davis

Private, 1st Class
Messages
49
Anyone willing to share how they deal with their taxes? Is there a limit that you can earn before you pay tax? Any help is useful Thanks
 

Dutchy86

Recruit
Messages
69
Only person is really to speak to an accountant as is a very grey area and hard to find exact information on it
 

JimmyRozza

Private, 1st Class
Messages
30
You definitely get the first £1,000 tax free and none declarable, but anything over that I would check with an accountant, somebody once told me it was £8,000 so worth looking into
 

RooRoo

Corporal
Messages
101
I've been interested in trading for a while but could never figure out how to get into it (until finding this forum! :) ). I want to do it alongside my current part time job which is barely supporting me. I was wondering how money from trading is taxed, as it will be different amounts per month? How would you go about paying tax? I've seen some insane success stories and putting their income through this a wage and tax tool shows they would be paying a huge amount of tax - you just wouldn't get away with not declaring it. I would expect to be making small amounts of profit, and likely lots of losses at the start - is there any way to mitigate the damages of the losses? Many thanks in advance :)
See this asked a lot, and is a valid question, but when it comes down to it everyones tax situation will vary slightly and the only thing you can do to be 100% sure is speak to an account about your own situation
 
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