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

[cleartyle]

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]

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]

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]

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]

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

 

[May Davis]

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]

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

 

[JimmyRozza]

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

 

[Forex bison]

Well obviously your loss is a deductible from your gains

 

[RooRoo]

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