UK taxation for futures and options trading

Discussion in 'Options' started by the learner, Mar 13, 2015.

  1. ZBZB

    ZBZB

  2. It's my primary income- I'dbe so much worse off on CGT- but I can use that allowance for other things
     
    #102     Oct 11, 2021
  3. ceen85

    ceen85

    Hi Everyone, I'm quite new tax resident in the UK (came last year as EU citizen).
    That's very interesting and I was quite surprised to see something like that, but the link above isn't loading and I haven't found anything like that using google... is that solution that wraps futures into spreadbet no longer available?
    If I want to trade american futures in the UK am I doomed to standard CGT rate or is there any loophole that could at least lower that ? Thank you very much...
     
    #103     Mar 19, 2022
  4. LOL- make a profit then worry about tax! If you think you'll hit CGT threshold you should be trading for a living and paying income tax . Spreadbets are not taxed but then 95% of people lose their money -just look at IG index
     
    #104     Mar 19, 2022
    ffs1001 likes this.
  5. ceen85

    ceen85

    Make a profit and then tell others what they should worry about! You have no idea about my background.

    Anyone.. is there something like CGT threshold or just general tax free personal allowance ? This post not only brings no value but also looks misleading to me. Thanks for clarification and answering my simple question about futures.....
     
    #105     Mar 19, 2022
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    #106     Mar 19, 2022
  7. Thanks @globalarbtrader . I needed this as I exceeded the threshold last year, but not anything large enough to justify paying an accountant. Apparently someone forked and updated this for options, python3, CSV FX (I had to hack it a bit to get it to work though) etc, here at ( https://github.com/s3bs/python-uk-trading-tax-calculator ), and I'm using that version (I see you have now updated your repo for python3 as well).

    but looks like the script does most of the calcs for me anyway, of course I'm going to recheck it all manually, but with less pain.

    Wanted to know how 'Disposal Proceeds' (D) and 'Allowable costs' (A) are different from Gains(G)/Losses(L). I see that Profit can be calculated either as D-A or G-L. I understand Gains/Losses but not Proceeds/Costs.

    For the 2023 tax year, I have a loss so far, but I have my disposal proceeds appearing as negative, At first I thought disposal proceeds meant the total amount of cash I got from closing positions, and since I have only long positions and no margin, I thought this meant cash from selling and should have always showed a positive for me. Googling for it confused me a bit, as some say Proceeds is the same as Gains.
     
    Last edited: Sep 4, 2022
    #107     Sep 4, 2022
  8. Ah, as I was looking into the report, it looks like this maybe a problem with the proceeds/costs calculations for the options support in the fork. I think I understand what costs/proceeds are now. Oh, and I did have an accidental short, as well as GBP.USD shorts implicitly from holding USD cash.

    Once again, thanks for sharing the code.
     
    #108     Sep 4, 2022
  9. akumaram

    akumaram

    Hi - I just found this thread and found it very useful. I started trading in futures this year and have some questions re the tax calculations. I mainly trade in Gold (/MGC) and Forex (/M6B) thru a US based platform (Tasty Trade). I do buy (long) futures and sell (short) futures. What I am finding difficult is to arrive the buys and sale price to arrive the profit/loss.
    For ex: I bought /MGVG4 at $2030 and sold at $2050. I know that I made a profit of $300 (minus fees). But when it comes to reporting the same do I need to use the same numbers?

    Another ex for forex: I bought /M6BH4 at 1.2650 and sold at 1.2750. There is something called tick size and value of tick. For forex, its 0.0001 and 0.626 respectively. With that into consideration, I will make $62.5 for this trade. Now I do not understand how to arrive to my cost and disposal that I need to fill in my SA?

    Can someone please help me with that?

    Regards,
    Amit
     
    #109     Dec 25, 2023