UK tax implications on overseas Forex trading

Client has contract with overseas forex trading company based in Singapore - How are gains taxed?

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Hi everyone,

How should this UK client be treating gains on Forex trading that take place on their behalf by a 3rd party, based in Singapore?

My initial guess would be capital gains tax as opposed to income tax as the client isn't doing the trading themself?

Does the fact that the gains are made in Singapore affect anything??

thanks in advance.

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By ireallyshouldknowthisbut
09th Nov 2021 17:54

Well I imagine it will go like this:

1. Paper gains arise
2. Your client in induced to put more money into the magic money making machine
3. Further gains arise (with some up and down)
4. Further money goes in
5. Losses start to arise (with only minor gains)
6. They try to pull out their money, only to be told it all went *poof* overnight on a trade that went wrong.

I'd wait until step 6 myself. Happens every single time.

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