New UK-US tax agreement - how it affects traders

Sheen

Member
67 0
Does a US-based FCM inform HMRC that I hold an account with them? Has anything changed with regard to this matter after ecent signing of a tax agreement between UK and US?
 
L

Liquid validity

0 0
Does a US-based FCM inform HMRC that I hold an account with them? Has anything changed with regard to this matter after ecent signing of a tax agreement between UK and US?

Why does it matter?
Normally you would be declaring it yourself anyway.
At the very least you would need to complete a W-8BEN to prevent
the broker from withholding taxes for the IRS.

Unless its a legitimate declared avoidance, I'd be very careful of not declaring
income to HMRC.
Not if, but when they find out, best case would be paying tax due, plus a fine.
Worst case depending on severity would be Lester Piggott's old cell...
BBC ON THIS DAY | 23 | 1987: Lester Piggott jailed for three years
Not a good idea to f**k about with the taxman...

If its something you've already done, go and see an accountant and/or solicitor.
Ultimately, if you have already done something, better to declare it yourself and plead ignorance,
and take whatever penalty is due.
The penalty could just be a late payment fine of £100-900 or 5% on top of tax due, if its recent:
HMRC late payment penalties

Don't sweat it, but get it sorted would be my advice.
If you have declared everything so far - no worries.
 
Last edited:

random12345

Established member
793 280
Why does it matter?

Agree, why would it matter? There is no 'affect on traders.' HMRC should have been querying exactly what it is you're living off in the interim regardless by way of your NI record.

If, by implication, you have gains open to discovery and told them a porky, then you're gonna get the shaft eventually.

If not, who cares.
 
L

Liquid validity

0 0
Agree, why would it matter? There is no 'affect on traders.' HMRC should have been querying exactly what it is you're living off in the interim regardless by way of your NI record.

If, by implication, you have gains open to discovery and told them a porky, then you're gonna get the shaft eventually.

If not, who cares.

Any bets on no class 2/4 NI either if not on PAYE...
I hope for his sake this is advance research and not a hole he's already in...
 

A.Hardy

Junior member
14 0
i find it funny how you can be making £1m+ a year trading but as long as you don't have over £16k in your savings account you can claim housing benefits and job seekers.. crazy
 

random12345

Established member
793 280
i find it funny how you can be making £1m+ a year trading but as long as you don't have over £16k in your savings account you can claim housing benefits and job seekers.. crazy

I don't know where you get this from? Source??? Daily Mail?!

Traders are self employed and this is taken into account in the household income portion of any benefit assessment.
 

Shakone

Senior member
2,458 665
i find it funny how you can be making £1m+ a year trading but as long as you don't have over £16k in your savings account you can claim housing benefits and job seekers.. crazy

Eh?

In order to make 1m+ a year (assuming your spreadbetting and taxfree), you'd need more than 16K in your trading account, which counts as having more than 16k in savings, so you wouldn't be able to claim.
 

A.Hardy

Junior member
14 0
I don't know where you get this from? Source??? Daily Mail?!

Traders are self employed and this is taken into account in the household income portion of any benefit assessment.

this time last year i was on and off job seekers allowance as i could only find temporary work contracts and i was trading from home when i weren't working or between contracts .. when they asked me how iv been supporting myself i said i was trading currency's and some stock's.. then the woman i was speaking to said "ow right you do know you need to declare that" then the woman on the next desk came over as she over heard and said "no you don't need to declare it.. and said something along the lines of "its a funny area as they view it as its gambling which doesn't effect your benefits as long as you don't have more than 16k in savings".. so i carried on trading and claiming job seekers untill i found my part time locksmith job in which i left job seekers and carried on trading..

strange right?
 

random12345

Established member
793 280
this time last year i was on and off job seekers allowance as i could only find temporary work contracts and i was trading from home when i weren't working or between contracts .. when they asked me how iv been supporting myself i said i was trading currency's and some stock's.. then the woman i was speaking to said "ow right you do know you need to declare that" then the woman on the next desk came over as she over heard and said "no you don't need to declare it.. and said something along the lines of "its a funny area as they view it as its gambling which doesn't effect your benefits as long as you don't have more than 16k in savings".. so i carried on trading and claiming job seekers untill i found my part time locksmith job in which i left job seekers and carried on trading..

strange right?

Hmm, that's down to the ineptitude of your benefits adviser rather than the proper application of welfare I'd say.

Perhaps you should write to the DWP and say you believe you may have been improperly assessed with full details of household income during the claim period. :whistling
 
  • Like
Reactions: Liquid validity

wackypete2

Legendary member
10,229 2,055
Will we see the OP post here again? Maybe, but not likely (more likely now that he's been called out just to prove me wrong).

He posted a similar question to the one here:
http://www.trade2win.com/boards/tra...ctive-brokers-reporting-hmrc.html#post1766690

but he failed to be seen again there. In fact most of his new threads he rarely appears again. Also, according to the OP he's been a corporate trader, market maker, etc...
http://www.trade2win.com/boards/pro...ears-too-old-get-job-finance.html#post1030636
but he never returns to the thread to address any of the posts after he asks for advice nor does his years of questions afterwards show any signs that he has any knowledge in that area.

Just my opinion. Others' may differ.

Peter
 
  • Like
Reactions: Liquid validity

random12345

Established member
793 280
Will we see the OP post here again? Maybe, but not likely (more likely now that he's been called out just to prove me wrong).

He posted a similar question to the one here:
http://www.trade2win.com/boards/tra...ctive-brokers-reporting-hmrc.html#post1766690

but he failed to be seen again there. In fact most of his new threads he rarely appears again. Also, according to the OP he's been a corporate trader, market maker, etc...
http://www.trade2win.com/boards/pro...ears-too-old-get-job-finance.html#post1030636
but he never returns to the thread to address any of the posts after he asks for advice nor does his years of questions afterwards show any signs that he has any knowledge in that area.

Just my opinion. Others' may differ.

Peter

Peter,

Spot on.

Are you saying an unusual individual has somehow made it through the T2W vetting process?! That's never happened before!
 

A.Hardy

Junior member
14 0
Hmm, that's down to the ineptitude of your benefits adviser rather than the proper application of welfare I'd say.

Perhaps you should write to the DWP and say you believe you may have been improperly assessed with full details of household income during the claim period. :whistling

during that time i was letting my equity build up some but i did make a couple small withdraws with a total less than 1k.. if id of withdrawn anything more id of probably written yes.. least i know for next time im stuck without work

thanks :)
 
 
AdBlock Detected

We get it, advertisements are annoying!

But it's thanks to our sponsors that access to Trade2Win remains free for all. By viewing our ads you help us pay our bills, so please support the site and disable your AdBlocker.

I've Disabled AdBlock