- Original Poster
- #1
I haven't started trading yet but I have a question based on a scenario. Here is the scenario:
I have a bank account with £1,000 that I link to my trader platform account. I deposit those 1k and now my bank account has 0 and my trader account has 1k. Let's say at the end of the year I have £2,000 in the trading account but I have NOT withdrawn anything to my bank account. Do I still have to pay tax? Or in this case does it count towards my CGT allowance, even though I haven't withdrawn a single penny.
I guess simply put my question is do I pay tax only if I withdraw funds or do I pay tax even if the money is sitting in my trading account?
I have a bank account with £1,000 that I link to my trader platform account. I deposit those 1k and now my bank account has 0 and my trader account has 1k. Let's say at the end of the year I have £2,000 in the trading account but I have NOT withdrawn anything to my bank account. Do I still have to pay tax? Or in this case does it count towards my CGT allowance, even though I haven't withdrawn a single penny.
I guess simply put my question is do I pay tax only if I withdraw funds or do I pay tax even if the money is sitting in my trading account?
