Monday, January 11, 2021

Leveraged shorting & tax

Some really useful info on this sub about uk tax. Think I’ve got the gist of it, but would like some clarification on the following matter...

I understand that profits from trading count towards cgt, but what about specifically taking a short position to hedge your cold storage. If the price of Bitcoin falls then your net gain/loss is neutral, however when you close your short position and realise the profit, that triggers a tax event. Seems a touch unfair to get taxed when your net gain is zero. Are there any exemptions in this scenario

Thanks


No comments:

Post a Comment