Business man

Tax and the Independent Financial Trader

When are the profits of an independent financial trader taxable as capital gains? And when are these profits taxed using the income tax rules?


Tax Consultancy

Decipher Tax provides a dedicated tax consultancy service to UK resident day traders seeking to establish their tax position.

Tax folder

Trader Tax Guide

Download your FREE Trader Tax Guide. Want to know whether spread betting is really tax free? Essential reading for every trader.


Helping day traders establish their UK tax position

Should you pay income tax, capital gains tax or no tax?

Decipher Tax helps navigate the confusion

Day Trading is unlike most professions which fall into a specific category. With most other professions it is clear whether someone is employed or self-employed. Whilst an individual trading on their own account will not be employed, it is not always clear whether the trader is self-employed. Then there is the added complexity that the trader may be classed as a private investor or even someone participating in an activity similar to gambling. Each of these classifications have very different tax implications for those engaged in day trading activities.

personal tax consultancy day trader uk

Tax Technical Research

The crux of our work is in researching and interpreting tax case law, together with HMRC guidance. Our findings are then reviewed in the context of your specific circumstances. This enables us to have a good understanding of how HMRC will view your tax status.

technical tax research day trader uk

Personal Tax Consultancy

We present the findings from our tax technical research and analysis to you for approval. We will work closely with you to clarify all areas of our research before corresponding with HMRC and asking them to confirm their agreement to our findings.

hmrc day trader uk tax advice


Once HMRC have confirmed our findings, you will have written confirmation of your tax status. You will then be in no doubt as to how the profits from your day trading activities should be reported on your tax return. Provided your circumstances don't change, then your tax status, as confirmed by HMRC, will remain unchanged.

If you are a UK resident happily day trading are you aware of how your profits and losses should be treated for tax purposes? If not, help is at hand in the form of Decipher Tax.


  • self employed day trader tax advice
  • When is a trader not trading?

    The answer is when HMRC decide that the trader is not carrying on a self-employed trading activity.

    If the trader is not carrying on a trade then how does HMRC view profits made by the trader?

    Learn more
  • offset day trading losses tax consultancy
  • What happens if losses exceed profits?

    Did you know that you might be able to offset trading losses against either capital gains or other income?
    Learn more

Tax Consultants for the Independent Financial Trader

Decipher Tax offers a full tax consultancy service for the independent trader. Your initial 1 hour consultation is FREE of charge.