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Where Taxpayers and Advisers Meet

Buying and Selling Gold via Bullionvault

Simsim
Posts:2
Joined:Wed May 18, 2022 2:49 pm
Buying and Selling Gold via Bullionvault

Postby Simsim » Wed May 18, 2022 2:57 pm

I have bought some gold over the last few years through Bullionvault and I sold some of it last year. The calculated gain was way less than the capital gains 12300 allowance.

I am thinking of buying and selling it more frequently, but not taking the money out of Bullionvault. I will just sell when I perceive it to be high, and buy back when it drops, hopefully! The money will stay in Bullionvault. Would this imply a trade and make things more complicated?

If I do take the money out of bullionvault, then would I just have to pay capital gains on calculated gains?


Would there be a limit on the number of times I sold and bought gold in this way?

Many thanks,

Simon

AGoodman
Posts:1738
Joined:Fri May 16, 2014 3:47 pm

Re: Buying and Selling Gold via Bullionvault

Postby AGoodman » Thu May 19, 2022 10:53 am

Most personal trades would be investment. You are unlikely to stray into trading territory unless you are trading every day, and even then it is worth looking up the HMRC guidance

https://www.gov.uk/hmrc-internal-manuals/business-income-manual/bim56800

You need to consider each and every trade for CGT purposes. It makes no difference whether you leave the proceeds in a Bullionvault account, reinvest them or withdraw them.

Simsim
Posts:2
Joined:Wed May 18, 2022 2:49 pm

Re: Buying and Selling Gold via Bullionvault

Postby Simsim » Fri May 20, 2022 6:22 am

Many thanks for this, it's extremely helpful! I will note the capital gains position on each transaction! And also I will check that link! I'm likely to buy and sell about 6 times each a year, if that!

AGoodman
Posts:1738
Joined:Fri May 16, 2014 3:47 pm

Re: Buying and Selling Gold via Bullionvault

Postby AGoodman » Fri May 20, 2022 12:17 pm

Even 20 times a year would still be clear CGT territory (rather than trading/income tax).


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