Tag Archives: trading income

Purchase of own shares: What could possibly go wrong?

A company purchase of own shares (CPOS) is often a tax-efficient way for an individual shareholder to dispose of their shares (e.g., on retirement). However, unexpected tax consequences can arise if a CPOS is not handled correctly. Income treatment As a general rule, when the company buys back its own shares from the shareholder, any… Read More »

Taking a gamble?

It is relatively common for HM Revenue and Customs (HMRC) to argue that an individual’s activities amount to a trade, so any profits from that activity can be taxed. Is it a trade? Regular and structured transactions on e-Bay or Amazon are examples where HMRC has been looking out for undisclosed trades being carried on.… Read More »