Is it possible to report in 2 different places in a single year, both income from business & investment?
For example.
I decide to use CFD's to add leverage to my portfolio.
So i sell my shares of BHP & buy the equivalent number of contracts in a CFD.
I do nothing with these for 5 years except pay the interest charges & collect the dividend distributions.
After 5 years I sell my contracts as I'm retiring.
In this example I see the purchase of CFD's as an investor & therefore CGT liable as they are exactly the same as shares except legally I don't hold the shares.
In theory I should also get the 50% CGT discount*
At the same time I decide to day trade forex contracts using the same account.
I trade on average 10 times a week, 50 weeks of the year & I consistently make a profit.
I close all contracts on the same day I open them & dedicate regular amounts of time each day to my forex trades.
This clearly is trading & not investing & therefore income from a business.
*With regard to CGT discounts
If in year 2+ of holding the CFD contracts my dividend distributions exceed my interest payments are they then able to discounted 50%?
- Forums
- ASX - Day Trading
- Where are you showing your CFD gains & loss on your tax return?
Is it possible to report in 2 different places in a single year,...
- There are more pages in this discussion • 4 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Featured News
The Watchlist
LU7
LITHIUM UNIVERSE LIMITED
Alex Hanly, CEO
Alex Hanly
CEO
Previous Video
Next Video
SPONSORED BY The Market Online