Do you pay tax on money made on exchange rates?

[DimPrawn]

If you put sterling money into a bank account (say dollar denominated), the exchange rate changes and you convert it back and end up with more money, do you pay capital gains tax on the additional sterling?

If you lose money converting currency, can you offset this loss against tax?

[kandr]

If you put sterling money into a bank account (say dollar denominated), the exchange rate changes and you convert it back and end up with more money, do you pay capital gains tax on the additional sterling?

If you lose money converting currency, can you offset this loss against tax?

Its FX trading, you are a trader.

[Jog On]

If you put sterling money into a bank account (say dollar denominated), the exchange rate changes and you convert it back and end up with more money, do you pay capital gains tax on the additional sterling?

If you lose money converting currency, can you offset this loss against tax?

I think it's CGT - £10k tax free allowance I believe.

If you lose money converting currency, can you offset this loss against tax?

Business or personal account?

[Jog On]

Its FX trading, you are a trader.

Putting it in a bank account and realising the gain/loss is not FX trading

[aussielong]

Grey area

Its FX trading, you are a trader.

It depends how often you do it. If you are doing this regularly you will appear to be trading and will be up for tax on gains.

You don't pay tax on a profit you make when you go on holiday and change it back at a better rate than you did when setting off do you.

[Bunk]

Its FX trading, you are a trader.

dirty spekulant

[DimPrawn]

dirty spekulant

[Mich the Tester]

If you lose money converting currency, can you offset this loss against tax?

This is your real question isn't it? Come on, be honest. How much have you lost?

[DimPrawn]

This is your real question isn't it? Come on, be honest. How much have you lost?

More than sasguru makes in a year.

[Mich the Tester]

More than sasguru makes in a year.

Not worth the trouble; the accountant's hours cost more than that.