Why is spread betting still tax free? Anecdotally speaking of course…

Home > Trading > Why is spread betting still tax free? Anecdotally speaking of course…

The factual reason spread betting is tax-free for profits is because the trades are structured as a bet. i.e. I bet you £10 for every point the FTSE goes up etc.
Therefore it is structured as a bet and as with all gambling, exempt from capital gains tax.
However, the actual reason (according to old City anecdotes anyway) may be slightly more sinist...

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