With Gen Tier 2 visa can I buy shares or do trading

[vtox_g]

Hello,

I am creating a new topic. Moderator, please don't get mad at me if I broke any rules here if I did so, sorry about that. I am saying this as I have 2 more topics going on with a completely different question.

During the last few months, I had plenty of time so I decided to learn to trade.

I am in the UK with general tier 2 visa, my question is can I buy and sell shares or forex. I am mainly interested to know 2 things here.

1) Can I buy the company shares in international exchange or UK exchange and hold it till I make some profit and sell.

2) Can I do day trading with shares or futures or forex as a hobby?

Obviously, If I make any profit out of it I have to pay the tax.

Here there is no business or a firm involved this is purely based on my personal interest and savings.

I have already gone thought the do's and don't while on tier 2 visa on HO website there is no information on this.

I just want to make sure I remain clean while I apply for ILR.

This forum has been very helpful for the last few months with all the questions on the tier 2 visa. Thank you for all your help.

[Picku]

You can invest in shares and for that matter open tax saving stock isa till you are resident and paying taxes if you happen to leave the country then you won't be able to invest anymore and depending on broker might have to close the brokerage account. So it's up to individual. Also if its non isa then you will be paying capital gain taxes on profit incurred from selling shares and also on dividend earned

[vtox_g]

Thank you Picku for your valuable input, does this also mean I can also do day trading as a bobby like buying and selling shares/futures on the same day.

In ISA i guess its 20k is the tax-free limit and it makes sense to have ISA account.

[quoala]

If it's spread betting in forex then it's tax free I think because of high risk, similar rules to gambling winnings which is tax free, but stock isn't.

[Picku]

Thank you Picku for your valuable input, does this also mean I can also do day trading as a bobby like buying and selling shares/futures on the same day.

In ISA i guess its 20k is the tax-free limit and it makes sense to have ISA account.

Sorry I am not sure about cfd and day trading.

On isa 20k is the limit for deposit that would be tax free per tax year. But any capital gains and dividend earned out of that will also be tax exempted so its a good compounding tax free option.

[Picku]

Thank you Picku for your valuable input, does this also mean I can also do day trading as a bobby like buying and selling shares/futures on the same day.

In ISA i guess its 20k is the tax-free limit and it makes sense to have ISA account.

Sorry I am not sure about cfd and day trading. On that note few brokers and popular brokerage commission free apps allow you to have a cfd account on the same documents as that of the normal investing or isa account so I guess you can?

On isa 20k is the limit for deposit that would be tax free per tax year. But any capital gains and dividend earned out of that will also be tax exempted so its a good compounding tax free option.

[vtox_g]

If it's spread betting in forex then it's tax free I think because of high risk, similar rules to gambling winnings which is tax free, but stock isn't.

Thanks for your thoughts, as Picku says any gain made out of those 20K and its in ISA account its tax free that's what I learned reading some article. And if any earnings made and linked to your current account then there will be a capital gain tax that's for sure because its non ISA account.

But when you say stocks isn't, now I am confused. if you can share any reference which confirms the same that will be great.

Even though If I have to pay the tax on any profile made that should not affect my ILR right?

[quoala]

Buying stock is taxable, but FX is conditionally taxable, if it falls under spectacular gambling category then it's fully non taxable but being on a T2 you can't do any business other than working for your sponsor. Even as a secondary job that is the same job code, you need to be on PAYE. So technically not possible to report any taxes as self-employed that implies an income within the UK. That's my understanding. Someone I know on a T2 is doing trading FX for the last 4 years and didn't report anything as she found it non taxable.

If you're concern I think it makes sense to discuss with an accountant.

[vtox_g]

thanks for your input, this is purely for my personal hobby not involved with any business. Here I am talking about playing around with not more than 1500 pounds which comes within the limits even If I make any profit it will be very small.

I might not get into this as I feel it might affect my ILR application later don't want to take any risk.

Thank you, for input guys.