Premium received on selling share options: is it subject to CGT?

I sold share option (i.e. either "short call" or "short put") on Stock Exchange and received a premium of £1,000 on 1 Nov 2022. At the month-end closing date, the price of the underlying share was below the exercise price. This meant I could earn the whole premium of £1,000. Should I report this premium as capital gain when submitting the self-assessment return? Thank you.

Hi Eunice Tang,

As it is within the annual exempt amount there is no need ot report this unless you also have other gains to declare.

Thank you.

 

I'd like to further inquire whether the "Premium Received" in the above case is classified under "Capital Gains". Thanks.

Hi Eunice Tang,
Based on the limited information given in the original question you have referred to it as share option that has been sold and therefore falls under Capital Gains Tax. as the amount is within the annual exempt allowance, no tax would be due.
Thank you.