Gain/Loss on trading share options on US stock market

[Case 1] Assume I got a premium of US2000 to sell Dec-22 Long Put share option in Nov 2022. At the closing date of Dec 2022, the market price of the stock was above the option exercise price. So the option wasn't exercise. That meant I made a profit of US 2000 from this transaction. 1) Is this gain subject to Capital Gain Tax in nature?

Hi

HMRC cannot comment on hypothetical situations. However for gains on the sale of shares please take a look at the guidance here
Capital Gains Tax: what you pay it on, rates and allowances

Thank you

I correct my question to my exactly situation. I got a premium of US1200 to TSLA sell Dec-22 Long Put ($120) share option in Nov 2022. At the closing date of Dec 2022, the market price of the stock was above the option exercise price ($120). So the option wasn't exercise. That meant I made a profit of US 1200 from this transaction. 1) Is this gain subject to Capital Gain Tax in nature? Thank you.

Hi Rex Li,
It is a capital gain but below the annual exempt amount so you do not need to declare.
Thank you. 

Thank you for your reply. I have other question about Capital Gains worksheet. 1) Each worksheet only for 1 transaction? 2)About Description of assets If I bought 100 Bank of America.It is correct If I put "100 Shares of BAC (US Stock)", 3) In the website it said maximum of 20 Capital gains worksheets. I would like to know if I have more than 20 transaction? Thank you so much.

One more question. I short sell 100 shares ENPH at $299 and buy back at $258, I got $4100 profit at this transaction, In this case, I have to declare it on Capital Gains worksheet or below the annual exempt amount? Thank you.

Hello, Could you tell me where are can I entry the exempt amount?

Hi
For this you would prepare your own spreadsheet and attach it as a pdf to the tax return.

Hi, any template or requirement for my own spreadsheet? I have to put all my short selling trade on this spreadsheet ? If yes, Date of disposal or sale is buy back date? Thank you.

Hi Rex Li,
If your total gains for the whole tax year are less than the annual exempt allowance, you do not need to declare the gains, unless the disposal value is £50000 or more and you are completing a tax return for other reasons.
Thank you. 
 

Hi, My total gains are more than the annual exempt allowance. 1) So could you let me know the about the requirement for my own spreadsheet? About the short selling trade, 2) I have to put all my short selling trade on this spreadsheet ? 3) If yes, Date of disposal or sale is buy back date? About "unless the disposal value is £50000 or more ", At this point is talking about one disposal value not total. Is it correct? Thank you

Hi Rex Li,
The exempt amount is calculated automatically in the calculation.
Thank you. 

Hi HMRC Admin 25 , But where can I entry the amount for the option trade gain? Thank you.

Hi Rex Li

HMRC do not provide a template.  You are free to create one of your own.  
If you save your spreadsheet as a PDF file, you can attach it to your tax return as supporting evedence.

Thank you

Hi Rex Li

How you declare the workings to support your capital gains figures is up to you.  There is no specific format or stencil for you to use.

Thank you

 

Hi Rex Lit,
The Capital Gains section of the tax return requires summary figures.
These can be obtained from your spreadsheet or similar, showing the transaction gains and losses.
This is made up of the disposal proceeds and allowable costs (including purchase price).
If the disposal proceeds are more thand the allowable costs, then there is a gain, that is declared.
If the disposal proceeds are less than the allowable costs, then there is a loss, that can also be declared.
A breakdown of these figures can be attached as a pdf file using the online tax return.
Thank you.