Spread betting brokers

I would like to start spread betting but brokers seem to word their offerings very differently. In some cases, they're CFD's and in others not. If any profits are made, what evidence do I need from a broker to prove that I was indeed spread betting? This is assuming I'm not going down the explicit route of doing CFD trading if that makes sense.

Hi regularguyuk,

Spread betting is seen as a type of gambling and is not taxable, unless it is part of a trade.

BIM22015 advises ‘There has been no decision of a court in Australia nor, so far as I am aware, in the United Kingdom where it has been held that a mere punter was carrying on a business.’ 'However, an organised activity to make profits out of the gambling public will normally amount to trading'.  

BIM22015 - Meaning of trade: exceptions and alternatives: betting and gambling - introduction

You will need to decide, whether you are trading or not. Eg. are you spread betting in order to make a living, you could be considered to be trading.

BIM22020 advises "To be taxable, the spread betting wins must come not merely from an opportunity presented by a trade, they must arise from the carrying on of that trade. Whether or not a particular spread bet is taxable will depend on the terms of the contract and the economic substance of what is done".

BIM22020 - Meaning of trade: exceptions and alternatives: betting and gambling - spread betting

Thank you.