Offshore UK reporting Money Market Fund

The Lyxor Smart Overnight Return UCITS ETF C-GBP (Ticker CSH2) is an offshore UK reporting fund. It is an accumulation fund and the dividend date is 31 October 2023. I purchased it on 1 February 2023 and sold it in 28 September 2023. Is the gain I made on this fund is subject to income tax, capital gain or both?

Hi,

A fund that has been approved by HMRC as a reporting fund is required to report to the investor and HMRC details of the income that has arisen within the fund, whether or not the income has been distributed.

A UK resident investor must declare the income , whether or not distributed, in their UK tax return for the year, and pay tax on that income at their marginal rate of income tax, up to 45%, or up to 38.1% for dividends.  

Gains arising on the disposal of units are subject to Capital Gains Tax (CGT) at a top rate of 20%.

Thank you.