anyone using swiss accounts?

• 09/02/2018 at 8:39 PM #79588
  jebus89

  Hi, any update on that? Is it a nerfed account or is it just like nay other normal IG account but with the good old spreads? Do u need guaranteed stops on all trades?

  

  jebus89

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  09/11/2018 at 4:48 PM #80189
  Andre Vorster

  The spreads are the same on all IG accounts.
  The difference come in the Leverage and Margin required.

  There are comparison tables on this site
  https://www.ig.com/uk/compare-our-leveraged-trading?CHID=3&QPID=22380&tid=afa72f2fd4a438abe9c0f09f713fa6bf

   

   

  

  Andre Vorster

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  10/23/2018 at 8:57 PM #83417
  Vonasi

  I’m in the process of trying to open a Swiss IG account and thought others might be interested in the process so far.

  Application is simple and the account opened quickly and as a standard account rather than a stupid limited risk account….. but before you can use it you need i.d verification as IG Switzerland is a bank. If you have a notary signed copy of your i.d. you can send it to Switzerland. IG also offer a FaceTime option for i.d verification but as I am not an Apple product user this is not possible for me and they offer no alternative method of video calling. I guess I will just have to ask all my friends if I can use their iPhone and hope they are able to lend it to me at the appointed contact time!

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  GraHal

  

  Vonasi

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  11/06/2018 at 10:05 PM #84267
  ed65

  would using a swiss account make an amateur trader using ig liable for uk tax on profits, what about swiss withholding tax (its real pain i know )  …. if so defeats the object, if you ask ig to become a pro trader and avoid margin issue they are unable to tell you how hmrc would view the tax issue so i would think you are better off just putting up the extra margin ……

  

  ed65

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  11/07/2018 at 11:59 AM #84318
  Vonasi

  Most small traders do not meet the criteria to become professional and keep the low margin rates that we have all previously enjoyed so for them the only option is to open an account outside the EU. Yes you are liable to pay tax on any profits the same as you would be if you opened a bank account in another country. The Swiss withholding tax I guess would also apply. So yes – for UK traders who are used to tax free spread betting this is a major downside but the new margin rates are such a massive increase that they mean many small traders can no longer fund an account big enough to place even one or two trades at the same time now. So for a small trader expecting to make small profits and have a little fun without putting up a lot of money up front then an account outside the EU is pretty much the only option now.

  On a separate note I have still not verified my IG Swiss account as it seems IG will only do video verification via Apple FaceTime and it seems that here in Greece I know absolutely no one who uses an Apple product! IG need to expand to more popular communication platforms such as Skype, WhatsApp or Telegram as otherwise they are missing out on many potential new customers.

  At the moment I am tempted not to bother opening the Swiss account due to the tax problems and so I will continue only in the UK. I will just have to think smaller when it comes to trade quantities. A pity really as it seriously reduces diversification and massively limits profit potential. I imagine a lot of newbies will be put off from even beginning on the trading path as soon as they work out how much margin they need now – which I guess was the whole reason the ESMA made the rules so they must be patting themselves on the back. Personally I’d like to shoot them in it!

   

  

  Vonasi

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  11/07/2018 at 12:33 PM #84320
  GraHal

  Bear in mind that if you have a day job / other source of livable income then it doubtful you be considered by HMRC as a full time Trader. As such profits you make on trading would be considered a Capital Gain (not income if HMRC were to classify you as a full time Trader).

  The current personal allowance on Capital Gain for 2018 is £11,700!

  Should you be so lucky to make > £11,700 profit then you can also offset losses against this from previous 7 years … provided you have flagged up those losses to HMRC etc.

  The pain in all this is that you would need to submit a Self Assessed Income Tax Return every year, but once you get into the swing of it / done a few then it is not that bad!

  A website I use for sharedealing (outside of my ISA) is below and you only have to input the buy price, sell price, buy date, sell date in the correct format and press the calc button and the calcs are provided in the correct format as required by HMRC on your Tax Return.

  I have not used the website below for CFD calcs (I spreadbet intraday deals) but I would welcome further discussion on findings of anyone re the calcs for CFD’s being any different to normal sharedealing (30 day rules / any other rules etc).

  http://www.cgtcalculator.com/default.htm

  

  GraHal

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