Taxation logo taxation mission text

Since 1927 the leading authority on tax law, practice and administration
Home Saved articles Viewed items Login Contact Free Trial
|

A better bet

© Copyright LexisNexis 2024. All rights reserved.

14 December 2010
Issue: 4285 / Categories: Forum & Feedback
The major shareholder and director of a bookmaking company also make bets privately. He is purchasing some software to assist in determining which bets to make, but will this affect whether any winnings should be subject to tax?

I have been approached by a client who is a majority shareholder and director of an on-course rails bookmaking company asking me to clarify his personal income tax position in respect of bets he makes on betting exchanges.

He considers that these bets are private and are made in his personal time and are therefore not part of the company’s business. However he has been prompted to consider his income tax position as he is about to invest in some software known as a ‘BOT’.

This automatically screens bets made on the exchange and assists the user to make a decision as to which bets to take. By using this software my client believes that he will make a profit from his bets using his bookmaker’s skills.

Is he in effect carrying on a business in his personal capacity?

Query 17 719 – Better

Reply from Cello...

If you or your firm subscribes to Taxation.co.uk, please click the login box below:

If you are not a subscriber but are a registered user or have a free trial, please enter your details in the following boxes:

Subscribe Now...

Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this item in full.

Please reach out to customer services at +44 (0) 330 161 1234 or 'customer.services@lexisnexis.co.uk' for further assistance.

READERS' FORUM premium icon
Read All
Tax tip: Work from home allowance Readers’ forum: Is there an alternative to using time apportionment? Readers’ forum: Tax liability on paying out distribution to members Readers’ forum: Should taxpayers submit form VAT652? Readers’ forum: Does option to tax on land also apply to buildings?
FIVE WAYS TO MAKE ACCOUNTS PRODUCTION AND TAX EASIER.
Download the exclusive Xero
free report here.

New queries
Please email any questions you might have
to: taxation@lexisnexis.co.uk.

NEWS premium icon
Read All
In brief: 25 July 2024 Movers and shakers: 25 July 2024 Agent update 121 available New power for the Office for Budget Responsibility Pressing tax issues need prioritising, says CIOT
DEADLINE DATES
CASES premium icon
Read All
Rental income disclosure was unprompted Ignorance of the law is an excuse Clear winner but costs reduced for other factors Company was not resident in the US for treaty purposes Collagen-based drink was a beauty product
MOST POPULAR
Rental income disclosure was unprompted Ignorance of the law is an excuse Clear winner but costs reduced for other factors Company was not resident in the US for treaty purposes Collagen-based drink was a beauty product
Copyright © 2024 LexisNexis
back to top icon