Taxes for online trading?

[ljl16]

Hi,

I was wondering where does one declare capital income from online trading and what are the percentage brackets. Does one declare it once a year or how frequently? I've looking into trying some investments out. Any info would be appreciated.

Cheers,

[tjawatts]

That would be capital income. If you are using a local provider, they probably either withhold the tax or provide the details of your trades to the tax man.

Otherwise you should fill it in on your tax for when you get it.

T

[Rosamunda]

For residents:

Up to 50K€ capital income = 30% tax
Over 50K€ capital income = 32% tax

For non-residents 35% flat rate

[ljl16]

Thanks to both for answering.

That would be capital income. If you are using a local provider, they probably either withhold the tax or provide the details of your trades to the tax man.

Otherwise you should fill it in on your tax for when you get it.

T

By filling it in 'when you get it' does it mean once a year? I.e. if invest 1000e and get 400e profits at the end of the year, declare the profits then? What if I have loses, do I declare them as well? (since at the end of the day, say 1000e went out of my account and 300e came in -700e loss-). Is that 300e taxable even if it represents a loss compared to the initial value invested?

[Rip]

You report your profits and losses at the same time as you update your tax forms otherwise, once a year.

if invest 1000e and get 400e profits at the end of the year, declare the profits then? What if I have loses, do I declare them as well? (since at the end of the day, say 1000e went out of my account and 300e came in -700e loss-). Is that 300e taxable even if it represents a loss compared to the initial value invested?

You pay taxes on realized earnings, not on cash flow basis. If you invest 1000e, that is neither profit or a loss, before you sell again what you purchased. If some year you make a net loss, you should report that too, as that loss can be deducted against profits of the following five years.