The fact that there have been repeated transactions of the same kind may help to corroborate that the transactions are of a trading nature. HMRC's view is that 'although an isolated transaction can amount to a trade the systematic repetition of a transaction is a pointer towards trading'1. HMRC guidance continues to say that where there is more than one transaction involved, the case for trading will be much stronger if the pattern appears to be a series of related transactions occurring at not too great intervals of time, and presenting the appearance of habitual and continuous activity.
Where there is the provision of services where the individual is rewarded through commission or cashback, if this in on a regular, commercial and organised basis the receipt will be treated as the receipt of trading income2.
Series of transactions in stocks and shares
The frequency and number of transactions is of especial significance in cases where the subject matter of the transactions is commonly used as both investment and trading stock, for example
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