There is no need to pay taxes on income from foreign exchange speculation, because domestic foreign exchange transactions fall into a gray area. Therefore, there is no need to pay tax on income earned from foreign exchange speculation. However, it should be noted that foreign exchange is not equal to foreign currency. Just like exchanging money in a bank, if you want to exchange it for banknotes, there is a banknote price, and if you want to exchange it for exchange, there is an exchange rate.

Foreign exchange speculation, also called foreign exchange margin trading, is a financial investment tool that is superior to stock market investment. Its investment direction is the global foreign exchange market. Since the daily fluctuation range of the exchange rate is not as large as that of the stock market, if you invest in real exchange transactions, the return rate will be small.

This is to invest using margin trading. Foreign exchange investors can use the principle of leverage to use small to large, two-way transactions, and flexible operations. Moreover, because it is a global market, the chance of the market being controlled by institutions is very small. Therefore, it is more transparent and fair compared to the stock market.

Extended information:

Relevant knowledge of foreign exchange income speculation:

1. Choose a mainstream platform (regulated by FSA or NFA, explain the operation and Whether the capital flow is standardized and conscientious to ensure safety, the British FSA supervision is the strictest, and generally FXCM and FXSOL are relatively well-known)

2. It is best to choose a good agent who is a first-level agent. business. It is a formal first-level business, and its reputation is gradually accumulated, so its operations are very formal. There are no commissions and other handling fees, the service is timely and professional, and the safety of funds is also guaranteed.

3. It is important to set a stop loss and control the position when trading.

4. Maintain a good attitude. Profitability is normal.

5. Make good use of your financial budget and avoid using funds necessary for daily life as capital. Psychological characteristics of gamblers: People who worry about gains and losses, have no restraint, and are overly nervous should not use daily funds as capital for transactions. Excessive financial pressure will lead to misdirection. Investment strategies only increase transaction risks and lead to greater mistakes.

6. Foreign exchange trading cannot rely solely on luck and intuition - the psychological characteristics of gamblers: people who do not listen to advice. If you do not have a fixed trading method, then the profit is likely to be very random, that is, relying on luck. This kind of profit cannot last long.

7. Make good use of free demo accounts to learn foreign exchange trading. Investors should be patient: wait for the moment when the rate of return is positive; beginners should be patient and learn step by step. Don’t rush to open a real trading account. You can first Try a demo account. There is an application for a free demo account on FXSOL Global Financial Network, which new investors can experience.

8. Make good use of stop loss orders to reduce risks. The courage and determination of a military strategist: take action when the opportunity comes.

9. Act within your capabilities, economist’s theory: understand the management of funds and maximize the benefits of funds;

10. Choose a mainstream platform and agent.

Income from foreign exchange speculation includes:

1. Foreign exchange income from exporting or paying first and then receiving re-exported goods and other transactions;

2. Overseas loans Foreign exchange earned from winning international tenders;

3. Foreign exchange earned from operating duty-free goods within the country under customs supervision;

4. Transportation (including various modes of transportation) and ports (including seaports) , airports), postal and telecommunications (excluding international remittances), tourism, advertising, consulting, exhibitions, consignment, maintenance and other industries and various agency businesses provide foreign exchange income from goods or services;

5. Administration, Various foreign exchange fees, fines and confiscations received by judicial authorities;

6. Foreign exchange income from the transfer of intangible assets such as land use rights, copyrights, trademark rights, patent rights, non-patented technologies, goodwill, etc.;

7. Foreign exchange income from leasing real estate and other assets;

8. Foreign exchange profits repatriated by overseas investment enterprises, foreign exchange recovered under foreign financial aid and foreign exchange income from overseas assets;

9. Foreign exchange income from external claims, returned foreign exchange deposits, etc.;

10. Foreign exchange income from insurance institutions accepting foreign exchange insurance;

11. Obtain " Income from the foreign exchange business of financial institutions that have obtained a foreign exchange business license;

12. Companies that operate overseas contracting projects, provide labor services, technical cooperation and other service businesses overseas, during the course of the above-mentioned business projects Foreign exchange received from business transactions;

13. Foreign (industrial) trade companies approved to engage in import agency business, engaged in foreign shipping agency, shipping agency, international freight agency, ship fuel agency, trademark agency, patent agency , copyright agency, advertising agency, ship inspection, commodity inspection agency business agencies collect and pay foreign exchange;

14. Domestic institutions temporarily receive and pay or temporarily receive and pay foreign exchange, including overseas remittances Bid deposits, performance bonds, re-export trade receipts collected first and paid later, foreign exchange remittances collected by postal and telecommunications departments for international remittance services, foreign exchange prepaid by foreign tourism agencies collected by first-class travel agencies, and foreign exchange collected by railway departments for overseas insured transportation services. Foreign exchange, foreign exchange deposits, mortgages, etc. collected by the customs;

15. Ocean shipping companies engaged in international ocean transportation business approved by the Ministry of Transport, foreign shipping companies and leasing companies engaged in international freight approved by the Ministry of Foreign Trade and Economic Cooperation Foreign exchange earned by shipping companies from domestic and overseas operations;

16. Donated foreign exchange used for overseas payments as stipulated in the donation agreement;

17. Foreign embassies and consulates in China, international organizations and foreign exchange from other overseas legal entities in China;

18. Foreign exchange from individual residents and individuals coming to China.

Baidu Encyclopedia - Foreign Exchange Income

Baidu Encyclopedia - Foreign Exchange Speculation