Well, I’m back from Edinburgh which was a brilliant break for my brother's stag, including an archery session! (see pic).
It's back to reality now but I’m looking forward to trading again this week. But for how long will trading remain tax free in Ireland?
I was discussing this on some forums and it seems that An Taoiseach Brian Cowen is set to add a betting tax (which will include off-short operators) in December's budget – the figure discussed is in the region of five percent. What this will mean for Betfair is unclear but if you’ve to pay 5% on each back and lay (rather than on the trade itself) that will make the spread very big, considering Betfair take up to 5% commission too.
I remember the days when we were paying nearly 10pc tax on bets in the bookies and it was near impossible to make betting pay. I know the sport needs to be funded but some sort of net tax on winnings would be preferable to me as a trader as it could become very difficult to beat the spread if they take 5% immediately after you back or lay.
If they only taxed bets on Irish racing, that would be fine as I trade mainly on UK stuff but I doubt it. Also, the UK Government are also looking at ways to raise revenue from the sport so I wonder just how long they will leave the exchanges alone for.
I’ll watch this one with interest and I just hope that there aren’t too many changes.
WAYNE Bailey was born in Dublin where he still lives with daughter. A librarian by profession, Wayne has always had a passion for betting and trading and has spent various periods throughout his life as a professional gambler. In 2007, he graduated from University College Dublin with a degree in social science and information studies and four years later, he completed a diploma in financial trading from the Irish Institute of Financial Trading. More recently, he studied psychology and the behaviour of the human mind. Wayne is a regular contributor to various newspapers and websites in the UK and Ireland, and he currently pens the Betting Ring column which enjoys a large dedicated following every Saturday in Ireland’s largest selling newspaper The Irish Independent. Wayne's book 'Sports Trading on Betfair' was published in 2014. Email: email@example.com