Billionaire trader Alex Gerko has publicly accused HM Revenue & Customs (HMRC) of ‘gloating’ after losing a significant tax dispute in the Supreme Court. The legal battle centered on the tax treatment of profits generated by HFFX, a currency-trading fund Gerko established while working at the trading firm GSA Capital.
The Supreme Court ruled that profits from the fund should be subject to income tax at a rate of 45%, rather than the corporation tax rate of up to 24% initially applied. This ruling resulted in a tax bill of approximately £22.5 million for the traders who benefited from the fund.
Following the ruling, HMRC issued a statement reaffirming its commitment to ensure that individuals pay their fair share of taxes, describing the fund’s structuring as ineffective in avoiding tax. In response, Gerko took to LinkedIn to express his frustration, stating, “Pretty astonishing from HMRC to get 70pc effective tax rate and also gloat about it.”
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Gerko, who renounced his Russian citizenship in 2022, is known within the City for his candid and sometimes sharp commentary on social media. Despite the controversy, his trading firm XTX is also recognized as one of the UK’s largest charitable donors, having pledged over £150 million to charitable causes in 2025.
The dispute marks a notable clash between a high-profile trader and the UK’s tax authority, highlighting ongoing tensions over tax regulations and enforcement in the financial sector.