how old is she?
Don't deal with it by smacking, but don't send her to her room either, or confiscate toys. None of those things work (as you are finding out!).
If one of mine did those things, I'd tell them firmly not to, and give her lots of cuddles. If she's constantly demanding cuddles, I wonder if she's testing you (that's why most children 'misbehave') - checking that you love her unconditionally. To her eyes, you don't love her when she mucks about (because you put her away from her, and don't cuddle her, understandably), which makes her insecure, which makes her test you more.
Smacking is also counterproductive, and models an unpleasant way of losing ones temper (btw, we all do it from time to time, but it's not best practice really! )
You may find she behaves more nicely if you tell her why she shouldn't do things, and give her a cuddle at the same time. You shouldn't need to punish her IMO and IME.
If you can get hold of a copy of How To Talk so Kids Will Listen and Listen so Kids Will Talk by Faber & Mazlish and/or Unconditional Parenting by Alfie Kohn, reading those might help.