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PureBytes Links
Trading Reference Links
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bruce guenard wrote:
> Gents
> The practical question in my mind is "Is there a web page out there
> that helps the trader understand how to qalify as a "trader" in the eyes
> of the IRS?" (all expenses on Sched C, all profit and loss on Sched D,
> no wash sale rules). I've seen an out of date book on this last year.
> Would appreciate any assistance.
>
Hi Bruce,
I am not a tax expert but I can assure you that if you have ANY
other income, even a part time job, the IRS will disallow trader status.
Also you will have to demonstrate a very high number of trades per year in a
good sized account to qualify.
As for filing both Schedule C and D, I believe you file one or the
other but not both. Also as a professional trader you would be required to
pay the "self employed tax" which is not taxed on investments.
Good luck and good trading,
Ray Raffurty
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