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You’re only subject to tax in the country the brokerage is in, the country they report your transactions to is who you’ll send a percentage of your revenue to. Like if you trade HK stocks using a HK entity through a Jamaican brokerage, then you’ll pay Jamaican taxes not HK. (But there’s no tax...

Limited company is better because of its ambidextral effect, meaning the gains will show as pure income to a mortgage lender and to the irs the same income will be income of the entity before paid out to owner, (you)

To reduce the most from your tax bill in capital markets is a two step process, structure the entity you’re trading under properly to flow through and schedule weekly or monthly inter transfers This will have a 60-90% reduction in tax liability

I’m assuming you’re looking to trade future contract options If your AUM is enough, there’s execution brokers that’ll fill your orders at a steep discount, but only if you’re ordering in blocks outside of that, anywhere you go you’ll pay the retail fees

Simply put, which entity to invest in depends on your purpose for investing in said corp. If you’re looking for solid existing cash flow value to exist on your books or in your portfolio for transient purposes then yea fixed or and current instruments may make sense when an entity piques your...

You can file a paper return you just really gotta know how read and write. I do it for certain clients every year, but main thing is to keep track of your executions and have it categorized automatically. I use excel and google sheet feeders to do this, I find that to be most efficient

I believe all derivatives at this point fall under 1256 rule, just the amount of traders in it alone has sparked the IRS creativity in applying said rule

You’re correct but it’s not essential for the broker to correct their errors, because you can just correct it yourself on the actual filing and attach a letter to your filing pointing out your brokers error Situations like these point out the importance of traders spreadsheeting their...

As of 2020 in the states, if everything is on your w2 the irs will attempt to tax everything as ordinary income What you’ll have to do is file your 1099B separate from your 1040 but write a letter to the IRS explaining what you did. Investment account activity should always be filed separately...

You should definitely separate your positions to reap the lower tax bill. If your tax person wants to combined your positions, it’ll be because they’re lazy or unknowing or how you currently file your taxes won’t allow you to really benefit from separating positions by age

Email me or send me your email I have a rolodex of pb’s

Your best bet is to execute through mini PBs you’ll still be able to purchase shadow blocks like you’re in dark pools but you’ll be able to do it much cheaper through mini primes, especially in small caps I can connect you to a few, email me or send me your email to further discuss

if you have day trader status through an entity you’ll file a Form W-8EC If it’s a sole prop, “usually” it’s a W-8BEN but it’s all circumstantial

I’m a capital markets participant, but I provide various services in the market. Mostly structure and strategy I’ll email you now

Generally to qualify as a 429 trader you’ll need to ; Profit from “generally” only daily trading and deviations of it that mimic market movements Have substantial gains in profits “generally”, for the sake of argument no less than 10,000 usd equivalent monthly Carry on day trading activities at...

I imagine most traders only hear about someone paying less than 5% on their trading proceeds and the theoretical no tax paid on profits, but that itemization you speak of is their attempt to get to that lower tax bill. The only way to truly lower your bill is to shell your LLP’s and trusts

The type of form you mail in depends on how you recognized yourself at the time of initiated transaction but it’ll be one of three to start with ; Form 1120-F Form 1040-NR Form W-8BEN

Trust are also better because you can shell a trust to the point of theoretically no tax, especially in modern countries within the Western Hemisphere

For an experienced structurer price varies vastly. It mostly depends on said fund size and generally desired tax exposure threshold. Your threshold also depends on your investment strategy as well.