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The Tesser Book is the original and only trader's tax book found in book stores. But unfortunately that book is not a "how to" for LLC tax compliance. Many traders make more in one morning of trading than even the most expensive CPA or Tax Attorney might charge for a once-a-year tax...

IRS has no incentive to force a taxpayer to be reclassified from "Investor" to "Trader." UNLESS the Trader had previosuly been filing as a M2M Trader and then improperly dropped M2M so he could get long-term capital gain treatment on a deemed trading position.

I'd figure a deduction, is a deduction why not take it... but if you feel the deductions are so small that you'd just as well forgo them, I'm not sure why you're here asking about filing as a trader?? :) Ohio State residents are taxed based on Federal AGI. There is no significant difference...

Having one's income run through his own corporation (or other business) is one of the best tax reduction strategies going! You already have a Sch C for the antiques business which I'm assuming is a bona-fide business and not a hobby (IRS loves to attack antiques businesses and horse...

Futures TRADERS are not normally subject to 15.3% SECA tax. To be subject to SECA/FICA/Medicare tax a futures trader would normally have to go out of his way to create it. I usually accomplish this by forming a separate taxable entity to trade through and then have the entity pay a fee/salary...

Coming in a little late on this one, but a solo-trader generally should be an employee of his c-corp to get a §119 meals allowance for a bullit-proof deduction. One might use a c-corp as a managing member/partner in his LLC and then as the employee of the managing member/partner would be...

If you tell the brokerage that you are now a sole proproetorship, then there's a good chance they'll rate you as a professional trader and up your fees. Don't tell the brokerage that you're a trade or business and no one else will be the wiser! IRS couldn't care less if your account is...

Generally pure S-Corp non-dividend distributions of the earnings that are passed thru to the shareholders via the K-1 will remain untaxed -- as they are only taxed one time, via the K-1. The new 15% rate generally applies to earnings that will be double taxed: once at the c-corp level and...

The idea to avoid the high professional subscriber fees, is to arrange your situation to qualify as a non-professional, which for many on-line traders / unlicensed proprietary traders is not all that difficult if given some creative thought. ===================== Classification of a...

IB has not been providing wash sale computations, no telling what will happen for 2004. Fidelity is one of the few that compute wash sales for you. Of course, if you are an active trader, you might consider electing M2M by April 15th 2004 and filing form 3115 in 2005, making the wash sales...