Declaing yourself as a DAYTRADER taxes!

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Sky123987

this is what my accountant is telling me...

I have a whole TON of taxes that I owe becaues of this WASH rule. I understand that you can elect to be a day trader, where you'd have to pay self employment tax, but you avoid this wash rule which would bring my tax libality down A LOT.

however they are saying that this declaration as a daytrader MUST be done by april 15th of the current tax year in order to have this option.

Is this true?
 
Quote from Sky123987:

this is what my accountant is telling me...

I have a whole TON of taxes that I owe becaues of this WASH rule. I understand that you can elect to be a day trader, where you'd have to pay self employment tax, but you avoid this wash rule which would bring my tax libality down A LOT.

however they are saying that this declaration as a daytrader MUST be done by april 15th of the current tax year in order to have this option.

Is this true?
More...

Electing to use MTM (daytrader), does not mean you will pay SE taxes.
 
did your firm prepare your taxes using a specific tax software package? can they e-file them for you? did they send you a paper copy and now expect you to mail it in? or will you e-file?
 
Damn I've never done this... so I can't fill as a daytrader is there any exception to this rule?

Quote from rweiss21:

This is correct the deadline to declare was 4/15.
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Quote from Hombre:

They do, if they want to collect SS and have all the expenses deducted .
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As a retail daytrader you can claim MTM, avoid SE taxes, and still deduct all of your trading expenses.
 
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