illegal to trade Forex through UK FX broker from US as US citizen?

[increasenow]

is it illegal (according to US law) to trade Forex through UK FX broker from US as a US citizen?

Got a notice from my Forex broker that my account will be going to their UK branch...either I do nothing and my account transfers over to their UK account or I must tell them I want to close and go on my way...Questions:

I live in the USA....

#1-is it illegal (per US law) for me to trade spot Forex on a UK fx brokerage while I am a US citizen trading from the US?

#2-if not illegal, would I have to pay taxes on profits to both the IRS/US and to UK revenue authority?

#3-my account would transfer over to a UK fx broker (non NFA/US) would only be regulated by FSA/UK

Thanks...

 

[stock piker]

http://www.elitetrader.com/vb/showthread.php?s=&postid=2783816&highlight=spot+fx#post2783816

"forex spot trading is a waste of time...CME Globex currency full contracts are only way to go..."

Making this thread an abject waste of time.

 

[increasenow]

Quote from stock piker:

http://www.elitetrader.com/vb/showthread.php?s=&postid=2783816&highlight=spot+fx#post2783816

"forex spot trading is a waste of time...CME Globex currency full contracts are only way to go..."

Making this thread an abject waste of time.

ah yea...I agree...I was just wondering if I should let my Forex (not futures) account ride or shut it down???

 

[4EXJOE]

No problems and no extra tax. Until NFA catches wind of the loophole and does something to close it.

FSA is reputable.

 

[increasenow]

Quote from 4EXJOE:

No problems and no extra tax. Until NFA catches wind of the loophole and does something to close it.

FSA is reputable.

wow...thanks...