Trader Status and Mark-to-Market

[Robert A. Green]

I was hoping you would comment. Robert, if a trader claims this status, are they stuck paying double SS on their gains?

Trading gains are not self-employment income so there's no SE tax. That does not change with trader tax status, section 475, or an entity. One exception: full members of a futures exchange trading futures have self-employment income.

 

[1245]

Thank you.