Trader tax - US vs Canada

Quote from kcgoogler:

Say you are a profitable trader making say 100k. How would your taxation be in US vs Canada?

Also say you have the choice to take either Canadian citizenship or US citizenship; which one would you take?
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In Canada, if you're a daytrader, and earn your income daytrading, you'll be deemed to be in the business of daytrading, and any income earned by the business will be subject to business income (NOT capital gains).

Regarding citizenship - where do you live? That'll determine where your citizenship is. IE - even though I may have access to American citizenship, as a Canadian, living in Canada, I will be taxed IN CANADA on my WORLDWIDE income.

Regarding which place has the best tax environment - probably Texas.
 
Quote from JRL:

In Canada, if you're a daytrader, and earn your income daytrading, you'll be deemed to be in the business of daytrading, and any income earned by the business will be subject to business income (NOT capital gains).

That is true even in the US for me now because i have been filing as a trader and choose mark to market. Its both good and bad; bad since you pay a bit more in good years but good if you have a bad year and other income sources you can deduct losses from.


Regarding citizenship - where do you live? That'll determine where your citizenship is. IE - even though I may have access to American citizenship, as a Canadian, living in Canada, I will be taxed IN CANADA on my WORLDWIDE income.

currently in US. But i also have canadian PR; so was trying to decide which of these two places is better from a long term perspective. Cant decide. I thought if you are a canadian citizen and say live in India, you do not get taxed on income there; but you seem to be implying otherwise?

My understanding was that if you are a US citizen you get taxed on your worldwide income regardless of where you live; but if you are a canadian citizen you only get taxed on income in Canada; specially if you choose to live an year in other country; say india for example. No?


Regarding which place has the best tax environment - probably Texas.
I like my current state also. WA. No state taxes.
 
Quote from Bob111:

and one visit to ER without medical insurance can set you back for life.
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Ignorance is another thing that runs high here....

Paying cash for any service from the ER WILL cost much less than anything billed to the insurance company. Personal experience.
 
Quote from kcgoogler:

My understanding was that if you are a US citizen you get taxed on your worldwide income regardless of where you live; but if you are a canadian citizen you only get taxed on income in Canada; specially if you choose to live an year in other country; say india for example. No?
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Turns out i am wrong (technically not; but practically yes; because even when i am not in canada i will trade through my status in canada and hence have canadian income even though i am not in the country). Actually if i become a canadian citizen and say live in india for an year and trade prop, i will still pay canadian taxes because i will keep my canadian address for my prop account. More likely i will live 6mos in India and 6 in Canada. So tax wise i will be liable to canadian taxes.

http://www.expatinfodesk.com/expat-guide/nationality-specific-information/canadian/taxation/

Given this the only advantage for me really to move to Canada now is that i dont have to worry about US immigration system any more; down side is i have a job here that provides me with a good stream of income; dont have that in canada.
 
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