Its an old article (2002), but it helps explain the basics of this stuff for those who don't know...
http://www.fool.com/taxes/2002/taxes020208.htm
http://www.fool.com/taxes/2002/taxes020208.htm
Traders: who does your taxes?
- Thread starter bat1
- Start date
I never overspend my winnings, that's my solution to the problem.
By simply setting asided 50% of your profits per withdrawl from your account you will always be able to cover your bill ... I don't think any of us are as lucky as Wesley Snipes!
Good trading.
you are not required to pay estimated taxes. you will just have to pay a penalty if you dont. the key point is that the penalty is only the interest on the money. the thing to consider is this. as a trader can you make more than the interest penalty on the money during that year? if so you are better off keeping the money and putting it to better use.
Quote from MandelbrotSet:
I never overspend my winnings, that's my solution to the problem.
By simply setting asided 50% of your profits per withdrawl from your account you will always be able to cover your bill ... I don't think any of us are as lucky as Wesley Snipes!
Good trading.
First off you don't make much money. You have never made more than 50k in a year. How funny it was talking about this site and you pop into the conversation, they call you at your firm THE BIGGEST BULL SHIT ARTIST to ever walk in there.
So why don't you get a diaper and wear it around your mouth. Oh and post your return that shows i am full of it and i will never come on this site again.
http://www.diapers.com/
Quote from Sqanp:
First off you don't make much money. You have never made more than 50k in a year. How funny it was talking about this site and you pop into the conversation, they call you at your firm THE BIGGEST BULL SHIT ARTIST to ever walk in there.
So why don't you get a diaper and wear it around your mouth. Oh and post your return that shows i am full of it and i will never come on this site again.
http://www.diapers.com/
LMAO!!!! I see you know ETâs resident poseur. Are you sure he even has a job? On this forum alone, he has posted approximately 1275 posts in 100 +/- days, not five months!! Given the time he spends on the various trading forums reading and posting, day, night, weekends, holidays, etc., where does he find the time while on the clock mopping the floors and cleaning the restrooms or whatever it is he is supposed to be doing? No way would anyone be able to hold a full time job and post the way he does.
But in his defense, I would venture to say he is actually telling the truth for once about holding aside reserves for taxes from his (*cough*) trading earnings. Putting aside 50% of zero isnât that difficult and is only another column on his paper trading ledger.
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Yes you can. You can pay yourself a salary and send your taxes every period.
I'm pretty sure I think I know what riskfreetrading was talking about. Theoretically you can create an offshore trading company. It used to be you wouldn't have to pay any US taxes whatsoever, but according to my accountant they closed that loophole.
And to slowcpa, extensions are only free if you have paid what you owe as of April 15th. Any difference will be subject to penalties and interest. You should know that based on your name.