Trading Tax write offs

Say a trader received a K1 from a prop firm for 50k.
This trader found $6,000 worth of write offs.

The standard deduction this year say is $5700.

So, what is my tax liability?

50,000
- 6000
- 5700
___________
38,700

or because the write off was taken, you CANNOT take the standard deduction so your tax liability would be...

50,000
-6000
____________
44,000
 
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