Showing posts with the label tax-on-day-trading


TAXES FOR TRADERS Think day trade returns come without a catch? Think again, because the  IRS has plenty of ways to catch you come April 15. Day trading involves  strategies that generate both high returns and high tax liabilities, which can  eat away at your total return if you are not careful. Not all of your expenses  are deductible, and you might think that you’re day trading, but the IRS will  have a different definition of your activities. Taxes themselves aren’t necessarily bad, because somehow we have to pay  for things like roads and schools and national defense. But taxes can be dev astating to your personal finances if you haven’t planned for them. You need  to consider the tax implications of your trading strategy right from the start  and keep careful records so that you’re ready. Tax issues for day traders are complex and change frequently. Check the most  recent federal regulations and work with an accountant or  tax expert who has experience in these