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How to Achieve Tax Savings as a Trader

Released on Tuesday, September 27, 2022TAXES
Join Robert A. Green, CPA, of GreenTraderTax.com, as he explains the tax advantages of trader tax status (TTS). Learn the golden rules for eligibility for TTS for full-time or part-time traders. You can claim TTS for all or part of 2022 and 2021; the IRS does not require an election. TTS traders deduct business, startup, organization, and home office expenses, whereas investors cannot. TTS traders can elect Section 475 MTM accounting which exempts securities trades from wash sale loss adjustments, navigates around the $3,000 capital loss limitation, and unlocks a qualified business income (QBI) deduction. TTS traders might achieve additional tax benefits using an entity like an LLC taxed as a partnership or S-Corp.

Robert Green, CPA
GreenTraderTax.com, CEO

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