Ask Experts Questions for FREE Help!
 
Free Answers in 3 Easy Steps

Register Now		 3 Steps
 
Ask QuestionsprogressAnswer QuestionsprogressBuild ReputationprogressBecome an Expert
 
At Ask Me Help Desk you can ask questions in any topic and have them answered for free by our experts. To ask questions or participate in answering them you must register for a free account. By registering you will be able to:
  • Get free answers from experts in any of our 300+ topics.
  • Accept money for answers that you provide.
  • Communicate privately with other members (PM).
  • See fewer ads.
  Answer this Question    Ask about Taxes    Ask about another Subject  
 
PDA

mathew68
Jun 29, 2008, 11:20 AM
I am an active stock and options trader and would like to know whether I can classify myself as a trader in securities for tax purposes. I am currently on an H1B visa. Any help in this matter would be greatly appreciated. Thanks.
MukatA
Jun 29, 2008, 10:51 PM
What are expecting to gain by classifying yourself as trader?
mathew68
Jun 30, 2008, 07:58 AM
I believe it would be beneficial for tax purposes to mark my positions to market and to avoid the wash sales rule? Also, I would like to deduct the margin interest expenses I have incurred. I believe I cannot do that if I am not classified a trader? Thanks in advance for any insight.
AtlantaTaxExpert
Jun 30, 2008, 11:45 AM
Actually, you CAN deduct margin interest if you itemize.

It is VERY HARD to convince the IRS that you are engaged as a trader as a business (filing Schedule C), especially if you are drawing a salary under a W-2.

Further, doing so would probably be a violation of the terms of your H-1B visa.