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.

What are expecting to gain by classifying yourself as trader?

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.

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.