Good information about CY Group! I been trading with Star Alliance for over a year, and wanted to move to this firm due to all the good stuff i hear about them! Star Alliance is great for swing trading, but day trading they lack a bit. So I want to give a try to CY group! I was told and understand that when I open an account with them, the payout is 98% with 60 cents per 100 shares. Free remote trading, $60 for your Nasdaq and NYSE quotes, and no fee on platform. Was also told that for the first few days your BP is half, so you can get used to the system! Sounds fair enough to me. And what motivates me to come here, is the sweet package they offer after a couple of months of good trading. Something Star Alliance lack. Some people have mention it here, and it is offer to you as you showed you are profitable and a good trader. Thus, I like this structure, and hope that next year I can be also a CY group member! Thanks for all the info!
How do taxes work with a prop firm? From my understanding you are technically a trader working for them? Do they send you something at the end of the year like a regular job or do you still have to do all the accounting on your own? I've never used one of these places or done taxes regularly as a trader...any info is appreciated.
Highly recommend opening up an llc, talk to a tax accountant that specializes in day trader tax. Too much info to list here.
I traded with them about a year ago .... Cy sends you a K-1, so it is an easy single entry on your taxes. There is a yearly tax prep fee.
k1's are only issued if you're profitable so I'm guessing this is why you haven't and won't be receiving any forms in the future?
K1's are usually not distributed until March, genius. As to the question, it depends on how the prop is structured - you will either get a K1 or 1099. Ask you manager/group leader what to expect. Takes about a minute of your time.
WOW! I didn't know they issued K1's or 1099's for paper trading accounts. You learn something new every day. I guess that's why they wait until March to send you yours, delivered with a new box of crayons and a glue-stick so you can glue your "winning trades" on the helmet mommy forces you to wear at home.
once again another "intelligent" response from bigpapi. Hey, did you ever put up your $500, low share deposit for JC? f'n moron.