does my trading account have to be institution?

Discussion in 'Professional Trading' started by tradingcards, Sep 18, 2007.

  1. I have a corporation that I just set up this year. I am new to this, so bear with me. I have an INDIVIDUAL account with IB. Part of my corporation profits will be profits from my trading. Does my account with IB have to be changed to an Institution account to report these profits on my corporation? Or can I just keep my individual account and report profits on a special tax form?
  2. Sure, you can always open individual accounts even if you are a tycoon.

    While there MAY be a slight tax advantage of corporate accounts vs. individual accounts, most very wealthy people really open corporate accounts to protect themselves from litigation issues; specially when they can be sued for other business (not related to trading), and the usual divorce threat.