Huge Tax Break For Traders.

Discussion in 'Taxes and Accounting' started by Free Thinker, Mar 29, 2002.

  1. FOUND THIS ON THE GREEN TAX SITE.CONTACT http://www.greentradertax.com FOR INFO

    Congress just passed temporary relief extending the carry back period from two to five years for 2001 and 2002 NOLs. This is fantastic news for traders, because most traders made a fortune in 1997, 1998 and 1999 and then lost a fortune in 2000, 2001 and 2002 (so far). So now a trader can carry back a 2001 NOL to 1996 through 2000, instead of just carrying it back to 1999 and 2000 (under the existing two year rule). This tax law change has great significance for traders, because many already carried back 2000 losses to 1998 and 1999, thereby already using up the gains in those years. In summary, this tax law change will put hundreds of thousands of dollars in many traders pockets.

    http://www.greentradertax.com/netoperatinglosses.htm
     
  2. God#9

    God#9 Guest

    If your making a living out of trading and your not ""based"" offshore (i.e. BVI). You are paying too much tax (i.e. any).
    Long live the proforma
     
  3. as i understand it you still owe taxes even if you are based off shore if you are an american citizen.if this isnt the case i would like to see the proof in writing.
     
  4. Is the first $70k+ exempt from tax.. like most US expatriates benefit from working in other countries.....

    yes you still have to file tax return
     
  5. What am I missing here? Who are all these traders with such huge losses that they are celebrating the new law, and why are they still in the game?

    Or is this about 'inspired' accounting. :p
     
  6. I think the exemption has been raised to around $80K, plus a housing allowance, plus the wife and four kids, and maybe the dog and cat, all working diligently in the business, plus expenses; shouldn't be that hard to cover 7 figures.
     
  7. nitro

    nitro

    Where/What is BVI? Bermuda?

    nitro
     
  8. British Virgin Islands
     
  9. nitro

    nitro

    thx.

    My wife wants to move to an island. We have been to Aruba, but not anywhere else. Just curious, if you guys recommended a beautiful island where one can trade US equities, where would be your choice, and why?

    nitro
     
  10. We are trying to move our operation offshore; we are going to the Bahamas, either Freeport, close to Miami or Nassau, more to do.

    There are better choices but my wife would kill me.

    The main issue is high speed, i.e. T1s, they are available in Bahamas, not as easy in say St. Vincent.
     
    #10     Mar 30, 2002