Is it a good idea to trade from behind a company

Discussion in 'Professional Trading' started by lasner, Mar 9, 2006.

  1. lasner

    lasner

    I've been trading full time for myself this past year and have made some really good returns.

    I have an L.L.C. formed and I was wondering are there more write offs when you have an L.L.C then when you don't?

    Does having an L.L.C. give a good amount of tax benefits?
     
  2. CONR

    CONR

    Get a good securities lawyer and CPA. They are the only people who can answer your question intelligently. If you still want answers from here do a search it has been discussed many times.
     
  3. There's almost no situation I can think of where having a properly set-up LLC would not offer SOME benefit. The downside to an LLC is the extra fees and costs and bookkeeping required.

    But just going out and using any old LLC that you happen to have may or may not be a good idea. "Skeletons in the closet," aside, for trader status, the set-up is important if you want to preserve your rights and tax benefits to the fullest.

    So I'd probably give a qualified YES, your LLC might be of some value to you as an entity to trade from.