Tax Info - Protecting Profits

Discussion in 'Taxes and Accounting' started by Sylvor, Sep 16, 2006.

  1. Sylvor


    I'm searching for solid information regarding taxes in relation to trading. I currently trade about 20 hours a week and own a small technology company. I'm selling my business to a larger competitor, and plan to trade full time next year.

    Most of my trades are intra day with some longer position (up to 3 months) mixed in. My portfolio is up about $40k this year and I know I'm going to get killed come tax time.

    I've reviewed the Green Tax Trader site another member posted in a different thread (, but would like some feedback and additional options to review). I'm looking for accounting / legal firms that specialize in working with active traders, my current firm does not.

    Specifically, I'm interested in

    1. What type of trading entities are available? (General Partnerships, S-corp, LLCs, etc.) and the pros and cons of each.

    2. Companies that provide services (accounting, legal) ET members are using. (either positive comments or ones to stay away from are welcome).

    3. What other questions should I be asking. Are there some pitfalls to watch out for.

    Thanks in advance for your help.