Taxes for canadian traders?

Discussion in 'Taxes and Accounting' started by acerbits, Apr 22, 2007.

  1. Houses in sask went up a bit over the past few years, bought a 1900sqft house in 2003 for 170g's it's worth about 350g's now. If I sold it and get a place in georgia or something it MIGHT be ok, but I would be emptying out my trading capital if I paid cash, from few hundred g's.... tooo... eh... 5000 bucks lol.
     
    #11     Apr 24, 2007
  2. inf000

    inf000

    WOW wait a second, what did Canada ever do for me.

    except, accepted me into this country when no one else wouldn't

    bestowed upon me free medicare as a human right.

    gave me opportunity to educate myself

    DARN it

    I'll admit to some earnings after all. :)

    this is what separates us for US, they don't care

    In Canada the worst of us care at least slightly
     
    #12     Apr 24, 2007
  3. you have nice size account then,you'll want to declare to the cra then the income from the US broker. not worth the fines and stress if they step on you.
     
    #13     Apr 24, 2007
  4. Hmmmm, what if I transfer the funds to a cayman trust, that way I'd be paying taxes only on funds I bring into canada right?
     
    #14     Apr 24, 2007
  5. inf000

    inf000

    you are a bit slow acer

    read page one of this thread again to answer your question.

    actually save yourself trouble

    I can see you can't pull this off

    sorry, but it takes a bit of mustier mind to do these things
     
    #15     Apr 24, 2007
  6. achilles28

    achilles28


    But a declaration of foreign Corp/Foundation/Entity ownership must be made with CRA. Or else it just appears one is compensated from a foreign company (operating at arms length). When in actuality, one is not.

    Dont get me wrong. Id love for this to be true. PM me if you prefer :0)
     
    #16     Apr 24, 2007
  7. ER2

    ER2

    acerbits,

    I'm a Canadian career trader (futures) also using an American broker. Your gains need to be declared as income whether you keep the funds with your broker or wire it to your Canadian bank account. Of course, losses can be carried forward to offset future income tax (assuming you have a negative year). If you are a career trader CRA will want to tax your success as income (NOT capital gains).

    My best advice is to meet with an accountant for an hour -- the best "investment" you can make at this point.

    Mark
     
    #17     Apr 24, 2007
  8. Thanks for the advice, how do you define career trader tho? does it mean the majority of your income comes from trading?
     
    #18     Apr 24, 2007
  9. ER2

    ER2

    I can't remember CRA's exact criteria but it doesn't apply only to trading. You can't flip houses, cars, goats, etc. on a regular basis and declare it as capital gains. Trading is an income-producing activity. On the bright side, you do get to write off anything related to trading so you get breaks on things like platform fees, computers, etc. (that Joe Investor would not).

    Mark
     
    #19     Apr 24, 2007
  10. hmmmm, I'll book an appointment with a accountant tomorrow.
     
    #20     Apr 24, 2007