Trade as an LLC or Individual Investor?

Discussion in 'Professional Trading' started by StockyIrishman, Nov 13, 2006.

  1. I have set up an LLC to trade from. But my accountant isn't sure why I want to.

    Has anyone been "Day Trading" for at least a year or more without IRS issues? I have traded this year as an individual and I figure it is too late to elect MTM for me. But I want to make sure I do it [if necessary] for my LLC b4 it is too late.

    I have read MANY posts, books, and web articles on LLC's and I guess I need to find a good accountant to help advise me. I was asking him ?'s about MTM election and Wash Sales and he said "What's a Wash Sale?":( Uhhh....

    The online broker I am using said they couldn't recommend a lawyer or accountant for legal reasons.

    I set up the LLC a couple weeks ago and don't know if I should keep trading with my personal account and wait until the end of the year to start trading under the LLC or get started A.S.A.P.

    I am sceptical of using an online accounting service. I am in Florida. Any suggestions?

  2. AaronCapps

    AaronCapps Global Futures

    Search Google

    if you do a search in Google for traders account, the two sponsored links that show up are both companies that have been business for several years now.

    You still need to do your own diligence in working with them.

    Also, i have not used either of their services, but i have seen them at tradeshows.
  3. Has anyone any experience with pooling funds using an LLC for multiple investors?
  4. jreadling


    I would speak to the folks at Green Trader Tax. I found them to be very helpful in weighing the pros and cons. Mostly the LLC revolves around achieving Trader Tax Status with the IRS, and opening the possibility for 401K plans/health insurance.