Discussion in 'Professional Trading' started by fogut, Dec 14, 2008.
Does anyone know the process for getting your trading record audited ?
Take your monthly statements to a CPA. Expensive.
Do you know how expensive it is ?
Is it correct that the purpose of getting your trading record audited is to establish the legitimacy of your record ?
Does anyone have any personal experience of getting your trading record audited ?
you only get audited for failing to pay tax if you owe money.
your 'annual' p/l statements shows a profit.
Yes, an audit in this context is to "verify financial records"...
Years ago, it cost $5,000 per year for less than name-brand auditor.
Yes and it is not fun. What type of gains are you talking about? Many ways to get an audit. I was dealing with a shady day trader accountant and all of us got hit. I know of other who got one from dealing with a sneaky/s-bag llc(they gave the trader one amount and sent in to the IRS another amount).
What you need to do is print out your runs every day. Save them in a box, and if they come knocking say here have fun. I worked for the state before i was a trader and was in the audit department. It is easy to turn someones life upside down.
timertrac.com audits trading records.
You're talking about an IRS audit... OP is asking about a "financial audit" to verify performance. Note even remotely related.
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