FOREX REPORT
Forex trading and IRS tax?
Hi, I just opened a Forex trading account and am wondering how the tax is paid if I happen to win money. The representative of my broker says
‘We do not report to the IRS or any other government agency. How you are taxed/pay your taxes on gains is between you and your tax professional.
If you trade and make $1,000 you can withdraw the full $1,000. We never draw down on any customer funds for taxes.’
But I’m not sure how it works exactly. Would you please enlighten me on this subject? Thanks a lot.
So hire a tax professional.
Forex falls into two categories. Foreign currency trading as part of a business–which falls under line 21 of the 1040 as other income/loss. Or investments that go on schedule D. When you have a loss, it makes a huge difference where you list the money…and you can almost guarantee an audit if you try to claim a loss on line 21.
Forex Report week of 3/19/2007 Forex Strategy
|
|
Building Winning Trading Systems with TradeStation (Book & CD-ROM) $48.89 Praise for BUILDING WINNING TRADING SYSTEMS with TradeStation (TM)”This book will prove vital to all systematic traders. Pruitt and Hill share a wealth of innovative timing patterns and fully disclosed trading strategies. For TradeStation(TM) users, there are powerful tutorials on indicator design and system building. The authors’ vast expertise will benefit even practiced TradeStation(TM) veteran… |
|
|
How to Make a Living Trading Foreign Exchange: A Guaranteed Income for Life (Wiley Trading) $38.96 Solid Forex strategies for capturing profits in today’s volatile marketsHow to Make a Living Trading Foreign Exchange puts the world of Forex at your fingertips. Author Courtney Smith begins with an introduction to the Forex market-what it is and how it works. He then delves into six moneymaking techniques for trading Forex, including his unique Rejection Rule that doubles the profit of basic chan… |
|
|
Sentiment in the Forex Market: Indicators and Strategies To Profit from Crowd Behavior and Market Extremes (Wiley Trading) $39.32 Crowds move markets and at major market turning points, the crowds are almost always wrong. When crowd sentiment is overwhelmingly positive or overwhelmingly negative ? it’s a signal that the trend is exhausted and the market is ready to move powerfully in the opposite direction. Sentiment has long been a tool used by equity, futures, and options traders. In Sentiment in the Forex Market, FXCM ana… |