How to write off trading stocks expenses

Forum|Forum|5 years ago
December 15, 2020
2 replies
27 views

I am a day trader for stocks. I trade using robinhood and get 1099 at year-end. Someone told me I could deduct my trading stocks related expenses (e.g laptop, home internet etc). the way they told me is that I would open my own LLC and report my income on Sch D as capital gains/loss then enter all of my expenses on Sch C under that LLC? Is this correct? Wouldn't this make my Sch C at loss every year?

I spent 40hrs 4 weekly trading stocks & have over 800 transactions to proof I am a day trader.

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itonewbie

Level 15

You seem to have gotten lost in cyberspace. For questions related to individual taxpayers, you may like to visit the TurboTax Help site for help instead. This Community is open only to tax professionals and does not answer consumer questions.

---------------------------------------------------------------------------------Still an AllStar

S

stech786Author

Level 2

Thanks Google Maps!

fyi - I am a tax professional

abctax55

Level 15

IF you are a tax professional, do your due diligence & research the issue. Research mark to market, and what is necessary to 'proof' that you are a day trader, and the required elections that are necessary.

Or ask those *someones that told you* how to handle this complex situation.

HumanKind... Be Both