What Are The Tax Implications Of Trading?
The basic layman's (non-qualified) answer is: Yes, you’ll pay taxes.
Because our focus is on day trading...all earnings will be taxed as ordinary income.
Generally speaking, the more money you make from trading, the more taxes you’ll pay - because you only pay taxes on profits - at least in most places in the world we know.
Of course, every country has its own tax laws and regulations, so consult with your tax adviser first for specific advice based on where you live and your financial situation.
If paying taxes bothers you, then ask yourself this... would you rather not make money so you don't have to pay taxes?
We wish we were paying millions of dollars in taxes, because guess what that would also mean? :-)
Yes, there is tax involved in trading, and it depends on each trader's location and tax laws.
Generally speaking, the more profit a person makes in trading, the higher the tax involved.
Every country has its own tax laws and regulations. If a trader considers tax implications in trading, we would advise consulting an adviser first for specific advice based on where you live and your financial situation.