Forex tax code is confusing and uncertain, making tax filings difficult for forex traders. Some types of forex trades are treated as Section 1256 contracts with lower 60/40 tax treatment (after filing a timely internal capital gains election), and other forex trad ... Read more

A potential new “financial-transaction tax” assessed on trading transactions would significantly increase taxes on traders. Imagine breaking even for the year and having to pay a $50,000 tax (0.25percent tax times $10 million of sales proceeds and $10 million of purch ... Read more

*Expected Tax Changes in 2009. *H.R. 7123, the Middle Class Investor Relief Act, which would increase the limit on capital losses from $3,000 to $20,000. *Excerpt from Green's 2009 Trader Tax Guide (before editing). *New IRS rules on adjusted cost basis and holding period. We discussed t ... Read more

A trend is not your friend The IRS won a few tax court cases over the past few years; disallowing trader tax status and IRC Section 475(f) mark-to-market accounting (MTM, ordinary loss treatment) for "close call" traders. Unfortunately for all business traders, a ... Read more

Uncertainty in the tax code makes tax filings for forex traders much too confusing. IRS Notice 2007-71 (established Aug. 27, 2007 ) reverses IRS Notice 2003-81 . IRS Notice 2007-71 narrowly (yet definitively) addresses the tax treatment for "o ... Read more

The Tax Reduction and Reform Act of 2007 (H.R. 3970) is still on the table. If enacted, it could have profound tax consequences for traders. By Robert A. Green, CPA You all know the popular line, "There are two things that are certain in life: death and taxes." Th ... Read more

December 19, 2007 Another annual "patch" for AMT in 2007. As a short-term remedy ("extender" or "patch"), while big tax change proposals are being debated (which include AMT), Congress once again acted to temporarily fix AMT for the current tax year (2007); in the same way they have patched i ... Read more