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Strategies & Market Trends : IRS, Tax related strategies--Traders -- Ignore unavailable to you. Want to Upgrade?

To: Scooter who wrote (1151)	4/8/2000 6:16:00 AM
From: Colin Cody	Read Replies (3) \| Respond to of 1383

What % of the gains will I be paying out?? Scooter you are in likely in the 39.9% tax bracket, which is really a bit higher than 40% because you also lose your exemptions, deductions and credits when you are in the 39.6% bracket... PLUS and State and Local taxes. Is there any way I could put put what I will paying out into a business?? Of course traders can, and do, form S-Corporations or LLCs to run their business of Securities Trading. Once running the business in a corp you might pay yourself a big fat salary, have the business contribute to your defined benefit pension plan, have corporate annual meetings in California (or New York) and so on as described at: traderstatus.com or any way I could give this money to a charity instead of giving it to the IRS?? Charitable deductions will save you 39.6%+ taxes for every dollar contributed. Even better is contributing L-T appreciated assets (you'll save the 20% L-T taxes on these by giving them away, and you'll even get a deduction for the taxes you didn't pay) Colin Cody, CPA traderstatus.com