Entity & Benefits Plan Tax-Advantaged Solutions 2016 (Recording)

17 May

Entities save traders significant taxes.

May 17, 2016 at 4:15 pm EST


Recording

Description:

Join entity tax expert Robert A. Green CPA as he explains the following:

- Employee-benefit plan deductions: Traders who qualify for trader tax status (TTS) unlock health insurance and retirement plan deductions using an S-Corp trading company or C-Corp management company. Individual retail traders don’t have self-employment income so they cannot have employee-benefit plan deductions. See examples of saving $7,000 to over $16,000 in taxes.

- Tax loss insurance: Traders in securities with TTS benefit from a Section 475 election: It exempts them from wash sale loss adjustments and a capital loss limitation. It’s better to ring-fence Section 475 trades within an entity, segregating them from investments in individual taxable and IRA accounts. New entities may elect Section 475 within 75 days of inception.

- Best entities: Learn the best choice of entity for different situations. An S-Corp is best for maximizing employee-benefit deductions; otherwise, a partnership tax return works well. A C-Corp is inappropriate as a trading vehicle, but okay as a management company. In some cases, having a trading company and a management company is helpful.

- Best retirement plans: Learn the basics on Solo 401(k) defined contribution plans and more powerful defined benefit plans.

- Timing: Mid-year is an excellent time to form a trading entity. It breaks the chain on wash sales in your individual taxable accounts and there’s plenty of time to maximize employee-benefit plan deductions for the entire year.

Our live event is complimentary and we plan to offer a complimentary recording.

Related blog posts:
Active Traders Should Consider An Entity For Tax Savings
Safeguard Use Of Section 475 By Trading In An Entity

Testimonials

I've used Green NFH for three years now, and they have been great each time. They understand the tax world for traders better than anyone else. I am able to relax knowing that my taxes will be done right. Thank you Green NFH. 

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