Critter-3
You keep asking this question and getting answers but are you reading/understanding them ?
It seems like you have pre conceived bias either against me or my posts.
Since I asked question, it means that information i wants to know and I don't know the answer. At the same time I did some research posted some examples what are possibilities or how it could look like?
I did mention in earlier post I am NOT yet able to find suitable (with experience in a situation like me) CPA/accountant locally. I did find in some other state. That person has expertise primarily dealing with stock/derivative traders. He charges $350/hour consultation fees and their 'minimum" tax preparation fees is $1500 plus hourly on top of that. I never thought CPAs hourly rates are similar to lawyers. He uses "special" software (TT or quicken is NOT good enough for him, which client has to pay extra) and that software company pays him rebate as well (this information is in disclosure). I have to provide every thing electronic copy which he will import nothing manual entry. Since he is NOT a lawyer but he has a buddy who will take care of legal stuff of entity formation. I can go my state's secretary of state website and apply for new entity but that CPA use a special company who forms entity for trader (of course there is fees paid by client and rebate to CPA).
It seems like every one is trader these days and these people see Gold Rush. It seems like there is very little or none savings after deducting all of my trading related expenses and paying CPA related fees (right now it seems like CPA related fees are much more than any trading related expenses. I can buy decent Trading Computer under $1500). Not sure if I want to pay $5000- $10000 per year for my taxes and entity related expenses. Right now I am just paying $50 for TT software and DIY and no deduction of any expenses. Traders are audited lot more often. Their audit representation rates are through the roof. To me it sound like "first create a problem by luring people into entity formation then get hired to solve to the problem".
On one hand he is glorifying benefits of TTS and 475 election and entity esp. S corp formation. But when I look I potential savings. Even with deductions/tax savings (this includes his fees) of all this, I will still be in red (right now I am NOT able to deduct these expenses).
To me sound like I will paying him to run his business. To me in order to deduct 100 (almost 40% tax saving at top tax rate) and I will be spending like another 100 to look like professional (with entity formation).
If someone is offering to charge me $1000/year in book keeping. I want to understand what exactly he/she will be doing in my case when there is NOT much book keeping as my trading business is NOT same as any typical business. There are NO employees (other than owner) and customers or invoices or bill to pay etc or money moving in or out of entity. Whatever money is, it stays within entity.
