I am a self-employed day-trader. I moved cross country to Chicago to trade commodities in 2019.
I trade everyday and in big amounts, I'd be shocked if IRS didn't count as trader as we trade 1ks worth of contracts each day. In addition to trading I had a few side jobs to help pay bills.
Can I consider myself a business and a trader in IRS terms?
If so do I report my profit/loss in Schedule C as well as my business expenses as a self-employed business owner?
Or, if not, do I report my profit/loss as a 1099-B under contracts and straddles and am not able to deduct business expenses used for trading? I had moving expenses, rent as a home office, utitlies, etc...
If I have to report profit/loss as a 1099-B, can I still deduct my trading expenses somewhere else?
Any help would be greatly appreciated. If need be I can upgrade to home & biz turbotax if recommended.
A couple of links that will provide some good information:
you can't file as Professional Trader unless you made the required election attached to your 2018 tax return by the due date of your tax return.
Without it, you are still considered an Investor.
To file as Professional Trader for 2020, make the election now.
A taxpayer can be a trader and NOT make the Section 475 election.