If my only taxable income is from profits made from buying and selling stocks and stock divideds, and those profits are less than $10,000 do I have to file taxes on it?

[ghostc6]

Single with no dependents

[MichaelL1 · Accepted solution]

Your income taxes would be $0, in your case, however I would file a tax return and here is why.

IRS will get information on all the sales, and if they match it to your return (which won;t be filed) they can and have in the past:

Shown the sales all as income with $0 cost basis

and all as short-term gain.

So if you bought a stock for $10,050 and paid $10,000 for it, they would show it a $10,050 gain versus a $50 gain.

[ghostc6]

I assume if my profit is over $10K then I do have to for sure. I am currently on track to do better than $10K so I guess the tax man will cometh and expect his pound of flesh.

[MichaelL1]

Take a look at this link for filing requirements:  <a rel="nofollow" target="_blank" href="https://ttlc.intuit.com/replies/3302274">https://ttlc.intuit.com/replies/3302274</a>