Can/must a non-grantor trust be considered as having trader status for tax purposes if its trustee manages it that way?

[user17575517956]

If a trustee to a non-grantor trust is trading in such a way that would ordinarily constitute trader status were they operating as an individual, can/must the non-grantor trust be considered to have trader status for its own tax purposes?

[M-MTax · Accepted solution]

The simple answer is "Yes, the qualifications would be the same for trader status".

However, since trusts are most typically investment vehicles, qualifying may draw stricter scrutiny.

[user17575517956]

Is it qualifying in and of itself that might draw such scrutiny, or would it be in some way acting upon it, if that is even optional (I don't know)

[M-MTax]

No. It is you who state that the qualifications have been met (by the manner in which you report), which the IRS may then challenge (or not).