Study Notes:
Interest
Savings and bond interest
Certificates of Deposit and Commercial Paper
US Treasury bills, notes and bonds
Muni interest and the AMT
Amortization of market premiums and discounts
Original Issue Discounts (OIDs)
Dividends
Ordinary Dividends
Qualified Dividends
Dividends from Money Markets
Dividends from Mutual Funds
Reinvested Dividends – including Automatic Dividend Reinvestment Plans (DRIPS)
Payments in Lieu (PIL) – received
Capital Gains – Stocks and Mutual funds
What are tax lots?
Tax lot methods
Holding periods
Tax rates
Capital Gains – Bonds
US Treasuries
Corporate Bonds
Bond discounts and premiums
Capital Gains – Special Considerations and Products
Calculating basis – what to do when a security isn’t covered
Wash Sales
Index Options – IRC Section 1256
Commodities
Foreign Exchange gain and loss
Publicly Traded Partnerships and ETF Trusts
What are they (definition)?
Why are they different and how does this impact taxation?
Distributions (Dividends)
Return of Capital
K-1 information
Cost Basis for gain and loss on sale
New Section 199A 20% business income deduction
Net Investment Income Tax
History
Who it impacts?
What income is subject to this tax?
Special consideration for partners/businesses
Trading Expenses
Payments in Lieu (PIL) – paid
Interest
Dividends
Margin interest
Stock borrow/loan fees
Advisory fees
Account fees
Tax status – Are you an investor or a trader?
What is an investor?
What is a trader?
Requirements
Advantages/ Disadvantages
Tax and Audit considerations
Section 199A 20% deduction
Retirement Accounts
Types of Accounts
Tax Considerations
4 thoughts on “US Taxes for Traders and Investors – Overview”
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Disclosure: Interactive Brokers
The analysis in this material is provided for information only and is not and should not be construed as an offer to sell or the solicitation of an offer to buy any security. To the extent that this material discusses general market activity, industry or sector trends or other broad-based economic or political conditions, it should not be construed as research or investment advice. To the extent that it includes references to specific securities, commodities, currencies, or other instruments, those references do not constitute a recommendation by IBKR to buy, sell or hold such investments. This material does not and is not intended to take into account the particular financial conditions, investment objectives or requirements of individual customers. Before acting on this material, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice.
The views and opinions expressed herein are those of the author and do not necessarily reflect the views of Interactive Brokers, its affiliates, or its employees.
Disclosure: Tax-Related Items (Circular 230 Notice)
The information in this material is provided for informational purposes only and does not constitute tax advice and cannot be used by the recipient or any other taxpayer to avoid penalties under any federal, state, local or other tax statutes or regulations, or to resolve any tax issue.
Hi, do you have any suppport to Brazilian Incime Taxes?
Thank You.
Hi Mauro, IBKR does not provide tax advice. However, you may find this page helpful on our website: https://www.interactivebrokers.com/en/support/tax-nonus-initial.php
Would love to see an updated version of this video for 2023 or 2024.
Thank you IB.
Hi Ray, we appreciate your question. This will be added in the New Year!