Tax Planning for Day Traders, by a Trader-CPA
Day trading creates tax and accounting problems that do not fit a standard individual tax return workflow. Trader tax status, Section 475 mark-to-market elections, wash sale adjustments, options and futures treatment, and broker 1099 differences all need to be reviewed together.
As a CPA with a capital markets background who actively trades futures, options, and digital assets, I understand what traders need from a CPA for day traders - practical tax planning, clean records, and advice that reflects how trading actually works.
Who We Serve
- Day traders and swing traders
- Options traders and spread strategists
- Futures and commodities traders
- Proprietary trading firms
- Active investors with significant portfolio activity
- Multi-strategy and multi-account traders
Our Services
- Trader tax status qualification analysis
- Section 475 mark-to-market election guidance
- Wash sale tracking and tax reporting cleanup
- Trading entity structuring for LLCs, S corporations, and partnerships
- Day trader bookkeeping and realized P&L reconciliation
- Cost basis and 1099 reconciliation
- Options, futures, crypto, and multi-broker tax planning
- Tax-efficient retirement strategies for traders
- Broker statement and trade import processing
Common Day Trader Tax Questions
- Do I qualify for trader tax status?
- Should I make a Section 475 election?
- Why does my broker 1099 differ from my trading P&L?
- How do wash sales affect active trading returns?
- Should my trading activity run through an entity?
- How should I track multi-account, multi-broker, or multi-asset trading?
The Difference
Your CPA should understand what a butterfly spread is, how 60/40 treatment works, or why your 1099 doesn't match your P&L. We bring that understanding to every client relationship.