capital forex
What is the tax rate for foreign exchange market?
What is the tax rate for foreign exchange market? About a year ago, I even spent thousands of dollars in the Forex market. I have more to lose than win. In general, I've won about $ 7000.00 (my loss is above this value). My question is: what will the rate of capital gains tax is for this type of situation. My regular income is below $ 20.0000
Does records state that you expect to be taxed IRC 1256 (exemption of capital gains) rather than IRC 988 (common interest income)? If yes, then when you get to the end of 1099 year will be a 60/40 activity in Annex D. 40% is considered short term and 60% long term. The long term benefits could get a better rate of tax in the short term. (If for some reason you do not get the 1099, must still report the income.)
137. An Introduction to Forex Capital Markets (FXCM)