1. If I buy and sell stocks, how does the law decide if I am a
·
dealer,
·
trader, or
·
investor?
2. How different is the tax treatment in each of these categories?
Answer to Tax Quiz
As a person who buys and sells stocks, you will see a huge difference in how the law treats you in the following tax classifications:
1.
Dealer
2.
Trader
3.
Investor
In this answer, we will discuss how the law decides your classification and what that means.
Dealer. You are a dealer if ... Log in to view full article.