In the past on years that I lost, I can only take a maximum of a 3k loss for the year. My question is, the expenses associated with trading (ie. the cost to buy and sell), can I write this off without that being associated to the profit and loss of the stock?
2007-03-29 10:46:38 · 5 answers · asked by attsthadams 1 in Business & Finance ➔ Taxes ➔ United States
No. The costs to buy and sell stock adjust the cost basis and sales proceeds. You are limited to a $3,000 per year capital loss deduction. These costs are not deductible as itemized deductions either.
2007-03-29 11:04:12 · answer #1 · answered by tma 6 · 1⤊ 0⤋
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2016-02-15 23:33:04 · answer #2 · answered by Anonymous · 0⤊ 0⤋
No. For income tax profit or loss purposes the commissions you paid are not considered seperate from the money you lost.
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2007-03-29 10:57:42 · answer #3 · answered by Anonymous · 1⤊ 2⤋
No, the commission you pay to buy the stock is part of the cost basis of that security.
the commission you pay to sell the stock is deducted from your gross proceeds before you calculate your profit or loss.
2007-03-29 12:00:29 · answer #4 · answered by Jo Blo 6 · 2⤊ 1⤋
Yes, itemize your expenses. You still get only the three thousand limit to deduct on capital losses.
2007-03-29 10:55:41 · answer #5 · answered by regerugged 7 · 0⤊ 4⤋