Stock Markets Exposed
Penny Stock Tax?
Recently started playing the stock market. How much do I have to pay for taxes if I play with penny stocks? Is it 30% on all transactions? There are stocks in which I invest $200 and left with $600 and there are some where I invested $150 and left with $20. So how does it all work? All stocks were "flipped" within one year. Any ideas?
Public Comments
- I suggest you to hire an Accountant to do your taxes. If you make a mistake you can be arrested for tax evasion.
- It is called short term capital gains. You will have to fill out the capital gains/losses worksheet. On it you will figure out how much you gained and also figure out how much you lost. You will then subtract your losses from your gains. If the net is positive, you have a capital gain that must be reported on your income tax. If you have a negative number you have a capital loss that can off set other capital gains, or can be carried over to next year to off set next years capital gains. The instructions are with the form.
