How To Trade Stocks Inside An LLC (Trade As a Business)

[@ClintCoons]

Would you like to learn more about day trading inside an LLC? Schedule a free consultation here: aba.link/5dw

[@kevinl20082008]

Thank you this was very informative. Been looking for something like this.

[@DIYerGirl]

Informative, thanks!

[@YaSoFine]

Question: Thank you so much for the Video - very informative. One question: 1) How to deduct expenses from trading such as computers, education, etc? The LLC will have carry those expenses? The trading income minus the expenses will flow to my 1040? is that so? 2) Are there any Transfer Taxes or other taxes of some sort when you roll your personal trading account to the PPT? ( what if its just cash in your Trading account - as a day trader you dont hold any stock position over night) Thanks

[@ClintCoons]

The LLC pays a management fee and income split with the corporation. The corporation is the entity where you take the expense.

[@cwhayes1]

Two important addditions. A Trust with the same beneficiary and Trustee is a merged trust. You can make yourself the beneficiary and you can also be one of the beneficiaries and have a second beneficiary with 1 percent interest in the trust. That way it's not a merged trust. the other addition - you mention that the trust structure doesn't provide asset protection. It should be a separate entitty and thus not attachable.

[@rawhide1231]

Good stuff, thanks

[@ClintCoons]

You bet

[@snipertrader7]

Hello Clint, could you please make a video on creating trading business as well? Thanks

[@ClintCoons]

I'll definitely consider it for future content

[@rogerp1477]

kzbin.info/www/bejne/pHSklJePf56YnLc He already made this one, I think.

[@rogerp1477]

We move into LLC both individual accounts and IRA accounts? or just Individual ones? Thanks.

[@ClintCoons]

To get the best answer tailored to your specific circumstances, I recommend scheduling a free consultation with my team. Visit: aba.link/5dw

[@srinikoganti]

One important question though. How are short term capital gains are taxed ? Would they be taxed at Corporate tax rate of 20% or personal short term gains rate ? Thanks

[@ClintCoons]

STCG only apply to individuals not C-Corporations. The tax rate is your personal income tax rate.

[@ThanhPham-mk6ni]

Do i need to create an operating agreement for brokerage account?

[@ClintCoons]

Yes you do

[@maxhunter3574]

What LLC is best for tax savings, S?

[@ClintCoons]

I recommend registering for a complimentary consultation with my team. We'll tailor our advice to your specific needs. Sign up here: aba.link/5dw

[@MikeD-rd7jn]

I opened an LLC to day trade but not able to find a bank to link it to my LLC. Most banks don’t support day trading as a business. Do you have any recommendations for banks that will give you a business bank account for your day trading LLC ? Also, do you have any recommendations for pro trading accounts? I tried to open an account with Charles Schwab but they have a minimum of $250 K

[@realrajiv]

Hey. So I am a day trader with llc taxed as s corp. business account in fidelity. I was able to check Amex business checking account since I have Amex card. The only other bank that I was able to open an account in was Bluevine. But I reworded a bit in terms of what I do. Business will be investing in real estate stocks bonds and other similar investment products. Worked 😀

[@ClintCoons]

In this scenario we will set up a trust to hold the trading account and place the trust in a LLC. This is a workaround for the exchange fee on business accounts under 250k.

[@JohnBiddenTV]

Hi, if my LLC is already registered with my state, can I still create Wyoming LLC with same name from my state?

[@omidjesmi9244]

Thank you for the informative content. Will I be personally taxed on the gain when transferring my existing personal Schwab account to the LLC account?

[@ClintCoons]

I would recommend setting up a free consultation to talk about some strategies and how they apply to your unique situation. Sign up here: aba.link/5dw

[@myrten3124]

What if I have some stocks in operational business LLC and would like to move them to separate LLC? Can I ask a broker to do this directly and then write it in books as distribution/contribution?

[@jehuhand8176]

Most places allow you to journal over positions. Best for the trading llc to be a subsidiary and document the transfer as an IRS section 351 contribution, do your research on the rules

[@ClintCoons]

@jehuhand8176 has the gist of how to do what you asked

[@hoopie1022]

🔥🔥🔥

[@AlexOptionsSeller]

quick comment, you mentioned if you form the LLC with a spouse, it would be a partnership.....spouses are still considered as one for tax purposes, so no partnership return form 1065 is filed you still file under schedule C in your 1040 as a disregarded entity

[@ClintCoons]

Spouses can elect partnership tax treatment for their entity. If spouses hold an interest in an LLC the default tax election is partnership. If the spouses reside in a community property state the spouses may elect out of the default partnership status and instead choose disregarded.

[@harristran449]

curious what does the taxes for such a setup will look like?

[@SueZMoliks]

And... would it be advisable to have any checking accts/banking accts that transfer $$$ to be based in Delaware ...for added charging protection against the LLC etc😲?

[@tommason9753]

Probate still avoided with beneficiary interest being in a LLC?

[@ClintCoons]

You need to place your LLC in a living trust to avoid probate.

[@Me2-Kyaw]

Can beginners as first day of day trading sign up for LLC?

[@ClintCoons]

Yes If you would like a FREE 30-minute consultation, you can request one here - aba.link/clintss or you can send me an email at [e-mail], and I will have someone contact you.

[@tjefferson8495]

Under this structure can the LLC charge a management fee for overseeing the PPT? Also, can the LLC also engage in other asset management activities?

[@ClintCoons]

Correct

[@davidqi8073]

Hi Clint, do i have to set up an WY LLC for the asset protection or any state LLC will offering the same protection? How is the cost to keep the WY llc in good standing each year? Thanks

[@ClintCoons]

Wyoming offers superior asset protection from outside creditors I.e., your personal creditors. To keep the LLC in good standing we offer this service to our clients. If you would like a FREE 30-minute consultation, you can request one here - aba.link/clintss or you can send me an email at [e-mail], and I will have someone contact you.

[@ThisGuyRocksLikeCrazy]

If you are from a different state aren't you supposed to pay your own state some tax because of your LLC in Wyoming? If yes, wouldn't everyone figure out you have an LLC in Wyoming that they can go after?

[@ClintCoons]

No because your tax returns are not public.

[@ricardomax84]

Is it the same when you are a non resident alien with a wy llc?

[@ClintCoons]

Generally no. Typically only an LLC will be used for holding US equities.

[@filicasillas]

Will this structure work for precious metals as well?

[@ClintCoons]

Yes

[@kwasp3921]

I currently have a margin account at Etrade . Can an LLC have a margin account?

[@ClintCoons]

Yes

[@PropertyTotalManagement]

Do you have any videos on non revocable charity trust to save on trading taxes?

[@ClintCoons]

I do not

[@PropertyTotalManagement]

@@ClintCoons do you recommend them?

[@mvmlogistics2372]

WAYYYY TOO much work for wanting real time data… Simply sign up with another broker that has free data… You can transfer your positions too without selling anything..

[@BossChronicles]

how abut if you have multiple brokerage accounts like fidelity robinhood vanguard etc

[@ClintCoons]

You can use the same LLC.

[@joshandshonniethomas9331]

So if we setup in WY, would we have to register as a foreign entity in the state we reside in??

[@ClintCoons]

I would recommend setting up a free consultation to talk about some strategies and how they apply to your unique situation. Sign up here: aba.link/5dw

[@Giggidygiggidy12]

If I reside in CA arent we reuqire to also have an llc in CA sonce thays where we are trading from? Thats what Chase bank told me. Also how do you avoid the broker professional fees when you're tradong as an entity. I was yold yhey automatically categorize your account as a professional and your data fees all triple?? Os there a way around that?

[@ClintCoons]

You do not need a CA LLC for trading. To avoid the fees you must set up the account under a personal property trust and have that owned by your trading LLC or keep a personal account for the real time feeds.

[@李洛傑]

Can I as foreigner owned trade LLC ?

[@ClintCoons]

Yes you can set up an LLC.

[@someoneyouknow2783]

Does this strategy also work for full time crypto traders? Thanks in Advance!!

[@ClintCoons]

yes

[@Abidjan-weekly]

you lost me.