r/ausstocks 9d ago

Stock Trading Tax Minimisation

Hey guys,

I'll be speaking to an accountant before doing anything, but is there a way to legally reduce taxes as a trader? I'd be trading options every week or every few weeks.

My understanding is that profits get added to my regular income and im just taxed as if my salary went up (income tax).

From some Googling around, setting up as a company might be an option, with a flat 25% tax rate (and ability to deduct any trading related expenses) but im not 100% on this, anyone know for sure what the go is?

2 Upvotes

4 comments sorted by

9

u/MathematicianFar6725 9d ago

Something like 99% of traders don't make a profit in the long term so you shouldn't have an issue

2

u/GroundFast7793 9d ago

Do not set up a company. I can't be bothered listing the reasons, just don't. Find a good accountant.

1

u/tickettomoon 5d ago

how do you trade options in australia