Accounting Software for "Day Trader"?

I can't really address your software issue but ...

Would you mind sharing why you believe a Limited Partnership and also an S-corp is needed or provides some benefit for buying and selling various securities?

==You could use either Peachtree Accounting or Quick Books. While they are able to handle receivables and payables, you do not have to use that phase of the program. I use Peachtree for cash basis accounting for some companies and for accrual basis (Receivables and Payables) for others. I even used it for single-entry account at one time by just debiting expendidtures and crediting sales and, to avoid double-entry per se, I used a clearing account as a credit to expenditures and used it as a debit when crediting income accounts.

Any accounting program can be adapted.

In your case, you probably would want a Cash account and a Retained Earnings account or some kind of equity-type account.

Great follow up Art. I'm curious about this as well. I don't recall the details but I have some vague recollection of some special issues for S Corps that garner more than a certain percentage of their income from passive activities, which I THINK would include day trading.

If this guy isn't careful he could wind up paying MORE tax because of setting up incorrectly.

Gene E. Utterback, EA, RFC, ABA

text -

Along with Art & Gene i would question the entity choice. As for accounting, I ask my clients to use Gainskeeper. I believe, if you do a search for the product, you'll find a free trial. It keeps track of ALL transactions (wash sales, cost basis changes,etc)

There could be benefits by changing the method of accounting, using mark to market and sole proprietor status on Schedule C. Check out the topic Topic 429 - Traders in Securities (Information for Form

In many places of the tax code passive income is defined as royalties, dividends, interest, etc. See for example

S Corps in California have a tax which is the larger of $800 or 1.5% of income.