I have been looking into stock market for a while and now I researching on FOREX (Foreign currency exchange). I know while on H1 we are allowed to be a passive investor in a company. But buying and selling stocks might be considered working as a broker, even if I do it for myself and thats not allowed. Is that right? I recently talked to an investment education firm, where they give me the option to trade FOREX through their broker. Am I allowed to do that? What exactly differentiates being passive investor as to being a broker? Is there a volume limit on H1 that if I trade more than that it might be considred a job? I am confused. Please advise.
FOREX and Stocks trading in H1 status
- Thread starter PatFrndly
- Start date
Ensure you won't deduct expense in 1040 Schedule C
Once you do it, you'd risk deportation
raviobbu said:As for as my exposure goes open market transactions like these are never a problem...not in immigration angle...investment choices u make with u r money in other words capital gains/losses ...no ...immigration has nothing to do this here in u r case...same goes like u buy a home and sell and make profit thats u rs....make sure u report income to IRS
Once you do it, you'd risk deportation
Schedule C is not Schedule A
Raviobbu,
FYI, investors report their capital gains and loss on Schedule D, and deduct their business expenses on Schedule A, subject to a threshold of 2% of AGI. If H1b folks deduct their expenses (home office, computers, cable fees, etc) on Schedule C, Profit or Loss From Business, their are telling IRS that they treat their trading as active investment and have engaged in unauthorized self-employment.
I'm not a lawer, but the above issue is apparent in the immigration law.
raviobbu said:
Raviobbu,
FYI, investors report their capital gains and loss on Schedule D, and deduct their business expenses on Schedule A, subject to a threshold of 2% of AGI. If H1b folks deduct their expenses (home office, computers, cable fees, etc) on Schedule C, Profit or Loss From Business, their are telling IRS that they treat their trading as active investment and have engaged in unauthorized self-employment.
I'm not a lawer, but the above issue is apparent in the immigration law.