how does it work


Question by  moose239 (20)

How do you trade stocks as a corporation?

I need to understand how corporations trade stocks.


Answer by  addicted (186)

Remember the costs of trading will end up being more. Consider these: 1. taxes at corporate income rates 2. profits you take from the corporation'll attract regular income tax rates and also you'll have to pay double social security & medicare (corporation pays half and you pay half).

Reply by jeyR (264):
You will also need to hire a CPA and Attorney initially to get started - more start up cost but definitely better in the long run.  add a comment
Reply by wonderman (201):
Are the taxes the same for an S-Corp? I heard such corporations are not liable for Federal Income taxes  add a comment

Answer by  benji (165)

You need to have a Corporate Trading Account (as opposed to a Personal Trading Account) for starters. The rest will be self explanatory once you have such an account. Your account will give all the terms, conditions, procedures and tips.


Answer by  mb (5482)

Basically a share is part ownership in a corporation. One share is one part ownership. You can have many parts of ownership, mostly used for voting on company issues. Stocks go up or down based on how well the company is doing. Buy low, sell high is the motto.


Answer by  Jalaine11 (2043)

How a corporation will trade stocks depends on the laws of the state in which the corporation resides. You should contact your local finical advisor for the best advice based on where you live.


Answer by  salsafoodie (3146)

A corporation can trade stocks just like regular consumer as they would have to trade with another company. This is common among larger business as the other business is going through bankruptcy.

You have 50 words left!