Hello I recently did STASH, an online investment for simple stocks and investments. If i am a dependent under my family, and I have to file a 1099 form. does that affect me and my family?========>>You still need to file your return as a dependent and are still be claimed by your family member’s return.For example, if you have only earned income , then you must file a return only if the total is more than your standard deduction for the year ,$6.3K in 2015.Ib=n your case, if you have has only unearned income, I mean your investment portfolio income, must file a return if the total is more than $1,050 for 2015.
If invest 30 dollars. and it gained lets say for example sake, 5 dollars. and by the end of the year and when i file taxes, I have to file the 35?==>No; you need to report your capital gain, either long term or short term; however, if your tax bracket id lower than 25%n then you pay no long term capital gain tax on your long term capital gain.however, Short-term capital gains are taxed at your ordinary income tax rate and are defined as investments held for a year or less before being sold.
and if I lost money but it went down to 25. I still file for such small amount? =====>Yes as you need to claim your capital loss; Any calculations you make shoud be entered on IRS form D/ form 8949. You will be limited to a maximum of $1.5K as single filer.
• I am unclear of the procedure here and was told on the website that I have to file a 1099 form when they present that to me in february 2016. =====>>No unless you are a professional dealer, you do not need a 1099 or Sch C of 1040 for your capital gain from your portfolio investment, but you need to file Sch D of 1040 / Form 8949 and report the gain on your 1040. Professional traders need to report trading gains and losses on Sch D/form 8949, just as you would if you were filing as an investor, So traders . need to report the allowable deductions associated with your trading business on Sch C. In Box A on this sch C , they will describe themselves as "securities traders." Sch C generally doesn't have any income on it because their income is capital gain on Sch D/f8949. The total of their trading deductions shows as a loss, which carries to line 12 of Form 1040, reducing the amount of tax they pay on trading gains or other income.