Replies to post #6044 on Motors Liquidation Company (fka MTLQQ)

[Investorman]

That is correct and what you term a "short term capital gain" is taxed as ordinary income at whatever tax bracket your are in for that year.

The primary difference is that someone who qualifies as a "day trader" is allowed to deduct all his losses against his income just like any other sole proprietorship as opposed to everyone else having a statuatory maximum amount of losses they can deduct against capital gains.