How would I go about setting up a business of 'Share Trading'?

Hi John

By setting up, do you mean setting up the business structure or setting up share trading and bank accounts etc.

Just for your information I note the following for tax side of things:

Based on if you are a share trader or share investor (for tax purposes) there is a big difference between how profit/gain and loss are treated. If you are a share trader then the profits or loss will be treated on revenue account. If you are considered a share investor then they would be considered on capital account and subject to capital gain tax rules.

The following are factors that can determine if you are a share trader or share investor (for tax purposes):
1. To be considered a share trader, you must be carrying on the activities for the purpose of earning income from buying and selling shares with a systematic approach e.g. with a business plan, systematic research and analysis, etc
2. The repetition, volume and regularity of the activities, and the similarity to other businesses in your industry
3. The keeping of books of accounts and records of trading stock, business premises, licences or qualifications, a registered business name and an Australian business number
4. The volume of the operations - The higher the volume the more likely it will be treated as a business
5. The amount of capital employed - not a very crucial factor in differentiating between a share trader and investor

Regards

Suresh Rajani