Is it a tax gain or loss for liquidated stocks from margin trading account?
I had a margin tradimg account where stocks were liquidated due to a margin call. The transaction itself was a gain, but the full amount was used to cover the call. Is this considered a capital gain or loss from Tax reporting perspective?
The gain/loss would be based on the stock
transaction, not the amount that the brokerage took after. However, you can
deduct any margin interest charged as an expense.
