> Maybe I quit being the sole proprietor of my business in order to day trade, thereby escaping payroll and income taxes. [...] What's the argument against this

> Maybe I quit being the sole proprietor of my business in order to day trade, thereby escaping payroll and income taxes. [...] What's the argument against this? The argument is that, it doesn't work like you think. If you're day trading chances are you're generating short term gains (or losses). Mist day traders don't hold positions 1yr+. Second as a sole proprietor your still responsible for payroll taxes, or what becomes known as self employment tax. http://www.marketwatch.com/story/do-you-owe-the-self-employment-tax-2013-08-20 http://www.marketwatch.com/story/do-you-owe-the-self-employm...