Gain from investment vs trading - tax issues

[Crocodilo]

Hello Fellow investors and traders,
I am basically an investor, however started trading in a small way recently. I understand that net profit from trading and the dividend from investment are taxable and there is no capital gains tax in NZ. I am happy to pay tax on profits from trading, but unclear about the tax implication of selling some long-held shares at a profit, while engaged in trading activities in a small way. I heard about trading account and capital account, but have no clear idea how do they work and how does IRD treat them. I would appreciate if some knowledgeable person enlightens me. Thanks a lot.

Crocodilo

[Leftfield]

Hi Croc, Welcome to ST. You'll find tax issues better discussed in various threads in the 'Investment Strategies' section of the Forum.