I was wondering if anyone knows the rules the ATO uses when classifying a normal investor in shares into a trader? Does it have anything to do with the $ amount invested? Does the amount of dividends have anything to do with it? Is there a certain number or $ amount of shares sold which triggers it off? If I was suddenly deemed to be a trader by the ATO would I lose my franking credits? Would I lose the 50% discount on sale in shares and, more importantly, real estate as well?