Hi All, I established a discretionary family trust last year where I have carried out active share/option trading activities . I definitely consider that I have been carrying out share trading as a business rather than as an investor as I look to earn income through short term difference between BUY and SELL prices rather than income through dividends. I rarely hold a a stock or option for longer than a month before trading out. I am now completing my first tax return and the lodgement form requires me to specify the type of trust code (Trust tax return instructions 2014). My trust deed allows the trust capital to be employed in both long term passive investing and short term trading activities but the reality is that I have only done the latter. Should I classify my trust as : 1) Discretionary Trust - Trading (i.e. Code T) OR 2) Disrctionary Trust - Investment ( Code I) I think the first option is correct but wasnt sure if this option was targetted for people who set up trusts to run a more traditional business? (i.e. cafes, mechanics etc). Any help would be much appreciated.