If one has short-term equity losses in previous years that can be carried foward to cancel out emini profits, would it be smart to just use the 40% of futures gains taxed short-term to cancel out losses, and pay the taxes on the 60% at the lower rate, while saving the rest of the losses for cancelling out the 40% short-term profits (hopefully) for the following year? For example, say one had $100,000 in short-term equity trading losses over the last 2 years, and this year one makes 50k in emini profits. Would you use 50k of losses to make all your present gains tax-free, or are you better off in the long run to just claim 40% of 50k (20k) as carry-foward, pay the lower rate tax on 60% of 50k, and save the 70K in previous losses for subsequent futures gains down the road? In other words, keep the 60% long-term gains completely separate and just using the 40% short-term to cancel out from one's previous short-term losses? If one had 100k in short-term losses, you could use this to cancel out the short-term taxes of up to 250K in futures profits, leaving you to pay the long-term rate on the remaining 150k. Otherwise, if you used the entire 100k carryfoward up front, you would have to then pay 60/40 on 150k, which would seem to be a far bigger tax bill. Or is this even legal?