Form 1099 - Options Reporting

Discussion in 'Options' started by Saint196, Feb 8, 2004.

  1. Saint196

    Saint196

    This is my first year to file a Schedule D with options trades. The brokers do not report options trades to the IRS. If one then includes stock sales and options sales on Schedule D, the totals will exceed what is reported to the IRS.

    Can anyone tell me why options sales are not required to be reported to the IRS? And I ask a stupid question, if options sales are not reported, why is it necessary to report options trades on schedule D?

    I hope someone will enlighten me on this subject, because so far I cannot find any references on any web sites I have visited.:confused:

    Uly
     
  2. hjcolvin

    hjcolvin

    since I started trading I have for the most part traded only options and they were always reported by every brokerage I have used
     
  3. Why are they not reported no one knows. Bottom line is the trader has to manually match buys/sells in options, if they expire worthless, set the selling price to zero and then report to IRS.