leap options

Discussion in 'Options' started by ggelitetrader000, Jun 13, 2017.

  1. I found that the options that are bought a year or more in advance called leap and says it is long term investment. I am not sure on either. If I buy options with expiration date Jan 2019 as of today June 13, 2017, is it considered a leap?
    If so, is it taxed as long term investment if I hold it for more than a year?
     
  2. vanzandt

    vanzandt

    yes and yes
     
  3. Check with your TAX guy! For example, if the position is an SPX contract (a section 1256 contract), I think it will be 60/40 (long term/short term) regardless of the time held!
     
  4. truetype

    truetype

    dealmaker likes this.