I was researching index versus equity options, and saw on reddit someone made this comment: "That's why i stick to the European equivalent indexes to the spy qqq which are Spx and ndx. Those indexes are cash settled, so you can never get assigned, and also they are taxed as long term capital gains, even if your day trading. This way you keep more money at the end of the year" Wait, you can get long term capital gain treatment even if your holding period is a few days? I don't buy that - isn't that dead wrong? Thanks!
I trade the QQQ options daily and overnights, cool! Heartbreak time - QQQs, SPYs, etc are not index options, but I suspect you knew that already.
Section 1256 contracts get 60 long/40 short tax treatment. They are reported on Form 6781. I would suggest that you read a book or two on options and futures trading.