Do you make 100 to 1,000 option trades a year, including 1256 contracts (broad based stock option indices, like SPX)? If so, what software do you use to organize and compute your option gain/losses? I saw an earlier post where someone recommended Tradelog. Any other opinions? Thanks in advance. Boulder
It does NOT appear that TradeLog supports the correct tax treatment of options on broad based stock indices, like SPX. SPX options are 1256 contracts that are marked to market every December 31st and then receive this marked to market basis as their new basis on January 1st of the next year. Here's a link to a good discussion of the tax treatment of SPX options and other 1256 contracts: http://www.greencompany.com/EducationCenter/GTTRecSecuritiesVsCommodities.shtml Does anybody use option tax software that does properly account for SPX options and other 1256 contracts?
I dont trade index options but i trade regular options and just started using Tradelog. Their tech support was really helpful answering questions and they seem eager to make sure their software works. I would email them and see what they say. They do have a Mark to Market version of their software, that may be what you need. Good Luck!