taxes and reporting a loss while trading with a prop firm

Discussion in 'Taxes and Accounting' started by byeung, Feb 23, 2011.

  1. byeung


    This is the first year I traded with a prop firm, and I ended up losing money. The firm is saying they only send out documents to report if I have a profit. However, I found the below link, and now am a bit confused:

    If I don't receive anything from the firm, I think it wouldn't be possible to report a "bad business debt" on Schedule C. Is this right??