profitseer, When electing MTM for futures you do lose the 60/40 split for capital gains treatment as crackedback pointed out. So in your case right now MTM does not make sense if you are up and trading futures. Remember the MTM election needs to be made by 4/15 of the current tax year to apply all year long. There is no deciding at year end when you want to use it and that hurts alot of traders! I do not think you would be be saying this if you incurred large losses after the 4/15 deadline and could only utilize 3K instead of the full boat of losses. Your having a profitable year - congrats!! But there are alot of people out there who at the end of the 2002 tax year are going to be wishing they made that election on time! It could be the difference of trading another year or not Good trading to you. (don't like luck!)
I'm so glad this thread has materilized. Thanks for starting it, limitdown. I've had some VERY BAD experiences in regards to this that I'd like to share, but I don't have the time to write a long post right this second. My experiences have to do with just what you were talking about in your initial post, limitdown and I'd like to help save other traders from going through the grief I did last year in regard to this. I'll try to be back later or by tomorrow and post more. But for now will say be very careful who you engage in relation to this.
FELLOW TRADERS!!!!! I COULDN'T FEEL MORE STRONGLY OR WANT TO WARN YOU MORE STRONGLY TO BE VERY VERY CAREFUL WHO YOU HIRE OR BECOME INVOLVED WITH IN REGARDS TO DOING YOUR TAXES!!!!! DON"T LISTEN TO SOMEONE ELSES HYPE!!!! PEOPLE CAN MAKE ALL SORTS OF CLAIMS BUT THINGS AREN'T ALWAYS WHAT THEY SEEM!!!!
BCE that's a fairly dire warning, especially considering the bold text. Most traders here are aware of the importance of sound council on such matters. Perhaps you can be more specific, or does post proximity have something to do with whom you are directing this at?
I have dealt with a variety of CPA's and tax attorneys. First, let me state I am not a novice at tax issues. I have a BBA in Acct and worked in public accounting some years ago. My local CPA kept insisting that : 1) I had to social security taxes on stock gains 2) I could only deduct 3,000 of losses I knew better. I self-taught myself to a degree by reading the IRS publication, and then filed a mark-to-market election. I have used Bob Green for some hourly advice, and I consider his rate cheap for good advice (even at 195/ hr). I've also used a CPA firm in Chicago to prepare my return. Even though they have done returns for securities traders for years, and I find them competent, there were areas in which they were deficient. I had to correct them with excerpts from a JK Lasser tax guide! My one knock on Bob Green is what I perceive as less of a personal relationship with clients than others I have dealt with (before you get more advice, you pay by credit card through the site). I felt he was pressing too hard for my business and that put me off. He has been a great source of info, and I have received accurate advice thus far. I may use him for my returns in the future.
Arrogance is trying to object to free speech, and disgruntled people / traders with their experiences with this entire practice and practitioneers. Arrogance is stating that "expression of one's experiences" is somehow "objectionable" and that "the premise of the thread is wrong". The premise of the thread was stated in the opening scenario, and will not be restated. The unsolicited comments are from those who have been wronged, and feel as such. The other comments are as accurate as their source. Whether or not there's value to Robert Green's company/services, or any other CPA/Accountant's services is not "the premise of this thread". Obviously, customer service in not going in behind those who have evidently registered their complaints with you, Robert, might be the contributory cause of their frustrations. In which case, you can prove your humbleness, not arrogance, and deal with your own customers and their after service impressions on your own. What has been expressed here represents those who have concerns that others should be made aware of. The collective value of specialist Trader Tax CPA's is a statement without need to be trumpeted, because it stands on its own valuation. However, to go beyond that, and expect that there is not, will not, nor should be discord is arrogance in its most extreme. I know that posting funds in an account and allowing a CPA to charge $300 hr is (Crazy Eddie says) INSANE. To expect that a customer should have this abuse shoved down their throat and see their funds dwindled by over charging CPA's, no matter what they think they're worth, without first consulting and getting an agreement by the client BEFORE burning through their funds has caused threads like this to thrive, and others to express their disgust with ALL these services, evidently NOT just yours. Is there need of SIGNIFICANT improvement, obviously. Is there need for true in services / lending, obviously. Is there need for agreement BEFORE charging, OBVIOUSLY. Will there be changes, not likely, without forums and threads like these. Evidently, for your concern, as you felt this persoanlly, and who can ever guess why; evidently, there is need/room for significant improvement. Perhaps the CPA ambulence chasers (traders in need of medical, uh, accountantly medical services) needs to hear from their clients, as this thread has allowed.
"We have busted our a.. to help traders and thousands of them thank us to no end. We resent Limitdowns personal attack and it upsets us." i for one consider your information valuable.please dont stop posting just because one guy has a problem.