http://www.tradersaccounting.com/products/tsft.asp Anyone use this (buy it) and say if its decent or not (worth it)?
Really, looking for more info about Taxes on futures / need some direction. I am active trader. Thanks.
Futures are subject to Section 1256 of The IRS code. Any Gain/Loss is treated as 60 percent long-term and 40 percent short-term capital gains. Also known as (the "60/40" rule). You need only report the net result at the end of the year as reported by your 1099 from your broker. What is your question?
Thanks. Any advice? This year my first trading futures. Anything I need to prepare for, or just worry about it at end of year?
IMO, you should see a good traders Accountant as soon as possible. There may be certain things that are important to do 'before' the 4/15/04 tax deadline for last years taxes (2003), in preparation for this years taxes (2004). If you're going to claim 'Trader Status' for this year, then I believe you need to do so before the 4/15 deadline. I would definitely suggest seeking counsel from a good accountant instead of looking for answers here, from amateurs like myself.
If you have the time, read the tax code (www.irs.com). Its a pain in the ass, but the information is there.
if you want to file as MM (mark to market) then you have to declare it one year before your actual filling, note: you can't undo this status, think careful before you do it. if you want to file as trader just make sure you get the right tax code when file, nothing to declare.
Futures are subject to Section 1256 of The IRS code. Any Gain/Loss is treated as 60 percent long-term and 40 percent short-term capital gains. Also known as (the "60/40" rule). You need only report the net result at the end of the year as reported by your 1099 from your broker. What is your question? Can any one advise which IRS document define 60/40 tax rules for future trading? Any URL link to such document? or document ID or title? Thanks.