What are the taxes for roll-over of the Futs contracts for ES

Discussion in 'Index Futures' started by traderwald, Aug 2, 2020.

  1. Hi guys,

    Do we need to consider the profits made at the point of roll-over (which are immediately put to the next contract) when calculating tax to be done ?

    Thank you
     
  2. xandman

    xandman

    If the futures contracts are owned thru a taxable account, Yes.

    Rollovers in futures are just simultaneous trades in your account. So, you have a gain or loss in the closing of the old contract.
     
    traderwald likes this.
  3. Overnight

    Overnight

    MTM at end of year is what counts. You make 1 million in 1st half of year, you pay estimated tax on that 1 million in profit.

    You lose 1 million in 2nd half of year, you have MTM at end of year for 0. So you will get back all the taxes you have paid on that 1 million you THOUGHT you'd have at the EOY.
     
    CannonTrading_Ilan likes this.