Oh, if I just begin trading Index Option this year and had no traded any section 1256 contracts, then there is no need to amend prior return.
In this case, if I have section 1256 contract loss in this year, but no 1256 gain (or absolute no 1256 transaction) in prior three years, how about this year's 1256 loss? There is no way to carry over to future years?
Another example: if I have $7000 section1256 loss this year and $9000 capital gain this year, can I deduct all $7000 from the $9000? So that I only need to pay tax on $2000 capital gain?
Another example: If I have $7000 section1256 loss this year and no other capital gain, but I have W2 salary income, how much can I deduct section 1256 loss? Is it also $3000 per year (just like capital loss)?
Thanks.
