I uploaded my brokerage 1099 electronically to TT and I assumed it pulled every thing.
I did NOT realize TT did NOT enter information from 1256 Contracts? WHy. TT able to dissect 1099-B, 1099 Div, and 1099 Misc.
In my brokerage account in trading activity brokerage firm automatically splits 1256 contracts into 60 /40. Lets say I bought and sold 1 contract, brokerage is showing 0.6 contract as LONG term and 0.4 Contract as Short gain or loss. I assumed that will be case in 1099 when every thing pulled.
I was searching on other topic and 1256 and section 475 /wash rule came up and I realized my 1256 contract and I did not see them in my Tax return or Sch D. Then I looked carefully brokerage 1099, they listed 1256 Contract separately from stocks Long and Short term.
Q. Section 1256 does NOT get split apart and reported 60 on Long term and 40 as short term either on 1099 or on Sch D? Why
Q. Section 1256 has its own reporting?
How do I correct this in TT CD version. Under wages/income then investment income then Contract and Straddles then only click 1256 contracts (I assume?) then use total gain or loss or individual trades? not sure which one to choose?
I need to file Amended Return now. Any pros and Cons of filing amended return either as paper or electronic? I have lots and lots of pages in my Tax retrun.
Q. If I choose amended electronic version, do I need to send some proof or documentation of these 1256 Contract or just wait and see if IRS want it.
Q. On brokerage 1099, where 1256 are listed, at bottom it does says that they report totals gains and losses from 1256 contract to IRS. Why did even IRS accepted my tax return if it had missing information.
Q. I had overall losses from 1256 Contract (and I assume that 's why my return was accepted) as I was at dis advantage! Now tax refund has increased a little bit. How do I apply new increased refund to next year tax?
Lets say in my original return my refund was $1000 and I applied that amount to 2021 taxes. Now I am getting additional $100. In amended return, in Apply refund to next year, should I enter $100 or $1100. TT is guiding me to enter $1100. I thought $1000 I already entered in original return and now I should just enter $100?
