hi @bwa, almost a year later and you're still helping people. These answers are better than anything else I've found. I have one more for you as I go thru my journey as potentially looking for this election. You may have answered but just need clarification.
Ex: I have 50k in losses in 2019. It is now 2020 and have become an active day trader. Given if I request MTM status, you mentioned you cannot convert the 2019 loss and deduct the full amount in 2020 if given the status.
Let's say in 2020 I apply qualify for MTM, and I keep separate accounts: 1 for buying/selling securities on a swing basis, and one for day trading. I happen to gain, let's say 50k in gains in my non day-trading brokerage account.
It sounds like from your last answer when you said that securities "you designate as investment securities WHEN YOU BUY THEM", you can somehow do both, and claim the gain and offset the loss of previous years, while still being under MTM for day trading gains/losses for the latest year? As long as you keep separate record?
Thanks in advance.
