I have traded some index options contacts and have gains in my 1256 section of my 1099-B how do I report this?

[Anonymous]

TT says to use the straddles and contacts section. but it only asks questions about straddles. what about just selling puts on regular index options?

[tagteam · Accepted solution]

Do not make any elections on the first screen after selecting Contracts and Straddles.

In the following screen, select Section 1256 contracts marked to market. and then enter the totals from each broker or account or report each transaction separately.

[fanfare]

section 1256 transactions are not reported individually.

Just enter your one important amount: aggregated profit or loss on Line 11 of the 1099-B.

If you didn't get a substitute/Futures 1099-B, then enter them like any other stock option trade. on Form 8949

[Anonymous · Accepted solution]

by law gain or loss from 1256 contracts are 60% long-term and 40% short-term.  you can't get this by entering on 1099-B