topic I have already filed my 2017 return but want to make a mark to market election for 2018 can we amend this to my filed 2017 return ? in After you file

I have already filed my 2017 return but want to make a mark to market election for 2018 can we amend this to my filed 2017 return ?

hanapaatogod — Mon, 03 Jun 2019 17:15:43 GMT

No, you do not need to actually amend your return to make...

DawnC0 — Mon, 03 Jun 2019 17:15:44 GMT

No, you do not need to actually amend your return to make that election. To make the mark-to-market election for 2018 you need to attach a statement to your 2017 tax return. There is not an actual form for making this election. In order to make this election, since you have already e-filed, you will need to mail in a Form 8453 and attach a written statement. The statement should include the following information:

That you're making an election under section 475(f);
The first tax year for which the election is effective; and
The trade or business for which you're making the election.

When you file in 2018 you will need TurboTax Self-Employed or Home and Business (desktop version) since your trading will be reported as a business.

Please see Tax Topic 429 for more detailed information on how to make the election in 2016 effective for the tax year 2017, how to report this on your 2017return, and special requirements to be able to make this election.

https://www.irs.gov/taxtopics/tc429.html

Even more information on making the Mark to Market election can be found here - https://www.thetaxadviser.com/issues/2010/feb/sec475mark-to-marketelection.html

A trader must make the mark-to-market election by the original due date (not including extensions) of the tax return for the year prior to the year for which the election becomes effective. So, you have until April 17 to make this election for 2018.

If you are all ready an established business, you can make the election on Form 3115 (changes in accounting method) and include it with the 8453. Check off 'Other' and specify the 'Mark to Market' election.

Re: No, you do not need to actually amend your return to make...

hc5714900 — Sat, 20 Mar 2021 14:50:13 GMT

Hi,

If I efile, how can I send my MTM election to the IRS?

Thanks

Re: No, you do not need to actually amend your return to make...

ReneeM7122 — Mon, 22 Mar 2021 15:20:33 GMT

The only way to make the election on a prior year return is to mail Form 8453 to the IRS and include a statement with the following information:

That you're making an election under section 475(f);
The first tax year for which the election is effective; and
The trade or business for the election.

@hc5714900

Re: No, you do not need to actually amend your return to make...

Crafty3 — Fri, 25 Mar 2022 19:29:56 GMT

How will they know who sent the election if I already e-filed? Do I need to include my name or ssn on the document or will they just take the information from the envelope?

Re: No, you do not need to actually amend your return to make...

MarilynG1 — Fri, 25 Mar 2022 23:52:47 GMT

Your identifying information is on Form 8453.

Click this link for a PDF of Form 8453.

Re: No, you do not need to actually amend your return to make...

Crafty3 — Sat, 26 Mar 2022 22:09:45 GMT

so in my case I would "check" Form 3115 Application For Change in Accounting Method, since I am sending in a mark to market election?

Re: No, you do not need to actually amend your return to make...

KrisD15 — Mon, 28 Mar 2022 14:55:20 GMT

If using TurboTax Desktop, you could have included form 3115 with your 1040.

Yes, if you already filed your Federal return, you would select "Form 3115" on the Form 8453.

Include Form 3115 and mail to:

Internal Revenue Service

Attn: Shipping and Receiving, 0254

Receipt and Control Branch

Austin, TX 73344-0254

Re: No, you do not need to actually amend your return to make...

Crafty3 — Fri, 01 Apr 2022 18:02:27 GMT

If I reside in California would I need to send it here?:

Department of Treasury
Internal Revenue Service
Ogden, UT [removed]

Re: No, you do not need to actually amend your return to make...

MarilynG — Fri, 01 Apr 2022 21:13:13 GMT

Here's the IRS Info for mailing Form 3115.

Re: I have already filed my 2017 return but want to make a mark to market election for 2018 can we amend this to my filed 2017 return ?

sampsonnbeast — Sun, 16 Oct 2022 20:09:09 GMT

ok what happens if I want to go back to my 2020 because I just realized I qualify as day trader but it already calculated my losses as capital losses. They are actually supposed to be income loss so do I need to amend my taxes and redo so they are

Correct market to market ?

Re: I have already filed my 2017 return but want to make a mark to market election for 2018 can we amend this to my filed 2017 return ?

Critter-3 — Mon, 17 Oct 2022 00:57:53 GMT

Sorry but the mark to market election must be made a year in advance ... you cannot make the election retroactively. The 2024 election needs to be made by 4/15/23 on the 2022 tax return.