|
PureBytes Links
Trading Reference Links
|
I've been following the wash sales thread about electing trader status. I
went to thestreet.com, as someone suggested, and checked out their series on
electing trader status. It was very helpful, but one part was kind of vague.
On http://www.thestreet.com/funds/taxes/694980.html, the author talks about
the trader having to make the election in March:
The proposed regulations say the mark-to-market election must be made "not
later than [two- and-a-half] months after the beginning of the taxable year
for which the election is made." Although the time period is tentative, the
idea of making the declaration is not.
The IRS' goal is to prevent first-year traders and traders who had bad years
from waiting until the very last moment to make this election. The IRS
believes that if traders are serious about their trading business, they should
be able to make advance decisions about its accounting practices.
So assuming a calendar tax year, traders will have to file a form by March 15
stating their election. Technically, this regulation is effective as of Jan.
28, but we're still waiting for more details from the IRS.
What form? Does anyone know what this guy is talking about? Any thoughts are
appreciated.
Thanks,
Bill Walker
|