The Covered Calls for Dummies Thread Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : The Covered Calls for Dummies Thread

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Dan Duchardt who wrote (3152)	12/19/2001 9:44:10 AM
From: BDR	Read Replies (1) of 5205

<<I can't seem to cut and paste the section I am reading, but it is on page 6, the middle two paragraphs. Sure sounds to me like the sale is an event that causes the underlying to be treated as sold and repurchased, so that would have to be recognized in the tax year of the sale, long term or short term depending on how long you had held up to that point.>> I don't read that options are specifically referenced. " Entering into short sales, futures or forward contracts are examples of transactions that may generate constructive sales...Other transactions to be covered by these rules may be identified in Treasury regulations to be issued." I don't trade futures or forward contracts and I think the meaning is specific enough regarding those investment vehicles to exclude options but I would be happy to hear a clarification. Nevertheless the wording does indicate that the Treasury can change the rules at any time.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next