Question

1099-B not showing some options trades for 2019

Forum|Forum|6 years ago
February 7, 2020
1 reply
0 views

So this question may be outside the scope of this forum, but figured it's worth a shot.

In 2019, I began trading options (only writing covered calls and cash-secured puts). My first trade was a covered call against an EFT position I had held since 2016. On my 1099-B from TD, I see this options trade listed under "SHORT TERM TRANSACTIONS FOR COVERED TAX LOTS". Makes sense up until here.

But in the next few months (still in 2019), I made some additional option plays. Bought some stock, wrote covered calls against my position, also cash-secured puts -- all trades which I received premium (income) for. However, none of these are listed in the 1099-B, and I'm not fully understanding why. Do I need to report these trades elsewhere manually? Is there a faster, automated way to do this in TurboTax?

TurboTax Premier Online

fanfare

Employee

Only closed transactions are reported.

If you have any outstanding option writes at the end of the year, they won't show on your 1099-B

In order to close a short you must go to the market and acquire some securities.
Your trade date is the date you closed the trade and goes in (b). Settlement date must be calculated taking into account market holidays .

The acquired date is the date you closed the short sale.
The disposed date is the very same date if you closed at a profit.
For Stocks, the disposed date is two business days later (settlement) if you closed at a loss.

Note: Date Acquired and Date Disposed refer to Columns (b) and (c) on Form 8949 that you will report to the IRS.

Note:For option short sales with a loss, Date Disposed is one business day after Date Acquired (options settle in one day). But if you have a gain, Date Disposed is equal to Date Acquired.

Option write, expires:
Since you are short, the Date Acquired shows the date of expiration,
Enter "Expired" in 8949 column e) cost, but Turbo Tax won't let you do that directly so
you have to go through the "Add More Details" screen and select "Expired".
Your gain is the amount you received and it is a Short Term Capital Gain.

fanfare

Employee

As an active investor, be aware that your category Box A sales without adjustments do not require Form 8949, so there is no reason to key in or import those transactions.
Instead use the "enter a summary" option to put your numbers on Schedule D Line 1a.