Taxation of futures trading gains and losses
A) is based on cumulative year-end profits or losses.
B) occurs based on the date contracts are sold or closed.
C) can be timed to offset stock-portfolio gains and losses.
D) is based on the contract holding period.
E) None of the options are correct.

Question

Quizplus · Accepted Answer

Futures trading gains and losses are typically taxed based on cumulative year-end profits or losses, as they are marked to market at the end of the year.

Taxation of Futures Trading Gains and Losses