tax question for futures prop traders

[mgarc]

would like to find out from the futures prop traders out there...

are you still able to benefit from the 60% long term / 40% short term capital gains rule for futures contracts?

trading your own money gives you this benefit, but if you trade prop, can u still keep this benefit?

thanks ahead for your input.

 

[okwon]

No. Not that I know of. Most futures firms pay on a W-2. Would like to know if you find anything though.

 

[mgarc]

any other thoughts from the tax experts out there? i'm sure there's got to be a way to structure it right.

regards..

 

[okwon]

I'm sure there's a way to structure it. But the question is, are the firms willing to spend the time and money to do so when it might not benefit them much.

 

[manna]

If you are paid as an independent contractor you still get it. They will give you a 1099 for that.

 

[mgarc]

thanks for the posts, will try to look into the 1099 option.

okwon, true. think you'd basically have to be a potentially big $ earner for a firm in order for them to take the time and effort to find the right structure.