loss |Form 8949 Capital Gain & Wash Sales calculator software

How to check 1099 Gross sales in TradeMax


This value(1099 Gross Sales) allows you to reconcile the Total Sales amount in TradeMax to your brokerage provided 1099-B Gross Sales amount and shows any necessary adjustments to the TradeMax Total Sales such as for open short sales and option sales.

  1. After you download the price of the security in a set time range, select the specific finance year (.i.e. FY2006) under the selected account,then click Trade Data& Report < Add Report < Daily Account Value.
  2. The Daily Account Value option will automatically add to the sub-menu under Trade Data & Report.
  3. In Daily Account Report,there will a lot of Statistics information under chart report.
    Include 1099 Gross sales Value,short open position total sales,
    Short Term Total Sales,Long Term Total Sales
    Start Date Market Value,End Date Market Value,Max Account Value Drop Down
    Realized Total profit,Average Profit per trade
    Realized Total Loss,Average loss per trade
    Realized net profit,Average net Profit per trade
    Mark to Market Total profit(loss),Mark to Market Average Profit(loss) per trade

How to Calculating Forex Profit and Loss


Forex PIP & Gain/Loss Calculation

Understanding how to calculate FOREX pip value and profit/loss (Gain/loss) requires a basic knowledge of currency pairs and crosses.
Direct Rates: GBP/USD, EUR/USD, AUD/USD, NZD/USD
Indirect Rates: USD/JPY, USD/CHF, USD/CAD
Cross Rates: GBP/JPY, EUR/JPY, AUD/JPY, EUR/GBP, GBP/CHF
(Where the US Dollar is not involved)

Profit/Loss Calculation

DIRECT RATES

Currency pairs where the USD is the quote currency are referred to as direct rates. This holds true for such currencies as the EUR,GBP, NZD and the AUD.

Calculating direct Rate Pip Value
Pip stands for “price interest point” and refers to the second smallest incremental price move of a currency.

While pippets are the smallest, most calculations are done for pips.

Pip value for direct rates are calculated according to the following formula:
Formula: Pip = lot size x tick size
Example for 100,000 GBP/USD contract:
1 pip = 100,000 (lot size) x .0001 (tick size) = $10.00 USD

Calculating Direct Rate P/L (Profit/Loss)
Calculating P/L for direct rates is calculated as follows:
Formula: Selling price – Purchase price = P/L
Example for 200,000 GBP/USD contract initially bought at 1.7505 then closed at 1.7540:
1.75404 (selling price) – 1.75055 (purchase price) = 35.1 pip profit
To further convert the above P/L to USD, use the following calculation:
Formula: Pip profit (loss) x lot size x tick size = USD profit (loss)
35.1 (pip profit) x 200,000 (lot size) x .0001 (tick size) = USD $702 profit

INDIRECT RATES
Most currencies are traded indirectly against the U.S. Dollar (USD), and these pairs are referred to as indirect rates. An example is the USD/JPY (Japanese Yen). The USD is the “base currency,” the JPY is the “quote currency” and the rate quote is expressed as units per USD. An example of a indirect rate is as follows: USD/JPY trading at 100 means that 1 USD = 100 JPY.

Calculating Indirect Rate Pip Value
Pip value for indirect rates are calculated according to the following formula:
Formula: pip = lot size x tick size / current rate
Example for 100,000 USD/JPY contract currently trading at 100.254:
1 pip = 100,000 (lot size) x .01 (tick size) / 100.254 (current rate) = USD $9.97

Calculating Indirect Rate P/L (Profit/Loss)
Calculating P/L for indirect rates is calculated as follows:
Formula Selling price – Purchase price = P/L
Example for 100,000 USD/JPY contract initially bought at 100.254

then closed at 100.508:
100.508 (purchase price) – 100.254 (selling price) = 25.4 pip profit
To further convert the above P/L to USD, use the above “Calculating Indirect Rate Pip Value” as follows:
1 pip = 100,000 (lot size) x .01 (tick size) / 100.254 (current rate) = USD $9.97
Therefore: USD $9.97 (pip value) x 25.4 (pip gain) = USD $253.24

CROSS RATES

Currency pairs that do not involve the USD are referred to as cross rates. Even though the USD is not represented in the quote, the USD rate is usually used in the quote calculation. An example of a cross rate is the EUR/GBP. Again, the EUR is the base currency and the GBP is the quote currency.

Calculating Cross Rate Pip Value
Pip stands for “price interest point” and refers to the smallest incremental price move of a currency. Tick size is the smallest possible change in price. The base quote is the current base pair quote. Pip value for cross rates are calculated according to the following formula:
Formula Pip = lot size x tick size x base quote / current rate
Example for 100,000 EUR/GBP contract currently trading at .6750, and EUR/USD currently trading at 1.1840:
1 pip = 100,000 (lot size) x .0001 (tick size) x 1.1840 (EUR/USD base quote) / .6750 (current rate) = USD $17.54

Calculating Cross Rate P/L (Profit/Loss)
Calculating P/L for cross rates is calculated as follows:
Formula Selling price – Purchase price = P/L

Example for 100,000 EUR/GBP contract initially sold at .6760 then closed at .6750:
.6760 (selling price) – .6750 (purchase price) = 10 pip profit

To further convert the above P/L to USD, use the above “Calculating Cross Rate Pip Value” as follows:
1 pip = 100,000 (lot size) x .0001 (tick size) x 1.1840 (EUR/USD base quote) / .6750 (current rate) = USD $17.54
Therefore: USD $17.54 (pip value) x 10 (pip profit) = USD $170.54 profit

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Follow is TradeMax Sect.1256 report calculate Forex Gain & Loss

Marked to Market


in US,Under the marked to market system, 60% of your capital gain or loss will be treated as a long-term capital gain or loss, and 40% will be treated as a short-term capital gain or loss. This is true regardless of how long you actually held the property.

Section 1256 Contracts Marked to Market

A section 1256 contract is any:

  • Regulated futures contract,
  • Foreign currency contract,
  • Nonequity option,
  • Dealer equity option, or
  • Dealer securities futures contract

Example.

On June 22, 2008, you bought a regulated futures contract for $50,000. On December 31, 2008 (the last business day of your tax year), the fair market value of the contract was $57,000. You recognized a $7,000 gain on your 2008 tax return, treated as 60% long-term and 40% short-term capital gain.

On February 1, 2009, you sold the contract for $56,000. Because you recognized a $7,000 gain on your 2008 return, you recognize a $1,000 loss ($57,000 − $56,000) on your 2009 tax return, treated as 60% long-term and 40% short-term capital loss.

Options


Option Dialog box provides the users with possible setting for TradeMax , the users can set different preference for account according to their requirement in General option , filter some unwanted information when running specific reports in Black list option, set your own washsale calculation rule to apply to your own wash sale scenarios in Wash Sale option.

The following wizard will tell you how to make your own settings based on your needs in different options.

  1. Click main button , and a main menu opens:
  2. Click Options button, the following dialog box displays:

Function
Description
General Tab Users can set the basic setting and possible preference after clicking General Tab. This is the default option.
Wash sale Tab Set your own calculation rule for your transactions by clicking Wash Sale Tab.
Black List Tab TradeMax provides you with Black List to filter some information of various reports. With this feature, you can choose to display the information you want by selecting transaction type or Security Ticker to generate the specific report.
Avg Basis Tab TradeMax allow you use Average Basis Method For Mutual Fund Cost Basis Calculating. With this feature, You can figure your gain or loss using an average basis only if you acquired the funds at various times and prices.
Name Enter your name, the name will display in your generated reports
SSN Enter your Social Security Number.
Turn Automatic LiveUpdata on (recommended) You can check the box on the left side to activate Live Update Function, and each time you run TradeMax, the automated Live update dialog box will pop up.
Automatically Scan for Trades You can check the box on the left side to activate Auto Scan function, TradeMax will auto scan your imported transaction.
Exercised / Assigned security ‘s buy/ sell price must be the same as strike price of option You can check the box on the left side to activate the function, TradeMax will auto-match your Exercised/ Assigned securities’ Buy/Sell price with the strike price of option.
Auto Expire unexercised / unassigned options at 0 price on Expiration Date You can check the box on the left side to activate the function, TradeMax will auto expire unexercised/ unassigned options at 0 price on expiration date.
Auto Assigned / Exercised Option to Stock after Split / Reserve Split Event You can check the box on the left side to activate the function, TradeMax will auto assigned / exercised option to stock after split / reserve split event.
Transaction Amount Tolerance Value You can enter a transaction tolerance value to allow transactions to exceed amount within certain tolerances.TradeMax follow the calculation as the formula : Amount = Price * Quantity + Commision , if your abs(Amount – Price * Quantity – Commision)>tolerance value, trademax will give you a warning message.
Long Term Capital Gain Holding Period The default long term capital gain holding period is One year.
Tax Currency The default Tax currency is USD.
Clear Report Cache Every time you run reports in TradeMax, the database will leave report cache which sync the change of the report data . If your report data cache occupies too much space , you can click this button to clear Report Cache. Your report cache will be cleared, but the new report cache will be generated when you run reports once more.
Database Path Click to view your database path.

 

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