Electing MTM

[samiotis1949]

What is the name of your state?
I am in California
I need to file to change my accounting method to mark-to-market method of accounting after I already e-File my taxes, is it possible?
If not possible what do I do?
If that's possible then is the fallowing statement on my leatherhead OK? and where to send it please so it dont get lost.

My Name and SSN # xxx
I hereby elect to use the mark-to-market method of accounting under section 475(f) of the Internal Revenue Code for my trade or business of trading securities. The first year for which the election is effective is the taxable year beginning January 1, 2021. signed: ________ John Smith
thanks Mike G

 

[Taxing Matters]

What is the name of your state?
I am in California
I need to file to change my accounting method to mark-to-market method of accounting after I already e-File my taxes, is it possible?

Yes. Send to the IRS service center where you filed you return your election statement with a cover letter explaining you filed your return electronically before the date and are submitting your attached mark to market election. Make sure to send it by the original due date for the 2020 return to make the election for 2021.

 

[samiotis1949]

Yes. Send to the IRS service center where you filed you return your election statement with a cover letter explaining you filed your return electronically before the date and are submitting your attached mark to market election. Make sure to send it by the original due date for the 2020 return to make the election for 2021.

Thanks for responding
Original due date what you mean? I eFile today and I will sent the statement tomorrow will that work

 

[Taxing Matters]

Thanks for responding
Original due date what you mean? I eFile today and I will sent the statement tomorrow will that work

The original due date is the due date of the return without any extensions. Normally for an individual income tax return that's April 15, but this year the due date has been moved to May 17.

 

[samiotis1949]

Thank you
I got it

 

[davew9128]

Mike G, you should probably not be signing for John Smith.

 

[samiotis1949]

No no davew9128
I just left that in my post to show that I will be signing the request ......

 

[samiotis1949]

Hi this is an update and needed more help please
I file/send the election statement mark to market election before the deadline and now the question is do I file as an individual or business? off cause the IRS don't classified DT as business, but the reason I ask is because I have the software that was filing as business that I owned till 12/2020 but since the 1st of 2021 closed the company and now I am 100% in to day trading hope this make sense thanks

 

[davew9128]

Hi this is an update and needed more help please
I file/send the election statement mark to market election before the deadline and now the question is do I file as an individual or business? off cause the IRS don't classified DT as business, but the reason I ask is because I have the software that was filing as business that I owned till 12/2020 but since the 1st of 2021 closed the company and now I am 100% in to day trading hope this make sense thanks

The question makes no sense. The taxpayer making the election is the one filing. Otherwise, please clarify what you mean.

 

[samiotis1949]

I am the tax payer I was just asking if I need a business type software for my situation, but I think I better direct this question to Turbo tax for info for their software type to use Thanks

 

[davew9128]

TurboTax. Keeping taxpayer representatives busy with work since 1984...

 

[samiotis1949]

Yes. Send to the IRS service center where you filed you return your election statement with a cover letter explaining you filed your return electronically before the date and are submitting your attached mark to market election. Make sure to send it by the original due date for the 2020 return to make the election for 2021.

Update.
I got this response letter from IRS telling me they need 60 more days for sending me a complete response (letter was send on Oct. 26, 2021)
Now IRS send me another letter on Dec. 29, 2021, they're not able to give me a complete response at this time they need more time.
Now the question is do I prosed with adding/file form 3115 when I eFile this year?
I hope I did this correct by posting as a reply to the original member Thanks