options taxes

Wash Sale Rule for Options: How It Works and How to Avoid It

The wash sale rule applies fully to options contracts, and in 2026 it remains one of the costliest tax traps active traders face. Here’s exactly how it works, the trade patterns that trigger a disallowance, and how to stay in your thesis without losing your loss deduction.

Tax Implications of Options Trading: 2026 Trader’s Guide

Options trading creates complex tax situations the IRS treats very differently depending on what you trade and how long you hold it. This 2026 guide breaks down Section 1256 contracts, wash sales, assignment rules, and the legal tactics that cut your tax bill before December 31.