# Stock Future rollover taxation question



## osc (Oct 17, 2009)

I am gambling in the stock futures market and I don't know if I should add capital gains/losses when I sell the contracts when they expire and immediately buy the same number of identical contracts but with the next expiration date. 
Example: I hold 10 ES Dec2009 future contracts. I sell them in Dec and immediately buy 10 ES Mar2010 future contracts. The question is if I should add to my taxes the capital gain/loss for the 10 ES Dec2009 contracts when I sell in Dec. Thanks.


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## leslie (May 25, 2009)

Different contracts are different securities, so you cannot roll forward gains/losses.
You did not say whether these are FX contracts or not. 

http://www.cra-arc.gc.ca/E/pub/tp/it95r/it95r-e.html
http://www.cra-arc.gc.ca/E/pub/tp/it346r/it346r-e.html

The question of whether the income/loss recognized for tax should accrue up to the market values at year end or only when the contract is sold, I don't know. I have looked for the answer but not found it. The argument for accruing to year-end values comes from the fact that futures contracts are settled every day. Personally, that is what I do.


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## osc (Oct 17, 2009)

leslie said:


> Different contracts are different securities, so you cannot roll forward gains/losses.
> You did not say whether these are FX contracts or not.


Thanks. ES is the e-mini future for S&P 500.


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