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Expired Put and Call options not showing up as investment income RRS feed

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    Hello,

    I've been trading options for years now (mainly selling cash secured puts and covered calls) to juice up my investment accounts.

    I just noticed today that if the options Expire or if I Buy To Close them for $0, they dont show up as Investment Income if I run a basic Income and Spending Report. If I do a Buy to Close for $0.01, they show up as Investment Income.

    For example, last week I sold an INTC $63.50 Call for around $70. INTC closed at $64.30 today so in Money, I Expired the call in one transaction and in another transaction, sold 100 shares of INTC for $63.50 (originally bought for $63.30)

    When I run an Income and Spending report, the $20 profit from the sale of the INTC shares shows up as Investment Income but nothing shows up for the expiration of the Call. As an experiment, I changed the Expire to Buy to Close for $0 and the same thing; it didnt show up. Whats strange is, I changed the Buy to Close from 0 to 0.01 and now the Buy To Close shows up as Investment income for around $69.

    Whats the deal? Am I doing something wrong or do I need to turn something On or Off in a Setting somewhere?

    Thanks to anyone who can provide some help or insight on this.

    Friday, June 5, 2020 10:24 PM

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    Sorry. I know of no setting to help with this. Your workaround sounds good.

    You might see what happens if you  Buy to Close for $0.01 and have a commission of $0.01.


    Saturday, June 6, 2020 1:05 PM
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    Yeah I dont really like that workaround as it messes up the cash balance of the Brokerage/IRA account.

    I guess I could do a buy to close for $0.01 then "refund" the $1.00 back into the cash portion of the account.

    Or is there a better way to make the books balance that I'm missing?

    Tuesday, June 9, 2020 12:36 AM
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    Yeah I dont really like that workaround as it messes up the cash balance of the Brokerage/IRA account.

    I guess I could do a buy to close for $0.01 then "refund" the $1.00 back into the cash portion of the account.

    Or is there a better way to make the books balance that I'm missing?

    I was not thinking. I decided to experiment. For me,  if I use (BuyToClose for $0) for the option, the Income and Spending report worked for me. If I Expire, it does not affect the Income and Spending report, and that report ignores the closing of the option.

    The Capital Gains report looks better. It gave a correct number for Expire or (BuyToClose for $0).


    Tuesday, June 9, 2020 2:29 AM
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    I'm starting to wonder if something is wrong with my data file (I hope not, it has like 17 years of transactions in it!).

    I just tried again and if I Buy To Close the option for $0 and go into Income & Spending, the option IS listed when I double click on the Total to the right of the Investment Income BUT the amount column shows $0.

    If I change the Buy to Close to 0.01, it now shows $69. I did make sure and Reset the report so there arent any customizations.

    Does it make a difference if the trade was made in an IRA vs a Brokerage account? This is very bizarre.


    • Edited by Fiat124 Tuesday, June 9, 2020 2:54 AM misspelling
    Tuesday, June 9, 2020 2:53 AM