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Old 05-02-2011, 04:55 PM
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What is the primary benefit to stock traders for making a "Mark to Market Election"?

The primary benefit to traders of making the election is "the $3,000 limitation on capital losses and the wash sales rules no longer apply. However, the main disadvantage is that all gains are deemed ordinary income and subject to the taxpayers ordinary income tax rates which could be considerably greater than the capital gains tax rate.

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