Fillable Form 6781 - Gains And Losses From Section 1256 Contracts And Straddles

Form 6781 (2015)

Page

back 3 years. Corporations,

you didn't receive a Form 1099-B or

For other returns, enter it in Part I of a

partnerships, estates, and trusts aren't

substitute statement, or received a Form

Form 8949 with Box B checked (if you

eligible to make this election. Your net

1099-B that isn't for your tax year.

received a Form 1099-B or substitute

section 1256 contracts loss is the

statement for every transaction included

If you are completing an amended

smaller of:

on line 1) or Box C checked (if you can't

2015 Form 6781 to carry back a net

check Box B). Enter “Form 6781, Part I”

• The excess of your losses from

section 1256 contracts loss from 2016 or

on line 1 in column (a). Enter the gain or

section 1256 contracts over the total of

a later year, report the carryback on line

(loss) in column (h). Leave all other

(a) your gains from section 1256

1. Enter “Net section 1256 contracts loss

columns blank

contracts plus (b) $3,000 ($1,500 if

carried back from” and the tax year in

married filing separately), or

column (a), and enter the amount of the

Line 9

loss carried back to 2015 in column (b).

• The total you would figure as your

Include this amount on Schedule D

See the instructions for box D for

short-term and long-term capital loss

(Form 1040), line 11; or on Schedule D

details.

carryovers to 2016 if line 6 of Form 6781

(Form 1041), line 11.

were zero. Use a separate Schedule D

Line 4

For other returns, enter it in Part II of a

(Form 1040) and Capital Loss Carryover

If the Form 1099-B you received

Form 8949 with Box E checked (if you

Worksheet (in Pub. 550) to figure this

includes a straddle or hedging

received a Form 1099-B or substitute

amount.

transaction (as defined in section

statement for every transaction included

The amount you can carry back to any

1256(e)(2)), you may need to make

on line 1) or Box F checked (if you can't

prior year is limited to the smaller of:

certain adjustments listed next. Attach a

check Box E). Enter “Form 6781, Part I”

statement listing each of these

on line 1 in column (a). Enter the gain or

• The gain, if any, that you would report

adjustments and enter the total(s) on

(loss) in column (h). Leave all other

on line 16 of Schedule D (Form 1040) for

line 4.

columns blank.

that carryback year if only gains and

losses from section 1256 contracts were

• The section 1256 contract part of a

Part II

taken into account, or

mixed straddle, if you made any of the

mixed straddle elections.

Use Section A for losses from positions

• The gain, if any, reported on line 16 of

that are part of a straddle. Generally, a

Schedule D (Form 1040) for that

• The amount of the loss, if you didn't

loss is allowed to the extent it exceeds

carryback year.

make any of the mixed straddle

the unrecognized gain on offsetting

elections or the straddle wasn't

The amounts just described are

positions. The part of the loss not

identified as a mixed straddle and you

figured prior to any carryback from the

allowed is treated as if incurred in the

had a loss on the section 1256 contract

loss year. Also, the carryback is allowed

following year and is allowed to the

part that was less than the unrecognized

only to the extent it doesn't increase or

same extent. However, a loss from a

gain on the non-section 1256 contract

produce a net operating loss for the

position established in an identified

part. If the unrecognized gain is less than

carryback year. The loss is carried to the

straddle after October 21, 2004, is not

the loss, enter the unrecognized gain.

earliest year first.

allowed. Instead, the basis of each

Use Part I for a loss on the disposition of

Make the election by checking box D

offsetting position in the identified

one or more positions that are part of a

straddle that has unrecognized gain is

and entering the amount to be carried

mixed straddle and that are non-section

increased by the amount of the

back on line 6. To carry your loss back,

1256 positions if no disposition of a

unallowed loss multiplied by the

file Form 1045, Application for Tentative

non-section 1256 position in the straddle

following fraction:

Refund, or an amended return. Attach an

would be a long-term capital gain or

amended Form 6781 and an amended

loss, and the disposition of one or more

The unrecognized gain (if any) on the

Schedule D (Form 1040) for the

offsetting position

section 1256 positions in the straddle

applicable years.

would be a capital gain or loss.

The total unrecognized gain on all positions

On the amended Forms 6781 for the

• The section 1256 contract part of a

that offset the loss position in the identified

years to which the loss is carried back,

hedging transaction. The gain or loss on

straddle.

report the carryback on line 1 of that

a hedging transaction is treated as

For more details, see Pub. 550,

year’s amended Form 6781. Enter “Net

ordinary income or loss. See Pub. 550

chapter 4.

section 1256 contracts loss carried back

for details.

from” and the tax year in column (a), and

Use Section B for gains from positions

Line 5

enter the amount of the loss carried

that are part of a straddle.

back in column (b).

Partnerships enter the amount from line

Do not include in Part II a disposition

5 on Form 1065, Schedule K, line 11.

of any of the following.

Specific Instructions

Electing large partnerships enter the

• A position that is part of a hedging

amount from line 5 on Form 1065-B, Part

Part I

transaction.

II, line 5. S corporations enter the

• A loss position included in an identified

amount from line 5 on Form 1120S,

Line 1

straddle established before October 22,

Schedule K, line 10. Lines 6 through 9 in

Include on line 1 all capital gains and

2004, unless you disposed of all of the

Part I of Form 6781 don't apply to

losses from section 1256 contracts

positions making up the straddle.

partnerships or S corporations and are

open at the end of your tax year or

left blank.

• A loss position included in an identified

closed out during the year. If you

straddle established after October 21,

Line 6

received a Form 1099-B, Proceeds

2004.

From Broker and Barter Exchange

See the instructions for box D.

• A position that is part of a straddle if all

Transactions, or substitute statement,

Line 8

of the positions of the straddle are

include on line 1 the amount from box 11

section 1256 contracts.

of each form. In column (a), write “Form

Include this amount on Schedule D

1099-B” and the broker’s name. List

(Form 1040), line 4; or on Schedule D

separately each transaction for which

(Form 1041), line 4.

Form 6781 - Gains And Losses From Section 1256 Contracts And Straddles - 2015 Page 3

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