Futures Contract Loss on 1099-B Line 11 captured as gain on Form 6781

TaxNconfused2

These future contract entries are not part of an options straddle or any election taken to offset past gains.

When prompted to enter my 1099-B information under "Your Section 1256 Contracts Marked to Market," I entered my broker and Line 11 gain/loss. These are the only entries I'm prompted to enter.

I enter my loss as a positive, no parentheses, or "-". I find no entry options to indicate it's a loss.

Form 6781 is generated, but my loss is captured as a gain.

Obviously, I'm entering it incorrectly.

Below are the prompts for, Your Section 1256 Contracts Marked to Market

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"Are you entering information from a Form 1099-B (or substitute statement)?"

-YES-

"Does your Form 1099-B include gain or loss from regulated futures or foreign currency contracts?"

-YES-

"Broker Name: ____________________" -BROKER NAME ENTERED-

"To save time, you can enter the totals from each broker or account rather than entering each transaction separately."

"Enter your net gain or loss: $_______" -LOSS ENTERED AS A POSITIVE FIGURE-

"This is from Box 11 of your Form 1099-B."

-SAVE and CONTINUE-

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Next Window

Form 1099-B Adjustments

"If the Form 1099-B you received includes a straddle or hedging transaction, you may need to make certain adjustments."

"Enter the total of any of the following adjustments you have."

"Your Adjustments"

"Regulated futures part of a mixed straddle: $________"

"Regulated futures part of a hedging transaction: $_______"

"Foreign currency contracts treated as ordinary gains or losses: $ _______"

"Other Adjustments: $______"

"Other Adjustments Description:"

-NO ADJUSTMENTS ENTERED-

Continue

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Next Window

Your Straddle Positions

"You need to enter any gains or losses from positions that are part of a straddle."

"Do you need to enter any gains or losses from straddles?"

"If you need to enter a loss from a straddle position you're carrying over from 2024, add it here."

-NO STRADDLES ENTERED-

Continue

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Next Window

Your Unrecognized Gains

"You need to enter any unrecognized gains from positions held on the last day of the tax year."

"Do you need to enter any unrecognized gains from a position held on the last day of the tax year?"

-NO UNRECOGNIZED GAINS ENTERED-

Continue

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Form 6781 is created with a GAIN. Why?

TaxNconfused2

This issue has been resolved. When entering a loss in the "Enter Gain or (Loss)" box, you MUST USE a MINUS SIGN in front of the figure if it's a loss.

Ex.

1099-B, Line 11 …..(1200)

"Enter your net gain or loss: $_______" ENTER -1200.00

"This is from Box 11 of your Form 1099-B."