Exchange traded options accounting software
Our stock option tracking platform monitors and tracks all activities that are related to employee stock options.
In addition, our software has the capability to track all other equity instruments in real time for both private and publicly traded companies.
Stock option tracking is not a standard part of our typical transfer agent services. However it is an additional solution for executives to better manage their stock. Our software system is a full service solution for managing and tracking stock options. We offer the ultimate in security with software that utilizes bit data encryption.
Our cloud software is used by more than a thousand public and private companies. Contact us to find out more about our option and equity tracking software today. Colonial's stock option tracking program uses a single-sign-on system, which enables multiple individuals to access data from the program simultaneously and in real-time.
The data being accessed will depend on the user role, which could be an administrator, an HR manager, an auditor, a broker, or an employee. In addition, Colonial's stock option tracking program keeps track of the complete access logs for different roles, and provides extensive security features for user authorization and authentication. Access to data and application is restricted based on user roles, and audit trails are enabled for the different roles.
In addition, all employees of Colonial's stock option tracking program have signed the non-disclosure agreement and the privacy agreement. Colonial's stock option tracking program application is backed-up on a daily basis, and a comprehensive backup strategy is in place to protect client data against computer equipment failures. Moreover, the backup media is stored in an off-site location. Colonial's stock option tracking program ensures that the raw data for all the clients is kept in a secure place and is backed-up regularly.
Once the data is received, it is thoroughly analyzed, and upon the completion of loading the data, the totals are reconciled against the totals in the raw data. The actual trade details are not required, only the totals. All TradeLog versions now support Futures and Section contracts , and include a detailed Section report for accurately calculating the totals for Form tax reporting.
Section f is a special IRS provision commonly called "trader tax status". For proper tax reporting: Timely election must be made, usually by April 15th of the first year elected by a qualified trader.
A Section adjustment for change of accounting method must be reported with the first tax year elected. Year end open positions must be marked to market. Gains and losses are reported on IRS Form with a detail of all trades included. Generate the key reports you need, including the Form Details, Securities Marked to Market, and Section adjustment reports. Many traders who elect Section f seek professional tax services in order to properly qualify and take full advantage of trader tax status.
TradeLog is used by industry leading trader tax professionals. Click here to learn more about our approved service providers. Section contracts include regulated futures contracts as well as exchange traded and broad-based index options.
The IRS requires these contracts to be priced or marked to market at year end for tax reporting purposes — this is standard for all taxpayers, no election required.
For proper tax reporting all open year end section contracts need to be closed out at year end prices, a realized gain or loss calculated for tax purposes, and then re-opened using the same year end prices going into the next tax year.
The actual trade details are not required, only the totals.