QastLedger
Tax rules guides
The rules behind prediction market taxes: capital gains, Section 1256, holding periods and losses.
Are Prediction Market Winnings Gambling Income or Capital Gains?
Prediction markets look like betting but trade like financial contracts. Here's why the difference matters for your taxes and how each treatment works.
How Kalshi Fees Work and Why They Matter at Tax Time
Kalshi's trading fees depend on the contract price and quantity. Here's how they're calculated, why they're highest near 50 cents, and how they reduce your taxable gain.
How Kalshi Trades Are Taxed: Section 1256 and the 60/40 Rule
Why many Kalshi traders report gains as 60% long-term and 40% short-term, what mark-to-market means at year end, and how fees change your number.
Mark-to-Market for Kalshi Traders: Why Open Positions Count This Year
Section 1256 treats every open Kalshi position as sold at year end. Here's how that works, what happens when the market resolves next year, and why you need a year-end price.
How to Report Polymarket Trades on Your Taxes
Polymarket works differently from Kalshi, so your trades may be taxed differently too. Here's how to pull your history from your wallet and choose a treatment.
Do Prediction Market Traders Need to Pay Quarterly Estimated Taxes?
If your trading profits aren't covered by paycheck withholding, you may owe estimated tax payments during the year. Here's when they're due and how to avoid penalties.
Section 1256 Loss Carryback: Turning a Losing Kalshi Year Into a Refund
A net loss on Section 1256 contracts can be carried back three years to offset past Section 1256 gains. Here's who qualifies, how it works and how to claim it.
Tax-Loss Harvesting for Prediction Market Traders
Selling losing positions before December 31 can cut your tax bill, but it works differently on Kalshi and Polymarket. Here's where it helps and where it doesn't.
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