# Tax Question: Stock options expire worthless, capital loss or income loss?



## bbi1 (11 July 2015)

Are options that expire worthless a capital loss or income loss?

Say you buy some stock options & they expire worthless the same financial year that it was bought, will this be a capital loss or income loss? Eg. I buy GLNO & they expire worthless a few months later.


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## So_Cynical (11 July 2015)

i would treat it as a capital loss.


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## wayneL (11 July 2015)

It depends if you are classed as a trader for tax purposes. 

If so, income loss. If not probably capital loss.


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## bbi1 (11 July 2015)

Ok, so if classified as a trader it's an income loss. If not then it's a capital loss.


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