How are futures taxed for calendar spread strategies

For calendar spread strategies, "how are futures taxed" matters because gain recognition timing impacts cash flow projections. In oil futures, steep contango adds complexity under current tax rules. Peter Spadafore, executive director of the Michigan Alliance for Student Opportunity, said in a statement that he is “relieved” to see a K-12 budget, but cautioned against future delays. Zerodha co-founder Nithin Kamath has raised a red flag over the booming, loosely regulated world of crypto futures and options in India, calling attention to extreme leverage and tax arbitrage fueling the surge. Traders focusing on commodities or stock index futures should note that "how are futures taxed" depends on whether they are Section 1256 contracts. For these, mark-to-market rules require end-of-year positions to be settled for tax purposes, influencing margin strategies amid rising volatility in Dow Jones mini contracts.