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Do I pay taxes when I sell covered calls? capital gains cash secured put cost basis covered call options trading passive income taxes Mar 12, 2025

Do You Owe Taxes on Options Income?

🛑 Short answer: YES.

If you’re selling options in a taxable brokerage account, you’ll owe capital gains taxes on your profits.


When Are Options Taxed?

📈 You owe taxes when you realize capital gains, such as:
✅ An option expires worthless, and you keep the fu...

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