How to sell worthless options before expiry?

[vinod1]

I have a few HP options with a strike price ($30) way above the current price and expiring in Jan 2013. I have put a market sell for the last 2 weeks on IB but it is not getting executed. I would sell it for $0 or even even a negative price if I can to take advantage of the tax loss but IB does not allow me put  any number below $0.01 if I do a limit order.

 

Does anyone know of a way to get rid of these options in a way I can claim tax loss? This is a minor amount so I can let it expire and take the tax loss for 2013 but just wanted to see if there is any other way.

 

Thanks

 

Vinod

[Mephistopheles]

I would say probably not, because you'll need a counterparty willing to pay transaction fees to take on the worthless option, and nobody is going to do that, because even if they pay $0, it'll cost them commission. This is my best guess, sorry.

[ShahKhezri]

I'm using my losses and closing out those positions in Jan 2013, they are worth more next year.  Who knows, it might work out for you.

 

A couple of years back I bought puts on a couple of reits, 18 months out, I had to let them expire, there was no market for them.

[ECCO]

I have a few HP options with a strike price ($30) way above the current price and expiring in Jan 2013. I have put a market sell for the last 2 weeks on IB but it is not getting executed. I would sell it for $0 or even even a negative price if I can to take advantage of the tax loss but IB does not allow me put  any number below $0.01 if I do a limit order.

 

Does anyone know of a way to get rid of these options in a way I can claim tax loss? This is a minor amount so I can let it expire and take the tax loss for 2013 but just wanted to see if there is any other way.

 

Thanks

 

Vinod

 

Put a sell order at $0.01 and ask (pay) a friend to buy them.

[Liberty]

Put a sell order at $0.01 and ask (pay) a friend to buy them.

 

Now that's out of the box!

[vinod1]

I have a few HP options with a strike price ($30) way above the current price and expiring in Jan 2013. I have put a market sell for the last 2 weeks on IB but it is not getting executed. I would sell it for $0 or even even a negative price if I can to take advantage of the tax loss but IB does not allow me put  any number below $0.01 if I do a limit order.

 

Does anyone know of a way to get rid of these options in a way I can claim tax loss? This is a minor amount so I can let it expire and take the tax loss for 2013 but just wanted to see if there is any other way.

 

Thanks

 

Vinod

 

Put a sell order at $0.01 and ask (pay) a friend to buy them.

 

Thanks! I had that thought but not sure if that would go through. I have seen the options trade at $0.02 while mine is not getting executed.

 

Vinod

[bargainman]

It may be worth asking the broker if they'll buy it off of you... see this article here:

 

http://www.kiplinger.com/columns/ask/archive/2008/q1222.htm

 

[T-bone1]

You may be able to ask your broker to make a "closet" trade and buy them for $0.01 and charge a $0.01 commission.  Maybe they will and maybe they won't, but it's worth asking

[value-is-what-you-get]

Put a sell order at $0.01 and ask (pay) a friend to buy them.

 

Now that's out of the box!

 

The risk is a raft of others also looking to sell at a penny may end up in your friends account and you still have yours too!

 

[vinod1]

Thanks! I would contact the broker.

 

Vinod