WagerMintsWebull Prediction Market Taxes (2026)
Webull's prediction markets are Kalshi contracts, and Webull's list of the 1099s it sends doesn't mention event contracts, so expect to report your profit or loss yourself from your statements.
Checked October 26, 2026 against Webull’s own help pages.
Webull at a glance
- At tax time
- Kalshi's markets inside Webull. Its tax FAQ doesn't list event contracts.
- Exchange
- CFTC-regulated
- 60/40 method
- Can be argued
- States acting against it
- 1 state
Tax forms
What does Webull send at tax time?
- Webull's tax FAQ says you get a 1099 for dividends over $10, interest, sales of stocks, ETFs or options (1099-B), and miscellaneous income over $600. Event contracts aren't on that list.
- Your other Webull 1099s arrive as usual. Check whether anything for event contracts appears on them, and don't count the same trades twice.
Who runs it
Who runs Webull's markets?
Webull offers prediction markets through its partnership with Kalshi, a CFTC-regulated exchange.
That matters for one of the four methods. Section 1256, the 60/40 split, can only be argued for contracts traded on a CFTC-designated exchange. These are, so the 60/40 method is on the table. No court or IRS ruling has settled whether it applies to event contracts. How the 60/40 rule works.
How to report
How do you report Webull trades?
| Method | Where it goes |
|---|---|
| Capital gains | Form 8949 and Schedule D. Box C (held a year or less) or box F (longer). |
| Ordinary income | Schedule 1, line 8z, as one net figure |
| Gambling | Winnings on Schedule 1, line 8b; losses on Schedule A, only if you itemize |
| Section 1256 (60/40) | Form 6781, then Schedule D |
Step by step, including TurboTax: how to report prediction market trades. What each method costs: prediction market taxes, explained.
Trade history
Where is your Webull trade history?
Your Webull account statements and trade confirmations for event contract trades. Keep it with your return: with no form showing your trading profit, it's your record if the IRS asks.
More on Webull: Kalshi taxes, explained.
By state
Where are states acting against Webull?
Orders issued, cases running
Every other state, with its tax rules: taxes and legal status by state.
Questions
Questions about Webull
- Does Webull send a 1099 for prediction markets?
- Webull's tax FAQ says you get a 1099 for dividends over $10, interest, sales of stocks, ETFs or options (1099-B), and miscellaneous income over $600. Event contracts aren't on that list.
- How are Webull prediction market trades taxed?
- Webull's prediction markets are Kalshi contracts, and Webull's list of the 1099s it sends doesn't mention event contracts, so expect to report your profit or loss yourself from your statements. Webull offers prediction markets through its partnership with Kalshi, a CFTC-regulated exchange.
- Can I use the 60/40 rule for Webull trades?
- It can be argued, because the contracts trade on a CFTC-designated exchange. No court or IRS ruling has settled whether Section 1256 applies to event contracts.
Other platforms: Kalshi, Polymarket, Robinhood, Coinbase, Crypto.com, Interactive Brokers (ForecastTrader), DraftKings Predictions, FanDuel Predicts, Novig, PredictIt. All platforms side by side.
See your own year four ways
Type your closed positions from your Webull statement into WagerMints and see your year under all four methods, side by side. Free, no account.
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