A wash sale is a sale of a security at a loss and repurchasing the same or substantially identical stock shortly before or after with the intention of realizing the loss as a claimable tax deduction but still reaping gains if the security's price recovers.
Questions tagged [wash-sale]
194 questions
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How to know if two ETFs are 'substantially identical' according to wash sale rules?
Wash sale rules are pretty straight forward when you're trading stocks directly. However, how are these rules applied to ETFs?
Right now I own shares of CMF and want to do some tax-harvesting on some of my short-term losses for 2016. I want to…
user19035
22
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Wash Sales and Day Trading
Let's say a Day Trader buys and sells a stock on the same day and makes a loss of $1,000. Then she buys and sells the same stock the next day and makes a profit of $500. On the third day she files her taxes.
As I understand the Wash Sales rule, she…
thanks_in_advance
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What's the point of the wash rule?
I don't understand the 30-day wash-rule. Someone please set me straight.
So let's say I purchase 100 shares of Hot Stock X, for $100 apiece. So $10,000.
Let's say that the stock goes down 50% on a really bad day in the market.
Let's say furthermore…
CodeOwl
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Would I be able to avoid the wash sale rule if I buy back the security on January 1st after selling it on December 31st?
It would definitely be within 30 days, but it would be of next year.
So would this successfully by pass the wash sale rule?
Bear Bile Farming is Torture
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Does selling shares within 30 days of purchase count as a wash sale?
Quoting IRS publication 550,
A wash sale occurs when you sell or trade stock or securities at a
loss and within 30 days before or after the sale you:
Buy substantially identical stock or securities,
Acquire substantially identical stock or…
user2357112
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Is it possible to dispute a wash sale?
I recently sold some short term VTI shares at a loss (specific shares, not FIFO). With the proceeds, I purchased SCHB. My brokerage firm has adjusted my cost basis on the VTI shares due to a wash sale.
I read this question about wash sale/ETFs and…
InbetweenWeekends
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Wealthfront tax loss harvesting + Vanguard target date?
I'm thinking of turning on Wealthfront's tax loss harvesting, but want to avoid any "wash sales". The only securities I have outside Wealthfront are Vanguard target date funds in some companies' 401k plans. Will those conflict?
DavidC
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Why does Canada's superficial loss rule also include a clause for "30 days before the sale"?
According to the Canadian Revenue Agency:
A superficial loss is when you, or a person affiliated with you, buys, or has a right to buy, the same or identical property (called "substituted property") during the period starting 30 calendar days…
AlanSTACK
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Do wash sale rules apply for partial sales within 30 days?
I have already looked at this question and its answers, but I have a slightly different question.
Suppose I buy 100 shares of a stock on July 1, and two weeks later, on July 15, sell 50 of those 100 shares at a price lower than I paid for…
merlin2011
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Is selling in IRA and then buying similar stock in regular account a wash sale?
Suppose I buy 10 shares of XXXX at $300 in my IRA account on Jan 2nd for total $3,007.
XXXX drops to $250 on Jan 10th and I then buy 10 shares in my taxable account for a cost of $2,507.
On Jan 15th the stock rises to $275 and I sell the 10 XXXX…
Neil
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Can closing a covered call and opening a new covered call trigger a wash sale?
In Jan 2019, I bought 200 QQQ (ETF) at about $160 and also wrote two covered calls for June 2019 at 170 (higher than the last day price) netting a small premium. Now QQQ is at about 185 so it will be assigned to me unless I cover it.
I am thinking…
riya
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Can I undo a wash sale?
I sold stock at a loss thinking I could realize the capital loss and still keep the stock if I just repurchased it again.
Then I learned that The Wash rule will not allow me to do that, even though I’ve already rebought the stock.
Can I sell the…
ZeroPointThree
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How to realize capital gains before going from non-resident alien to resident alien in USA
I am a foreigner and will move to USA next year (2016) and want to optimize my tax situation beforehand. I bought stocks in 2009 which appreciated in value but I would still like to keep them.
So my plan is to sell those stocks right now and buy…
Jim
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Wash sale rules between tax advantaged and regular accounts
I sold an investment in a standard brokerage account at a small loss because I needed the money for a down payment. I still think it is a good investment, can I buy the same investment in a standard IRA without running into wash sale problems? I…
Pablitorun
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Most cost effective way to realize profits?
Selling a security at a loss is subject to wash sale rules in the US, but selling a security at a gain is not. While they are rare, there are a few situations in which an investor might want to realize a profit of a security while continuing holding…
Person
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