The upvoted answers to this questions, if correct, indicate that, under US law, if one buys and sells an equity within 30 days for a loss, and does not repurchase anything substantially identical within 30 days, the loss can legally be deducted from gains (including short-term gains) for tax purposes.

Those answers were written in mid-2019. Has anything changed regarding this since that time?

  • 1
    The wash sale rules are far older than that. I am old, and don't recall the rule ever being different. It hasn't changed since the Q&A you linked. Dec 23 '21 at 21:21
  • I'm voting to close as "needs more focus". As soon as somthing does change any answer that is correct today will be incorrect. A good question would ask about specific changes that have happened (if there are any).
    – D Stanley
    Dec 23 '21 at 21:54
  • Yes, agreed. Which is why I said "no", but as a comment. Dec 23 '21 at 22:10
  • Your question's wording is a bit sketchy. A wash sale occurs when you acquire a substantially identical security within 30 days of realizing a loss, not the reverse. The holding period for the round trip trade can be days, months or years not if one buys and sells an equity within 30 days for a loss. Dec 24 '21 at 14:43

The fact that the wash-sale tag gets a new question every few weeks (around 30 questions in 2021 with and ) means that there are answers much more recent than 2019. In the united states the law hasn't changed in decades. I haven't heard any rumblings about changing it.

The wash-sale rules do not cause much of an impact for most investors in the United-states. They buy shares within their IRA or 401(k) where the buying or selling doesn't trigger wash-sale issues because there are no immediate tax issues. Even the act of rolling over funds from one investment company to the other isn't impacted by wash sale rules.

If there was a major change, and tax law does change every year, there would be a bright line of demarcation in the tags.

  • 1
    It's worth noting that a purchase of substantially identical securities in an IRA after realizing a loss in a taxable brokerage account can cause a wash sale. And to add injury, you can't increase the tax basis of your IRA by the disallowed loss, and you lose the ability to deduct the loss. DRIP reinvestments can also cause wash sales. Dec 24 '21 at 14:49

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