Questions tagged [wash-sale]

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.

Filter by
Sorted by
Tagged with
0
votes
1answer
40 views

Wash sale- Sell stock buy bonds?

If I sell stock of Company-X at a loss and immediately buy the bonds of Company-X, am I allowed to deduct any loss on the sale of stock on my taxes, ie would this be considered a Wash Sale?
1
vote
1answer
33 views

Is loss disallowed after wash sale involving IRA, but rebought in traditional brokerage first?

I've read horror stories about someone selling stock A for a loss in a traditional brokerage and rebuying the stock in an IRA. Their basis in their IRA does not ever adjust and they cannot ever ...
0
votes
2answers
33 views

Covered call selling and wash sale or potential IRS problems?

I have a stock position that went south really quick and I have been holding on for about 5 months now. My last average down was 4 months ago. My average price is $12 and the stock is currently ...
1
vote
1answer
108 views

Wash sale rule for me?

I am in US. First of all I didn't knew wash sale applies for multiple accounts. That is completely my silliness. I purchased 100 shares of company X at $10 each in account 1 on January 1. I sold 30 ...
0
votes
1answer
79 views

How does the wash sale rule apply when trades in quick succession net positive?

This is probably best illustrated with an example: Day 1: I buy 10x AAPL for $1000 Day 2: I sell 10x AAPL for $2000 ($1k gain) Day 3: I buy 10x AAPL for $1000 Day 4: I sell 10x AAPL for $500 ($500 ...
1
vote
1answer
32 views

Wash sale clarification on options trading

If I buy deep in-the-money put options, and sell not so deep in-the-money (higher strike priced) put options and if both expire worthless, will I not be allowed to deduct the loss incurred from the ...
0
votes
2answers
72 views

Wash sale rule impact of overall cost basis of long term investment [closed]

I'm new to investing and did not know there was a wash sale rule. I bought a stock as I had thought it was at its bottom and sold as it continued to drop. I then bought the stock back later as it ...
2
votes
2answers
61 views

Can IRS construe a Roth conversion to be a wash sale?

Should I do Roth IRA conversions after a market crash? I have too much money in my traditional IRA and not enough money in my Roth IRA. Both accounts use VTSAX. I have no intention of touching it any ...
0
votes
1answer
60 views

Thoughts on this wash sale scenario

I traded options and believe had several wash sales. Does it matter if they're puts or calls or sell to close or expired? Is it possible they're not wash sales as wash sales are not indicated on my ...
1
vote
1answer
207 views

wash sale rule for multiple lots

I am a bit confused by this specific scenario of buys, sells and how to calculate the cost basis for the lots I'm holding. This question is for USA tax purposes. Day1, buy 100 shares at $10 Day2, ...
1
vote
1answer
107 views

Wash sell issue. I’m a bit confused new to trading. Question is do I pay taxes on that disallowed as profit?

Do I pay taxes on only the $6000 or on both the 1.2mill and the 6000? USA
0
votes
1answer
36 views

Wash Sale Rule While Holding Initial Investment

I have a question for those familiar with the wash sale rule. I understand what it is, basically, if you sell shares of XYZ at a loss and buy it again within 30 days, you can't claim those losses on ...
0
votes
1answer
52 views

Help Determine Wash Sale-Bought and Then Sold the Same Lot within a Month (United States)

I did research on the previous posts but could not find an answer that matches my exact situation. I understand IRS definition of wash sale occurs when you sell or trade stock or securities at a loss ...
2
votes
1answer
98 views

Can a day trading taxable income be more than the actual capital gain?

I've day-traded (in USA) actively during 2020, mostly short trades. Never kept positions overnight, so carried no positions into 2021 (and, similarly, no positions were carried from 2019 into 2020. ...
0
votes
2answers
51 views

If I show a total loss for the year, will I be impacted by wash rule disallowed losses?

I tried day trading after losing my job. With a $25k initial investment, I traded heavily for a few months using margin. I was up about $5k and then took a huge hit on some options when the market ...
0
votes
0answers
50 views

Interactive Brokers Account Statement Shows Certain Short Term Capital Gain Losses as a Positive value

I have been actively day trading for a few months and recently have been investigating my account statements in a detailed manner. I am unable to fully understand what is sometimes occurring in the &...
3
votes
2answers
223 views

Why did Turbotax say that I made profit when I actually lost money?

This is the 1099 that I got from my broker. According to them, I lost about $9178 However, when I imported that 1099 file into Turbotax, it said that I actually earned $2562. This is very confusing....
0
votes
1answer
26 views

Does a wash sale make sense in downward trending stock?

I buy 100 shares of ABC @ $50. I sell it in a week for $45. I buy it back in a week at $30. My understanding is that the adjusted basis for the last purchase was $35. Is that correct? If so, it seems ...
1
vote
1answer
83 views

IRS Wash Sale Rule: can a single lot be adjusted more than once?

When the only eligible replacement shares for a wash sale basis adjustment have already been adjusted, are they adjusted again? Or is the loss allowed? Example: Suppose this is the entirety of my ...
1
vote
0answers
24 views

Wash sale with options and stocks

Let's say the following happens within 30 days. Buy 10 shares for total of $100. Buy a call option Sell the call option for a $1000 loss. Buy 1 share for $10. Does buying back that 1 share fall ...
0
votes
1answer
45 views

Wash Sale and Average Cost Basis

I buy a single share of XYZ at $1.00 then later buy another share at $2.00. Thus I have a total of two shares at the average cost basis per share of $1.50. I want to sell all my shares without ...
0
votes
1answer
53 views

Can I deduct wash sale loss from my total positive capital gains for the year

Here is my simplified wash sale scenario. Let's say I traded only 2 stocks last year: XYZ for a total of $500 wash sale loss. ABC for a total $1000 gain. Txns for XYZ: 05/28/2019 BUY 100 shares ...
1
vote
1answer
112 views

Why is there Wash Sale Loss Disallowed on my 1099 when I close all positions?

Say I have a $5000 in wash sale losses 1099 Wash Sale Loss Disallowed (Box 1g). Do I need to do anything at this point to try and recoup the loss? Assuming that I closed all positions shouldn't my ...
1
vote
2answers
288 views

Need help with wash sale loss disallowed

Just received 1099 for 2020. My wash sale loss disallowed is $47,000 & my net loss is -$770. I just want to know how much tax I'll need to pay approximately. I recently learned what the wash sale ...
0
votes
2answers
72 views

How do I report January 2021 wash sales in the 2020 tax return?

Do I need to report my January 2021 wash sales in my 2020 tax return or how are they handled? I have some wash sales in the month of January which are of course the result of similar transactions that ...
0
votes
1answer
68 views

Wash Sale Rule - Multiple Purchases across accounts

If I purchase a stock/option, sell it for a loss, and then repurchase the same stock/option in multiple accounts, does the wash rule apply to the first repurchase? I think my understanding of options ...
1
vote
1answer
48 views

Option trader with wash sales at the end of the year

I day trade options and I understand that wash sales at the end of the year can really screw you. I have not traded any position in 2021 that I traded in the last 40 days of 2020 in either my day ...
1
vote
3answers
100 views

Wash Sale Question [duplicate]

It's Jan 1st and I buy 1 share of XYZ for $10. Jan 2nd I sell it for $9. Jan 3rd I buy it back for $9. Jan 4th I sell it for $8. Final loss: -$2 I understand this is a wash sale. But in my year end ...
-1
votes
2answers
110 views

Options trading and wash rule

For example, I buy a PUT option on TSLA for 3000 dollars and realize it's not working and sell it to close for 2000 dollars. Thus I have lost 1000 dollars on this transaction. Within thirty days of ...
0
votes
1answer
81 views

Is selling a put a wash sale if the buyer does not exercise within 30 days of purchasing the put?

Let's say you sell an equity on the 1st of the month for a loss. On the 10th of the month, you sell a put on the same equity. If the put is not exercised by the counterparty of the put within 30 days,...
2
votes
2answers
57 views

Wash sale if I sale at a loss and in another account sale for a profit?

I sold a stock at a loss in one account, and a few weeks later sold from another account once the stock went up. The stock I sold for a profit was purchased 90 days before I sold the stock for a loss....
2
votes
1answer
140 views

Stock Sold at Loss, Will buying a Put Option Cause a Wash Sale?

I sold 250 shares of a stock at a loss of (-1,000). 2 weeks later bought a single put contract (100 shares) n the same stock. If I sell the put option for profit a few days later, is this a partial ...
0
votes
1answer
46 views

Tax loss harvesting with stocks and ETFs

Suppose I'm taking losses in a set of individual stocks (X, Y, Z ...). What are the US tax implications if I sell all of them, harvest losses for tax purposes, and select an ETF E with significant ...
1
vote
2answers
135 views

Wash-sale Cost Basis Adjustment question

I wonder about the Adjustments to Cost Basis after a wash sale occur. Considering this Example 1 ( from marketwatch.com) where someone: On 1 Dec, 2018 used an amount of money in his account to buy 100 ...
3
votes
2answers
1k views

Does wash-sale rule apply to my case?

I put like $14,000 in a Fidelity account, and $5,000 in a TD ameritrade account.I used all the money in 2 accounts to buy shares of UGL Etf on 8-18-20 (this Proshares leveraged ETF tracks the gold ...
0
votes
0answers
35 views

Does the wash rule apply for naturally expired option contracts [duplicate]

Does the wash sale rule apply to options expired worthless? for example, my BA Aug 18 call expired worthless (Just expired not sold) will this loss be considered a wash sale if I purchase BA long call ...
0
votes
1answer
198 views

Wash sale regarding “one bite of the apple” rule

following is a wash sale example I am confused about(all trades are on the same stock): Day 1: Buy 100 shares at $110 Day 2: Sell 100 shares at $100 Day 3: Buy 200 shares at $95 Day 4: Sell 100 ...
1
vote
1answer
530 views

Which lots have to be sold in a wash sale?

Here's the scenario: I have multiple wash sales with the same company. Let's use Apple as an example where I'm day-trading in and out of Apple. The price continues dropping and I keep buying back at ...
0
votes
2answers
44 views

Wash sale deductible?

Day 1: I purchase Stock A. Day 5: I purchase more Stock A. Day 18: I sell 1/2 of total investment for a loss. I don't repurchase same or similar stock. Is this loss deductible, to be netted with ...
1
vote
0answers
61 views

Can closing a short position trigger a wash sale?

I have a bit of a weird situation, and am not 100% sure how the wash sale rules should apply (in the U.S.) Lets say I have 100 shares of a mutual fund that I purchased over a year ago for $10 each, ...
0
votes
2answers
389 views

How do i take a loss for tax purposes if i have a wash sale but closed the position and wasn't planning on repurchasing any additional shares?

I've been actively trading a stock but am now out of the position and wasn't planning to reinvest in the security. I have some wash sale losses that i would like to use for tax purposes. Is my only ...
1
vote
3answers
834 views

Wash sale and Options?

I'm confused on what it means to for security to be substantially equal? For example say I buy a call and then sell it for a loss before expiration. If I buy another call in the same underlying at a ...
1
vote
1answer
253 views

Can wash sales turn profit into loss after taxes?

Consider a person who repeatedly changes allocation between 2 securities within a few days, by selling the security whose prices went up and buying the security whose price when down. Is it possible ...
0
votes
2answers
528 views

Wash sale with multiple trades

I have read most of the posts on this subject and I think that I know the answer but I want to verify it: 1/2/20 I buy 100sh of XYZ at $3; 1/3/20 I buy 100sh of XYZ at $5; 3/1/20 I sell 200sh of ...
0
votes
2answers
151 views

Do IRS wash sale rules apply to gains as well as losses?

Consider the following two situations: Situation 1 5/1/2018 -- buy 10 shares XYZ at $100 5/1/2020 -- sell 10 shares XYZ at $50 (and claim a long-term capital loss of $50/share) 5/15/2020 -- buy 10 ...
-1
votes
1answer
85 views

Wash Sale Rule --> disallowed loss carry forward in this particular scenario where I buy replacement shares just *before* selling the entire position?

Please see the example below illustrating a scenario where I buy replacement shares before selling the entire position. My questions are: If I don't buy replacement stock for 30 days after May 8th (...
0
votes
1answer
72 views

Did these trades cause a wash sale?

I bought and then sold a stock for a gain on April 15th. I bought the same stock again last week and I am going to sell it for a loss. Is this a wash sale? This is USA.
1
vote
3answers
605 views

If I convert SPY to VOO to reduce the fees, then do I have to pay a capital gains tax?

I have some SPY for many years and it has gone up since then. I noticed that the fees are much higher than the VOO which is also an ETF for the SP500. Both ETF's hold the same underlying SP500 ...
0
votes
1answer
132 views

Question about calculating wash sales across multiple orders

How do I handle the accounting of my wash sales? I bought AXP in 3 different orders, all purchased within 5 days of each other: 100 @ 122 100 @ 100 100 @ 76 I sold all 300 @ 102, and then ...
2
votes
1answer
265 views

Re-purchasing a stock at a loss. Re:IRA's

I recently sold some stocks at losses, but also some at profit in a regular TD Ameritrade acct. Can I buy those same stocks in an IRA within 30 days without affecting the loss in a regular account ...