New answers tagged wash-sale
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If I sell a wash purchase at a subsequent gain, then buy back the same stock does it bring back the loss?
(Assuming US wash sale rules)
Yes, if you sell at a loss and re-buy within 30 days, the loss is added to the cost basis of the stock you bought for tax purposes. This is so that the tax benefit of ...
- 142k
1
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"Healing" a wash sale with excess replacement shares
Is it correct to increase the cost basis of 200 shares from the 8/20 lot, since that is how many I sold on 9/12 (effectively splitting the lot into two lots with different cost basis)?
Yes. You match ...
- 185k
3
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"Healing" a wash sale with excess replacement shares
You're correct to just add the disallowed loss to the cost basis of 200 shares, you don't prorate it across the entire lot. Pub 550 says:
Match the shares bought
in the same order that you bought ...
- 2,055
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