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URL:  http://boards.fool.com/kmmodlish-writes-in-part-if-the-irs-claimed-13020775.aspx

Subject:  Re: Wash Sales & IRA Accounts Date:  7/28/2000  10:47 AM
Author:  Bob78164 Number:  38136 of 121322

kmmodlish writes (in part):

[I]f the IRS claimed this example to be a wash sale, when then, would they claim that the original loss could be claimed? . . . It either wasn't a wash sale to begin with (which is what I claim), or the loss never gets taken (which is absurd).

I reply:

If the IRS concludes that the transaction is a wash sale, then as you note, the loss would be lost forever. That's why the risk is so high. Characterizing the result as absurd seems to me an awfully thin reed on which to hang your hat. Even if I agreed that the result is absurd (and upon reflection, although the result is certainly harsh, I wouldn't call it absurd), it's not as though there aren't other provisions of the Code that compel absurd results. --Bob
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