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<<< If I make a wash sale and don't get rid of the replacement stock within the same tax year, the loss is carried over to the next tax
year right?>>

Not exactly. The unrecognized loss will be a basis adjustment to the "replacement" stock that you purchased. So that "loss" will be delayed until the replacement stock is finally sold.

<< Or does the replacement stock have to be sold in the same year for me to receive the benefit of an adjusted cost
basis in the replacement stock? >

Sorry...I don't understand this last statement. For additional information on the Wash Sale rules, you might want to read my article on that very issue in the Taxes FAQ area. It'll give you the rules AND examples that you can follow.

TMF Taxes
Roy

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