Message Font: Serif | Sans-Serif
 
No. of Recommendations: 0
On August 1, we bought 500 shares of X (we already had 1000 shares of X at that
time). On August 31, we sold 500 shares of X at a loss.

Is August 31 within 30 days of August 1 by the wash-sale rules?


The Rule says *within 30 days* and you are at, and therefor within, 30 days. On a FIFO basis (without specific identification) you sold 500 of the originally held 100 shares, not the August 1 purchased shares, and the August 1 shares are the replacement shares for the wash sale you created. Or:
A. Maybe you didn't have a loss on the old shares?
B. Maybe the different lots were with different brokers, or the old ones in a certificate so you actually *did* identify them and therefor NOT have made a wash sale. ed
Print the post  

Announcements

Disclaimer:
In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement