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Author: Gordogato Big gold star, 5000 posts Old School Fool Winner of the 2015 Hidden Gems Challenge Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 124638  
Subject: Wash Sale Question Date: 6/1/2012 4:16 PM
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I have a stock that I own in my Roth IRA account, which would be a 5% loss if I sold it today. I think that I might rather own this stock in my regular brokerage account, because it's a foreign dividend payer, and I don't get to take the tax credit for foreign tax withholding on my dividends if it's in my IRA.

The question is, since I'm selling from my IRA and re-buying in my non-IRA account, do I still need to wait 30 days for the wash sale rule? I wouldn't get the capital loss deduction anyway since the sale is in an IRA, right?

If it was the other way around (selling for a loss in a regular account, re-buying in my IRA account), I would want to wait 30 days so I could claim the capital loss, right?
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Author: TMFPMarti Big funky green star, 20000 posts Home Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 116200 of 124638
Subject: Re: Wash Sale Question Date: 6/1/2012 4:23 PM
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The question is, since I'm selling from my IRA and re-buying in my non-IRA account, do I still need to wait 30 days for the wash sale rule? I wouldn't get the capital loss deduction anyway since the sale is in an IRA, right?

If it was the other way around (selling for a loss in a regular account, re-buying in my IRA account), I would want to wait 30 days so I could claim the capital loss, right?


Correct on all fronts. In order to have a wash sale you must first have a sale with a recognized loss. Since gains and losses are irrelevant (for tax purposes) in an IRA, there's no worry.

Phil
Rule Your Retirement Home Fool

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Author: Gordogato Big gold star, 5000 posts Old School Fool Winner of the 2015 Hidden Gems Challenge Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 116222 of 124638
Subject: Re: Wash Sale Question Date: 6/5/2012 11:48 AM
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Correct on all fronts. In order to have a wash sale you must first have a sale with a recognized loss. Since gains and losses are irrelevant (for tax purposes) in an IRA, there's no worry.

Thanks for the confirmation, Phil!

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