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If I held a stock for > 1 year that was liquidated because I also sold a covered call against it and my shares were assigned, is it still a long term capital gain/loss situation? Or does the covered call (held for < 1 year) complicate the tax classification?
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This is what Fidelity has to say on their website:

If a covered call is assigned, the strike price plus the premium received becomes the sale price of the stock in determining gain or loss. The resulting gain or loss depends upon the holding period and the basis of the underlying stock. If the stock delivered has a holding period greater than one year, the gain or loss would be long term.

https://www.fidelity.com/learning-center/investment-products...

So according to that your gain remains long term. However, the first thing that they say in this article is

The following discussion is a broad overview of some of the tax issues that investors who use covered calls should be aware of. Any information contained herein is not intended to be tax advice and should not be considered as such. Tax laws relating to options in general and covered calls specifically are subject to change, so you should seek the advice of a tax professional to make sure you are complying with current IRS regulations.

In other words, free advice can be worth what you pay for it.

Mark
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Thanks for the detailed answer (and thanks to Fidelity). Though, since the stock in question for me was Zoom, looks like my call might not get assigned after today ;)
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