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There is no difference whether he sold all the shares or part of them--What matters is if any account, you bought shares within 30 days before or after.

Sorry, edco, not true. If he sold all the shares, then he can't have a wash. Remember the result of a wash sale is that the unclaimable loss is added back to the basis of the remaining shares. How could that be if there are no remaining sales?

But that's a practical argument. If you look up the definition of a wash sale, its that you bought shares (within 30 days) that you *did not sell* as part of the sale (as the OP quoted). If you sold them all, they you obvoiusly sold those.


He didn't say anything about reinvesting, let alone dividends from a Bond Fund??

Bond funds absolutely do pay dividends, they're just not qualified dividends. Unless you want to be the one to tell Vanguard that the 1099-DIV I got for my bond funds with the total amount in box 1a (but none in box 1b) is wrong.

Second, we were talking about reinvesting dividends regularly, such that your monthly payout goes back to buy more shares of the fund. While not universal, this is typical. Therefore, if you had 1000 shares of a fund, and were getting 10 more share ever month, and in the middle of March, you sold 500 of those shares. Then your Feb 28th and March 31st dividend reinvestment would be buying shares within 30 days of your sale. So those number of shares would be a wash sale.


So:
1) If the OP sold the shares for a loss
and
2) The OP was reinvesting dividends (or otherwise bought shares within 30 days)
and
3) The OP did not sell all the shares of the fund

Then the OP has a wash sale on the number of shares which is the lesser of:
1) The number of shares bought within 30 days
or
2) the number of shares remaining in the fund after the sale
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