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Strategies & Market Trends : Tech Stock Options

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To: Cindy Cannon who wrote (29215)11/22/1997 5:14:00 PM
From: Snowshoe   of 58727
 
Cindy, on wash sale rule re: options

I am not a tax expert, but here is my impression...

I believe the wash sale rule does NOT apply in the example you cited. However, it WOULD apply if you sold the stock at a loss and bought options within the wash sale period. Oddly enough it appears that you can sell the options at a loss and then immediately buy the stock without invoking the wash sale rule.

Caveat: You should verify this with an accountant or other professional tax expert.
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