Yes, in fact, if you buy any "equivalent" security, including stocks in the same industry group, warrants, options, convertible bonds, PERCs, or CAPs within 30 days of the sale, you are in violation of the wash sale rule.
Examples: if you sell COMS and buy CSCO immediately, you're burned.
The rule is quite loosely applied. I remembered reading about one big boy was defeated by IRS last year (after hiring a high-profile tax lawyer) and owed almost million in tax. (I think he is got other stuffs going on, too)
But I think you can get away with it.
Think about the possibility. You have to be randomly selected to be audited. The auditors have hundred of cases to process. He certainly won't look for equivalent positions if you made many transactions a year.
Unless you are a big boy or you make it so obvious, or you had a history of deceiving IRS before. |
