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Strategies & Market Trends : Income Taxes and Record Keeping ( tax )

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To: Bill Shepherd who wrote (1673)12/30/1998 3:18:00 PM
From: k.ramesh  Read Replies (1) of 5810
 
My question is strictly limited to the situation where you have some gains + the 3000 limit and are looking to offset them with losses which you also have.
Now if you have more losses than gains, you can potentially choose which ones to sell and take a loss, Of course fundamentals play a role here. but say you still have 2 candidates for the sale, and you possibly want to get back in 31 days later.
Then the risk of the sale is that it runs up in the intervening 31 days
In such a case, would n't one be better off selling the bigger percentage loser, as the probablity is lower that it will rise that fast.
Of course depends on the volatility etc of the stock.
Your 'cousin stock' idea is a good one, however isn't there anything against that, being so obvious a way to take losses? Just because everyone is doing that does n't mean it is strictly above board.
Ramesh.
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