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Strategies & Market Trends : Income Taxes and Record Keeping ( tax ) -- Ignore unavailable to you. Want to Upgrade?

To: RWalker who wrote (321)	12/26/1997 7:18:00 PM
From: Sonki	Read Replies (1) \| Respond to of 5810

i m no xprt but since u bot/sold the same day. u might report both buys as one buy/sell transactions. u should THINK that u bot twice and sold twice. not buy/sell buy/sell. i.e. if it all happened the same day just take ur avrg buys and sell. i guess.

To: RWalker who wrote (321)	12/27/1997 2:24:00 AM
From: Box-By-The-Riviera™	Respond to of 5810

same day trades can probably be lumped together...so in your case a single total loss.... no wash sale

To: RWalker who wrote (321)	12/27/1997 11:36:00 AM
From: Colin Cody	Respond to of 5810

Whether you traded on the SAME DAY is not an issue. Just as it is not an issue if you bought and then sold... or sold and then bought (covered). . The issue is did you sell a stock and then buy it back ANYTIME within that 61 day window. In your case the answer is YES. So you are covered by the wash-sale rule. . BUT you forgot the NEXT STEP. The wash sale rule simply ROLLS THE LOSS into the cost basis of the PURCHASE that caused the Wash rule to happen. . THEREFORE in your case, the cost basis of purchase #2 is greater, and since you actually sold that purchase you WILL get your loss. . 1) You ARE subject to the wash sale rule. 2) Afterwards you then sold the basis-adjusted stock so you get your loss THEN (which happens to be the same day in your case) . Wash Sales Rule does not generally mean you lose the deduction of your loss. The WSR says you generally DEFER the RECOGNITION of that loss until you sell the stock the next time. . Colin