Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : IRS, Tax related strategies--Traders -- Ignore unavailable to you. Want to Upgrade?

To: WallStBum who wrote (546)	11/7/1998 7:19:00 PM
From: kendall harmon	Read Replies (1) \| Respond to of 1383

I have yet another set of wash sale questions for those knowledgeable about this on this thread. (1) Suppose you have a wash sale on a security which is then taken over by another company. Can you trade the new stock after the 30 day wash period is over and add the wash sale loss to the basis of the newly purchased security as per the rule? Let us use US Healthcare being taken over by Aetna as an example. Can a U.S. Healthcare wash sale be added to the basis of an Aetna trade since it is no longer possible to trade U.S. Healthcare after the takeover? (2) What about a company which is delisted or then goes out of business? Does one then "lose" the capacity to take this wash loss as an economic loss since that company's stock is no longer tradable?