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Non-Tech : CompUSA (CPU) -- Ignore unavailable to you. Want to Upgrade?

To: bunglingbob who wrote (902)	12/24/1998 9:46:00 AM
From: Michael	Read Replies (2) \| Respond to of 3187

<<What's wrong with completing some portfolio balancing next week? I plan on some sales 12-30 to avoid the "wash sale" problem (bought some of my stock at lower prices).>> My friend Bob: For tax loss selling that can be applied to offset gains in 1998. The sale must be closed in 1998. Stock transactions close 3 days after they are made. This leaves Monday as last day in 1998 were trade will close in 1998. sure is a nice day michael

To: bunglingbob who wrote (902)	12/26/1998 7:47:00 PM
From: cbstock	Read Replies (1) \| Respond to of 3187

Hi Bob, I am not an expert and you should check with your account but here is a paragraph that might be of some help: "If you sell such losing investments prior to year end, the capital losses may be used to offset capital gains on other investments. The rules are as follows. An allowable capital loss is 3/4 of your actual capital loss. Capital losses can only be used to offset capital gains - they cannot be deducted against other income. Capital losses realized in 1998 must first be used to reduce capital gains realized in 1998. Any unused balance can be carried back three years and adjustments can be made to your 1997, 1996 or 1995 income tax return, to reduce capital gains that you claimed in those years. Any amounts remaining can be carried forward indefinitely. As with all income tax rules, there are a few wrinkles. In order to sell for tax losses in 1998, your sale must settle in the year. In the case of individual stocks or bonds, the settlement date is the day of the transaction, plus three business days. Therefore, Christmas Eve is your last chance this year to sell." I hope this helps. regards cb