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

To: Colin Cody who wrote (2132)	4/11/1999 4:21:00 AM
From: Steve Misic	Read Replies (2) \| Respond to of 5810

Colin, Will you dis-spell two myths for me. One of my friends sold shares in AOL for a gain this year, 1999. He also sold shares in another stock for a loss this year, 1999. myth 1. He thinks if he rolls his AOL gain into another stock within 6 months, he pays no tax on the gain ever. He insists his tax advisor says this is so even though the stock was not in a IRA. myth 2. He is planning to use the loss from this year to offset gains last year as long as he sold by April 15th. Don't you love it! I told him to go to a library and look at a tax book, but he is too busy. I also told him he would look good in stripes. Maybe you can convince him? Thanks, Steve

To: Colin Cody who wrote (2132)	4/14/1999 10:12:00 PM
From: Brendan W	Read Replies (2) \| Respond to of 5810

I just got a reply to a question I asked at AOL's Taxlogic... they said that not only is Roth IRA conversion income excluded from the AGI limit test for the income test on converting, but that it is also excluded from the AGI limit test on contributions. So I can make a $2000 Roth contribution in 1999 even though my 1998 Roth conversion is producing enough income to put my AGI over $95K in 1999. Can anyone confirm this advice? Cites? Thanks for any help.

To: Colin Cody who wrote (2132)	4/14/1999 10:46:00 PM
From: softcash	Respond to of 5810

need help with A Wash sale example I checked out Kaye's WEBsite and Kaye did help me. Thanx Kaye! Anyway, I still have some unanswered questions and time is running out. Please help me. Thanx in advance. Example 1 is already answered. Example 2 is what I have a question about. Kaye's web site doesn't have this example. Example 1: ========== (Already answered, thanx Kaye- used only to set up example 2) I will be using this as a basis for Example 2 buy sold sale bought prof/loss 500 TLC 8/20 8/22 10,000 9,000 1,000 500 TLC 8/25 8/26 11,000 9,000 (2,000) I have no other purchases of TLC. I only have a loss of 1,000??? Kaye's answer "The second transaction isn't a wash sale because the stock you bought previously was sold before you purchased the stock you sold at a loss. The loss is allowed, and your net on these two transactions is a loss of $1,000." Example 2 ========== buy sold sale bought prof/loss 500 TLC 8/20 8/22 11,000 9,000 (2,000) 500 TLC 8/25 8/26 11,000 9,000 (2,000) Questions: 1) Are any of these wash sales? If yes, which? 2) Can I deduct 4,000 from my gains from these transactions?