Posts Tagged ‘Tax Case Study’
Those Pesky Wash Sale Rules
Investors looking to realize capital losses at the end of the year need to be made aware of the Wash Sale Deferral Rules under I.R.C. 1091. Disposing of a stock or security at a loss and then within the 61-day time frame (30 days before + trade date + 30 days after) acquiring (or enters…
Read MoreTax Court Case Emphasizes Importance Of Identifying Securities To Be Sold
When a taxpayer holds multiple lots and/or shares of the same securities with different costs basis and/or holding periods, the default method of determining which securities are sold first is the first-in, first-out (FIFO method). Taxpayers are allowed to elect out of the FIFO method and direct their broker to specifically identify the lots and/or…
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