washed sale Synonyms

No Synonyms and anytonyms found

washed sale Meaning

Webster

Same as Wash sale.

The investor triggered a wash sale by selling shares at a loss and then buying substantially identical shares within 30 days.
The wash sale rule prevents taxpayers from claiming losses on sales of securities if they repurchase similar securities within a short period.
To avoid a wash sale, the new shares must be acquired more than 30 days after the sale date or more than 30 days before the repurchase date.
The wash sale rule applies even if the initial sale was made at a gain, but the repurchase was made at a loss.
The purpose of the wash sale rule is to prevent taxpayers from artificially creating losses to reduce their tax liability.
If an investor triggers a wash sale, the disallowed loss is added to the basis of the repurchased shares.
The wash sale rule can have significant tax implications for investors who frequently trade in volatile markets.
Investors should be aware of the wash sale rule to avoid unintentionally triggering it and losing the ability to claim losses.
The wash sale rule does not apply to all sales of securities, such as those made to cover short positions or when the taxpayer has no intention of repurchasing the same security.
Taxpayers should consult with a tax advisor if they have any questions about whether a particular transaction will trigger a wash sale.

Same as Wash sale.

No synonyms found.

No antonyms found.

The investor triggered a wash sale by selling shares at a loss and then buying substantially identical shares within 30 days.

The wash sale rule prevents taxpayers from claiming losses on sales of securities if they repurchase similar securities within a short period.

To avoid a wash sale, the new shares must be acquired more than 30 days after the sale date or more than 30 days before the repurchase date.

The wash sale rule applies even if the initial sale was made at a gain, but the repurchase was made at a loss.