But don't get discouraged if you're not able to take advantage of the capital loss this year because of a wash sale, Mueller says.
22.
Your accountant evidently believes that when you create a wash sale, you permanently forfeit your right to claim a capital loss on the transaction.
23.
If you sell shares and repurchase them within 30 days, you run afoul of the " wash sales " rule and cannot claim the loss.
24.
But at this time of year, you must act within the next few days to avoid a collision with the government's " wash sale " rule.
25.
A . That strikes me as an excellent strategy, especially if you repurchase the shares shortly after the " wash sale " time period has expired.
26.
While tax losses are disallowed on wash sales, the unused loss can be added to the cost basis of the purchased shares which triggered the wash-rule violation,
27.
Merrill Lynch, despite a policy against wash sales since at least March 1985, took the order and sent it to Soule, the floor broker for Country Hedging.
28.
For example, under the " wash sale " rule, the IRS does not allow a loss deduction when shares are sold and then bought back within 30 days.
29.
WASH SALES : You should never make a decision based solely on tax considerations, so it's important to first ask what you want to do with your investment.
30.
"We have policies in place prohibiting wash sales, but since then we've taken steps " to make sure they don't happen again, said Merrill Lynch spokesman James Wiggins.
