Hello all, I think I made a mistake and sold RSUs which should have triggered the wash rule.
some of my RSUs vested on 11/15 from my company.
but
- I sold some RSUs that I have been holding for a few years (long-term) at a loss on 11/29 and
- I also sold RSUs that were vested on 11/15 (short-term).
I am pretty clear that this applies to the wash rule so I won't be able to claim any of these losses from 1. to offset my gains.
It was in my understanding that when this happens, the loss is instead added to the cost basis of my new investment (which I think is the RSUs that vested on 11/15).
but my question is, I have also sold these new investments at the same time 2.
does this mean, I even lose the opportunity to add these losses to the cost basis of my new investment? does this carry forward somehow until I vest or purchase the same/similar stocks?
any help or advice is much appreciated. thanks in advance.
source https://www.investopedia.com/terms/w/washsale.asp
Reporting a Wash Sale Loss
The good news is that any loss realized on a wash sale is not entirely lost. Instead, the loss can be applied to the cost basis of the most recently purchased substantially identical security. Not only does this addition increase the cost basis of the purchased securities, but it also reduces the size of any future taxable gains as a result.
Thus, the investor still receives credit for those losses, but at a later time. Also, the holding period of the wash sale securities is added to the holding period of the repurchased securities, which increases an investor’s odds of qualifying for the 15% favorable tax rate on long-term capital gains.
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