Sunday, December 27, 2009

Wash Sales Rule - investments in multiple firms.?

Does the Wash Sales Rule apply if:





The purchases and sales were made with 2 different firms?


Scenario-


Buy XYZ on 7/1 using Fidelity.


Sell XYZ on 7/3 at a loss using Fidelity.





Buy XYZ on 7/2 using Tradestation.


Sell XYZ on 7/5 using Tradestation.





I understand that your loss may be disallowed if a person/entity related to you make a purchase (for example an IRA).





However aren't the shares specifically identified because they are held within two different accounts with two different firms?Wash Sales Rule - investments in multiple firms.?
It does not matter if you use the same house or not, you bought after a loss within the timeframe, it is a wash sale.





Helen, EA in PAWash Sales Rule - investments in multiple firms.?
If it's the same class of shares in the same company, it doesn't matter what broker or method of sale you use, it's still subject to the wash sale rule.

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