Investor Glossary-wash sale ruleInvestor Glossary-wash sale ruleInvestor Glossary-wash sale ruleInvestor Glossary-wash sale ruleInsightful stock market charts - Click here
investor
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Wash Sale Rule

The HTML to link to this page
 

The wash sale rule is an IRS rule that prohibits investors from claiming a tax loss on the sale of an investment if the same investment was purchased within 30 days before or after the original investment's sale date. Investors should note that this 60 day period is calender days, not trading days. This period is referred to as the wash sale rule period. The intent of the wash sale rule is to discourage investors from selling at a loss simply to gain a tax benefit. The wash sale rule is also known as the 30 day wash sale rule. The wash sale rule may apply even if actual stock is not acquired. If the investor enters into a contract or an option to acquire stock, the terms of the wash sale rule are applicable.



Rate this wash sale rule definition...

Learn about investing with the Investor Glossary Term of the Day


Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.


Popular Terms: average price per share, annual return, irrevocable trust, ex-dividend, inflation, open position, Zero Cost Collar, stock split, quality assurance, Key Rate Duration, deferred revenue, APR, reverse mortgage, minority interest, phantom income, debt service coverage, option premium, real GDP, LIBOR, balance sheet, 1035 exchange, diluted share, ex-dividend date, 144a, command economy, class C shares, cancelled check, in escrow, VIX, covered put, per diem, labor relations, required rate of return, FTSE, wholly-owned subsidiary, FICO score, limit order, implied volatility, dividends payable, liquidity ratio, retained earnings, EBITDA, deferred tax, stock market close, margin rate, current ratio, 401a, risk management, 1031 exchange


Home | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
Investor Glossary Index >>> # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
©2004-2014 Investor Glossary - All rights reserved - Terms of Use