I have a series of wash sales & associated replacement sales.
I have manually entered the wash sales by filling in the 1g with wash sale value disallowed.
Now, if I am not wrong, I can recover this loss when I sell the replacement shares (which I did).
Should I just add the deferred loss to the cost basis of the replacement shares?
What if I have multiple replacement shares & those are wash sales too?
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you are on the right track. If your replacement shares are a wash, keep going applying the rule.
Your broker will calculate wash sales for you, and I spent a lot of time trying to understand what they did with my account i.e selection of replacement shares.
In the end I just reported the wash sales as shown on my 1099-B.
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