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Hello,
I do not do much trading. I bought 150 shares and sold them at loss of around $700. Next day, I bought 200 shares in the same security at $6500 and I am planning to keep them at least until the year of 2021.
Let us assume that I sell those shares in February 2021 at $7500. Can I add $700 wash sale disallowed amount to the basis amount for tax year of 2021?
Thank you.
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The wash sale loss computation is attached to the basis of the stock and is used whenever you eventually sell the stock.
if you look at your brokerage statement or maybe even your a/c online you should see the cost of the shares you bought for $6,500 that caused a $700 wash sale as $7,200. brokers automatically adjust the basis for wash sales. be careful because when you sell these there will be a loss if sold for less than $7,200 so if you buy them again within 31 days of the sale there will be another wash sale.
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