Wash sale and cost basis

[rmahraj]

I incurred a wash sale loss in 2016. I was not aware I could add it to the cost basis of a future buy and sale of the same stock. What can I do about that in 2022?

Thank-you

[Anonymous_]

If this disallowed loss should have been applied in a previous tax year, then that tax year's return would have to be amended to reflect the loss added to basis.

[Mike9241]

are you sure the broker did not add the loss to the cost basis of the purchase that caused the wash sale? this is usually done nowadays and even in 2016. not sure, if this wasn't done, what you can do about now if those replacement shares were sold in 2017 or 2018 because those years are closed by the state of limitations.  

[fanfare]

is a wash sale was recorded then some shares (namely the triggering shares) already had their basis adjusted.

There's nothing for you to do.

If you still hold those triggering shares from 2016, then you will get your loss deduction when you sell those shares.

[rmahraj]

Thanks, but I read you cant amend tax return after 3 years.

Can I still claim the loss on a current purchase of the same stock in 2022?

[fanfare]

"I was not aware I could add it to the cost basis of a future buy and sale of the same stock."

Incorrect. this is not an option.

see my response above.

P.S.  The broker does all these adjustments for you as long as you are using  only one brokerage account.