1099-B question - box 1g wash sale loss disallowed

[Mitzy20]

If you have a loss on a 1099-B, either a short term or long term covered security, AND there is a wash sale disallowed amount (Box 1g), is that wash sale disallowed amount added to the loss, or subtracted from it?

Example 

Box 1d: 71,836.63

Box 1e: 71,967.68

Box 1g: 2.59

the 1099-B shows a loss of 131.05 before applying Box 1g.
in other words, does box 1g increase the loss or decrease it?

[AmyC]

Neither. A wash sale is added to the basis of the next purchase.

A wash sale means you were buying and selling the same security within a disallowed time frame (30 days of the sale) and the loss is added to the basis of the stock you bought.

Your brokerage may or may not be keeping up with your wash sale losses and your basis. You should be doing that.

Example:

Buy ABC 100 shares for $4,000 - date irrelevant

Sell ABC  100 shares April 1 for $2,000 0 could be a $2k loss

Buy ABC 50 shares  April 28 for $1,200

A purchase between April 2 and May 1, that is 30 days either side of the sale, you have a wash sale. So the wash is added to the basis and the most recent purchase is your purchase date.

However, only half the shares were purchased. So half is a loss and half is a wash.

Now, basis is $2,200, purchase date is April 28.

Half the shares reported as sold for $1k loss

[Mitzy20]

Sorry - not 100% clear on your response. I am asking how TT handles box 1g with respect to calculating gain or loss.

It appears TT added box 1g (2.59) to the -131.05 loss on the 1099-B and, as a result decreased the loss to -128.46:

Example given in original post:

Box 1d: 71,836.63

Box 1e: 71,967.68

Box 1g: 2.59

the 1099-B shows a loss of 131.05 before applying Box 1g.

So while it impacts basis - doesn't it also impact the total net gain/loss that is used to determine tax on the 1040?