How do I apply tax loss harvesting with turbo online?

[dl7e09]

Hello, if I want to tax loss harvest using Turbo Tax online, can I just import the brokerage information and Turbo Tax will automatically apply my tax loss harvest or I will have to do the calculation and apply it manually?

For example, I have a harvest a capital loss by selling an investment with a cost basis of $30,000 when the price drops to $25,000. If I enter my connect Turbo Tax to my fidelity account, will Turbo Tax use information from my annual 1099 to calculate the tax loss harvest resulting capital loss of $5,000 (cost basis of $30,000 minus sale price of $25,000) to offset the same amount of capital gains, they could lower this year’s tax bill by $750. 

Or am I expected to do the calculation?

[tagteam]

In the scenario you described, TurboTax will do the requisite calculations.

[fanfare]

your broker reports your gain/loss transactions on consolidated 1099-B.

TurboTax just loads in that information.

A loss must be taken at least two business days before year end. Otherwise it will apply to next year.

@dl7e09 

[tagteam]

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@fanfare wrote:

A loss must be taken at least two business days before year end. Otherwise it will apply to next year.

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It's the trade date that is relevant, not the settlement date.

[Mike9241]

also be vary of wash sales. the acquisition of substantially identical securities (SIS)  30 days before or after the date of sale of securities at a loss. a wash sale can even occur if the acquisition occurs in the following year. a wash sale means the loss will be denied until the SIS are disposed of and not reacquired in the 61 day window,