What triggers the wash sale rule?

Selling a security at a loss and buying a substantially identical security (same stock, same bond CUSIP, call option giving right to buy same stock) within 30 days before OR after the sale date.

What happens when a wash sale is triggered?

The loss is disallowed but not permanently lost. The disallowed loss is added to the cost basis of the replacement shares. The holding period of the original shares also transfers to the replacement shares.

Do wash sale rules apply to IRAs?

If you sell at a loss in a taxable account and buy the same security in an IRA within the 30-day window, the loss is permanently disallowed — the basis adjustment does not apply to IRA accounts.

Wash Sale Rule 30-Day Calculator

Determine if your stock sale triggers the IRS wash sale rule. A wash sale occurs when you sell at a loss and buy the same or substantially identical security within 30 days before or after the sale.

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$ Finance Disclaimer: These calculators are for educational and illustrative purposes only. Results do not constitute financial advice. Consult a licensed financial advisor before making investment or borrowing decisions.

How to Use

Enter the values for the scenario you are assessing. Determine if your stock sale triggers the IRS wash sale rule. A wash sale occurs when you sell at a loss and buy the same or substantially identical security within 30 days before or after the sale. Use the wash sale rule result to inform your calculation.

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Wash Sale Rule 30-Day Calculator

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Frequently Asked Questions

What triggers the wash sale rule?

What happens when a wash sale is triggered?

Do wash sale rules apply to IRAs?