Replies to post #51924 on SunWorks Inc (SUNWQ)

[buckylaw06]

Anyone thinking about tax loss harvesting on SLTD does have to be aware of the wash sale rules, as you mention. However, they should do their own research and/or seek professional tax advice.

I think you also cannot claim a tax loss if you purchased the stock within 30 days prior to selling it, in addition to repurchasing within 30 days. Don't take my word for it, but that is my recollection from reading about it in the past.

Also, fairly sure there is no limit to the investment loss you claim, if you are using it to offset investment gains.

My opinion, it's a bad idea to sell for tax losses if you plan to just buy back into the same stock in the near future. Of course, you don't lose the right to bank the loss forever if the wash sale rule gets you; the loss just gets factored into the cost basis of your new purchase.

The TAX season is upon us.

I suspect that you will see a lot of selloff in the next couple of weeks before years end. SLTD, unfortunately, is in negative land for a lot of investors. Since you can claim up to $1500 in investment losses on your tax return this year, I think we will see a number of people take advantage of that and selling a portion of their stock in order to reduce their tax position. Myself included. (Anyone thinking of doing this is reminded that the IRS will disallow your loss if you buy back in prior to 31 days after taking your loss.) personally I see minimum risk in doing this as I don't expect the PPS to change much until end od March 2016.

An added advantage is that in all likelihood you will end up reducing your average PPS. (BTW, this doesn't work in IRA accounts, at least to my understanding.)

So,since we are all gamblers to begin with, I think this might be worth everyones attention. This doesn't in anyway mean that I have lost the faith. It just a business decision that can offset other obligations. In my case I can buy back in mid January. Long before, I believe, any action will be taken that would substantially improve the PPS.

[kukadu]

Tax season - until now a real pleasure
As I am still red I too expected a sell off due to tax reasons. I do not have a clue why we are climbiong. Nevertheless I enjoy it on a lovely warm evening here in bavaria (9°C, no snow for christmas, the alps are grenn up to 1500m).