Replies to post #171713 on Biotech Values

[DewDiligence]

Fidelity for years now has allowed you to choose which [tax] lots you are [selling]. But there you have to make the choice prior to the trade.

It’s odd that Fidelity has a stricter lot-selection policy than the federal tax code, which merely requires that the tax lots being sold be specified before a transaction’s settlement date.

[oc631]

I'm pretty ruthless about selling out any shares showing a loss prior to year end (assuming they are held in a taxable account of course).

This not only is this a wise tax strategy, it provides an incentive for investors to put their egos behind them.


Getting back to wash sale rules. It seems unfair the IRS extends the wash rules between taxable and Traditional IRA accounts in which distributions are not being made within the given, or following tax year. Does the IRS receive annual 1099-R forms listing trading activity for IRA accounts?