If I sell a stock for a profit, buy more 1 day later and have a loss, will it be a wash if I wait 31 days before I re-enter the that stock?
- zman492Lv 71 year ago
No, it would not be a wash sale.
Any time you sell shares for a profit it cannot be a wash sale, so your first sale will never be considered a wash sale.
The second sale would be a wash sale if you replaced the shares before 31 days after the sale, but you specified you waited 31 days before replacing the shares, so it would not be a wash sale.
For a comprehensive explanation of the wash sale rule in simple English see
- ntLv 61 year ago
You owe taxes on the gain. Then you have a new cost basis by buying more the next day. Waiting 31 days to re-enter does not made sense because you re-entered the next day.
Wash sales are when you take a loss but by back too soon. I thought anyway.
- Steve HLv 61 year ago
This depends upon the amount profited and lost.
You need also to take into account fees on the buy / sell transactions.
Perhaps study the market for at least a year and consider completing the free courses offered by your local stock exchange. This won't guarantee a profit, but will be a factor in improving your potential financial performance.