Hi all,
I appreciate everyone’s indulgence in what I’m sure is a simple issue. For some reason I have this fear about triggering conversions of realized losses into wash sale losses even if they’re outside of the 60-day window. In the following scenario, how much would my wash sale amount be?
1 March: I sell my entire position (100 shares) for a $100 realized loss;
1 April: I re-buy 100 shares of the stock (30 days’ past so no wash sale);
15 April: I sell 50 of the 100 shares of the stock for a $50 loss.
I know the 15 April $50 loss would count as a wash sale against the remaining 50 shares purchased on 1 April, but would the 1 March $100 losses stay as realized losses or would they also be converted to wash sale losses?