Read an interesting article in today's Wall St. Journal concerning "harvesting" tax losses in cryptocurrency investments.
I had not been aware that, for now at least, the 30 day "wash sale" rule that applies to most securities apparently does not apply to crypto.
This "loophole" allows such an investor to sell their cryptocurrency position to establish a tax loss, and buy back a position within the 30 days.
As I understand the article, a movement is afoot in the house Ways and Means committee to end this loophole, to be effective 1-1-22
I had not been aware that, for now at least, the 30 day "wash sale" rule that applies to most securities apparently does not apply to crypto.
This "loophole" allows such an investor to sell their cryptocurrency position to establish a tax loss, and buy back a position within the 30 days.
As I understand the article, a movement is afoot in the house Ways and Means committee to end this loophole, to be effective 1-1-22