Wash sale

[terryats]

Charles Swab says it is rare but possible. A wash sale cannot creat a gain it just add to the basis of shares bought that created the wash

[FEDUKE404]

I've had plenty of clients with wash sales, some inadvertent (DRIP programs with loss sales in the near time area).
The cumulative Form 1099-B information should plainly show a "W" which gets transferred to Form 8949. Some software will separate those sales with / without a code w, where you might encounter TWO Forms 8979 with "Code D" sales. If you just attach a brokerage summary (ies) as a PDF file, there will only be one 8949 for each category.

The tax software tales care of the math.

As for the OP, those numbers sound a bit. . .confusing. At the very least the $300k loss would be eliminated, with resulting cost basis adjustments rattling around.

[rwm221]

Yes it was the same stock and on the same line of the report

[Anarchrist]

Wash sales negate losses.

Is this all on one stock or is this the totals on the consolidated 1099?
Did he sell a stock w/ $300k loss and then buy $400k of the same stock?
Or did he sell a bunch of stocks that included a $400 wash sale?

Some brokers adjust the gain/loss for the wash, some don't. You have to look at the detail included with the consolidated 1099 to determine what the broker reported.

[rwm221]

I have a client that has a 300,000-capital loss but on the same has a 400,000-wash sale. Does that negate the loss and does he have a gain of 100,000