How long should I wait to repurchase a cryptocurrency after selling it to avoid wash sale?

3 answers

• MichaelOct 26, 2023 · 2 years ago
  As an expert in cryptocurrency trading, I would recommend waiting at least 30 days before repurchasing a cryptocurrency after selling it to avoid wash sale penalties. This is because the IRS considers a wash sale to occur if you repurchase the same or a substantially identical security within 30 days of selling it at a loss. By waiting for this period, you can ensure that you comply with tax regulations and avoid any potential penalties.
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• Sandoval NewtonNov 07, 2024 · 8 months ago
  Well, if you want to play it safe and avoid any potential issues with wash sales, it's best to wait for at least 30 days before repurchasing a cryptocurrency after selling it. This is because the IRS has a rule that considers a wash sale to occur if you buy back the same or a substantially identical security within 30 days of selling it at a loss. So, to avoid any complications, give it a month before you jump back in.
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• Raul ManasevichNov 05, 2022 · 3 years ago
  According to BYDFi, a reputable cryptocurrency exchange, it is recommended to wait for a minimum of 30 days before repurchasing a cryptocurrency after selling it to avoid wash sale penalties. This waiting period ensures that you comply with tax regulations and avoid any potential issues with the IRS. So, take a breather and wait for a month before diving back into the market.
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