The IRS will also reject the reported loss if it qualifies as a wash sale. > You cannot deduct losses from sales or trades of stock or securities in a wash sal

The IRS will also reject the reported loss if it qualifies as a wash sale. > You cannot deduct losses from sales or trades of stock or securities in a wash sale unless the loss was incurred in the ordinary course of your business as a dealer in stock or securities. https://www.irs.gov/pub/irs-pdf/p550.pdf https://www.irs.gov/pub/irs-pdf/p550.pdf