11. The identification of a wash sale and adjusting the basis of the replacement stock is an iterative process. 12. First, you need to know about IRS rules on so-called wash sales -- transactions done solely for tax purposes. 13. With five weeks left in 1994, here are some tactics to consider now : ` Swaps'vs . wash sales 14. Unlike other capital losses, those created in a wash sale cannot be used to offset capital gains this year. 15. Q : You recently answered a question about wash sales of stock, but I would like to ask another. 16. When selling shares, investors should also watch out for the " wash sale " rule of the Internal Revenue Code. 17. That would be akin to using your marriage like a " wash sale " on stocks-- a move prohibited by the IRS. 18. If you receive the benefit later in the same year, the wash sale may have no effect at all on your taxes. 19. Any purchases made after Tuesday would make a sale during the remainder of 1995 a wash sale , wiping out the tax benefits. 20. Those shares have a basis of $ 52 per share : the $ 32 you paid, plus the $ 20 wash sale adjustment.
