My Robinhood Securities Tax Document says I had a gain of close to $60000 under Form 8949 type and Wash Sale loss disallowed close to $200k. i did not have any gains last year but because of this form i am having to pay additional taxes :( Can someone tell me what this is? i did options trading and that has screwed me up :(
F
I think there is a limit on how much capital loss you can deduct each year. Of course there is no limit on how much taxes you can pay though 😉
Let Bernie rule. Taxes will be 100% in few years.
Can someone explain in simple English why is happening and in which scenario we cannot claim loss? Thanks in advance
I don't think 8949 applies to options.you definitely traded some stocks. Are these company stocks? Sometimes brokers don't report cost basis correctly. You may reduce the tax by making sure the cost basis is correct
You should have a CPA doing your taxes if you have that much potential liability to make sure it's done right. (The fact that you asking the question here suggests you dont have a professional doing your taxes)
A wash sale means you traded equivalent equities and as a result you cannot claim your loss against your gains. Sorry. Pressing F for sympathies.