Sell some stuff he has left at a gain and then if he is in love with it, buy it back.
Other then that, not much you can do.
Helen, EA in PA
answered 19 Nov '09, 16:56
Helen EA in PA
Keep in mind that capital losses, like NOLs, live and die with the taxpayer. When your taxpayer dies his losses die with him. If you can't find a way to utilize them they may be lost.
Also remember that the wash sale rules ONLY apply to losses - he can sell his winners and immediately repurchase them which will step up his basis with no immediate tax effect.
answered 13 Jan '10, 18:49
That is why people purchase useless stock to offset the gains to the losses until you rid yourself of the problem.
But make sure that buying back the stock that he "loves" does not negate the losses he can take due to holding periods :)
answered 19 Nov '09, 19:02
This is why financial planning accompanied by financial literacy is so extremely important! At $3,000 per year it will take 67 years to utilze all the losses unless capital gains can be generated!
For further infromation of financial literacy, please refer to the "financial literacy" page on my blog.
answered 20 Nov '09, 09:24