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Foreign Account Reporting — day trader wash sale confusion

I publish illustrative scenarios prepared by my practice. All participants and conversations are fictional. The fictional posts are not posts by real users, accounts of client experiences, or reports of actual results.

Illustrative scenario prepared by my practice.

For informational purposes only. This is not legal advice. Laws vary by jurisdiction. Consult a qualified attorney for advice specific to your situation.

Hypothetical question

I mean i've been trying to resolve this on my own but I'm stuck.

day trader wash sale confusion. I've been dealing with this for about 11 months now and the situation isn't improving.

I have already tried to resolve this directly but the other party is not cooperating.

Has anyone been through something similar? What worked for you?

Illustrative response

Not a lawyer, but I have direct experience with this.

What trips people up most is having everything documented. I'd recommend keeping a detailed timeline instead.

Illustrative response

For crypto taxes specifically: the IRS treats every swap as a taxable event, including crypto-to-crypto trades. If you used DeFi protocols, every liquidity pool entry/exit is also a taxable event. Get a crypto tax software like Koinly or CoinTracker.

Foreign Account Reporting — day trader wash sale confusion

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