Harvesting capital losses is a popular way to generate tax savings. It’s so popular, in fact, that, not long after the U.S. income tax was created a century ago, the strategy was rapidly adopted as a tax savings technique and became a perceived tax abuse.

This, in turn, led to the establishment of one of the first pieces of legislation to close a tax loophole: the wash sale rule.

Register or login for access to this item and much more

All Financial Planning content is archived after seven days.

Community members receive:
  • All recent and archived articles
  • Conference offers and updates
  • A full menu of enewsletter options
  • Web seminars, white papers, ebooks

Don't have an account? Register for Free Unlimited Access