Tax loss harvesting VTSAX

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Topic Author
pwill112
Posts: 22
Joined: Thu Sep 21, 2017 10:38 am

Tax loss harvesting VTSAX

Post by pwill112 » Thu Jan 10, 2019 4:50 pm

Hi Everyone,

I want to tax loss harvest VTSAX. I did just buy VTIAX today.

The tax lost harvest rules state:
According to the wash-sale rule, when you harvest losses, you cannot repurchase substantially identical investments for 30 days.

Are VTIAX and VTSAX "substantially identical investments"?

Thanks,
Phil

livesoft
Posts: 64186
Joined: Thu Mar 01, 2007 8:00 pm

Re: Tax loss harvesting VTSAX

Post by livesoft » Thu Jan 10, 2019 4:51 pm

No, they are not. Can you tell me why? If you cannot, then it suggests that you don't know what you invested in.
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Topic Author
pwill112
Posts: 22
Joined: Thu Sep 21, 2017 10:38 am

Re: Tax loss harvesting VTSAX

Post by pwill112 » Thu Jan 10, 2019 5:37 pm

One is international the other domestic but I wanted to be certain.

stocknoob4111
Posts: 402
Joined: Sun Jan 07, 2018 12:52 pm

Re: Tax loss harvesting VTSAX

Post by stocknoob4111 » Thu Jan 10, 2019 5:58 pm

pwill112 wrote:
Thu Jan 10, 2019 5:37 pm
One is international the other domestic but I wanted to be certain.
yeah, they are about as far apart in difference as you can get, in the equities space at least :D

aknewark18
Posts: 10
Joined: Sun Jun 17, 2018 11:57 am

Re: Tax loss harvesting VTSAX

Post by aknewark18 » Thu Jan 10, 2019 6:03 pm

Is VTSAX and VFIAX are treated as same for TLH?

02nz
Posts: 926
Joined: Wed Feb 21, 2018 3:17 pm

Re: Tax loss harvesting VTSAX

Post by 02nz » Thu Jan 10, 2019 6:11 pm

aknewark18 wrote:
Thu Jan 10, 2019 6:03 pm
Is VTSAX and VFIAX are treated as same for TLH?
No they follow different indices, even though performance will generally correlate very strongly. Ideal TLH partners.

rkhusky
Posts: 6068
Joined: Thu Aug 18, 2011 8:09 pm

Re: Tax loss harvesting VTSAX

Post by rkhusky » Thu Jan 10, 2019 7:42 pm

aknewark18 wrote:
Thu Jan 10, 2019 6:03 pm
Is VTSAX and VFIAX are treated as same for TLH?
VTSAX has a few thousand more stocks.

bubbadog
Posts: 707
Joined: Wed Mar 26, 2014 9:17 pm

Re: Tax loss harvesting VTSAX

Post by bubbadog » Thu Jan 10, 2019 8:10 pm

aknewark18 wrote:
Thu Jan 10, 2019 6:03 pm
Is VTSAX and VFIAX are treated as same for TLH?
I use these funds for TLH purposes. You should be fine.

Just make sure you don't make any accidental purchases via dividends/capital gains within the 30 day window on either side of the TLH.

Putting CGs and dividends into a money market fund and not automatically reinvesting is the easiest way to avoid this.

aknewark18
Posts: 10
Joined: Sun Jun 17, 2018 11:57 am

Re: Tax loss harvesting VTSAX

Post by aknewark18 » Fri Jan 11, 2019 12:50 am

Thanks for responses, I had done TLH between these 2 funds last year, just wanted to confirm..

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