
A retiree lost $2,400 in tax savings due to an overlooked wash-sale rule triggered by automatic dividend reinvestment.
A 66-year-old retiree in Pennsylvania aimed to generate $55,000 annually from a $1.1 million portfolio but lost $2,400 in tax savings because her IRA automatically reinvested dividends shortly after she sold shares at a loss. This triggered the IRS w...

