If you missed that article , go back and check it out. We also introduced the exceptions to the constructive sale rules. In this article, we'll look at the exceptions in much more detail. We've discussed various issues regarding the new constructive sale rules. Moving forward, there are still a few items to review.
Many investors use other transactions to hedge their positions.
I'm personally waiting for the regulations from the IRS on this very issue. Those regulations will address these issues and how they relate to constructive sales. They'll also likely provide specific examples for various financial transactions. But, as of this date, those regulations are still not published. Special Transactions Remember that the constructive sale rules were implemented to impact transactions that had the effect of eliminating substantially all of your risk of loss and opportunity for income and gain with respect to the appreciated financial position.