Wash sale and Roth account

[binl1908]

Okay, say I have 1000 shares of XYZ in a taxable account and I sell 500 of them for a loss of $3000. Then I make the mistake (yeah pretty stupid) of buying 50 shares of XYZ into my Roth account the next week. As I understand it, I can now only claim $2700 of my capital gain loss because of the wash. The question is whether I can add the $300 disallowed loss to my taxable account, or is it thrown away since there is no basis for assets in a Roth account ?

[mwcpa]

As you are learning an individual retirement account (IRA) cannot be used to avoid the effect of the wash sale rule.
The $300 loss in your example is lost forever.

Revenue Ruling 2008-5

the facts noted were
"A, an individual, owns 100 shares of X Company stock with a basis of $1,000. On December 20, 2007, A sells the 100 shares of X Company stock for $600 (the “Sale”).
On December 21, 2007, A causes an individual retirement account (within the meaning of §408) or a Roth IRA (within the meaning of §408A), established for the exclusive benefit of A or A's beneficiaries, to purchase 100 shares of X Company stock for its then fair market value (the “Purchase”).
A executes the Sale and the Purchase with different, unrelated market participants.
A is not a dealer in stock or securities."

the result was
"The loss on the Sale of stock is disallowed under §1091. A's basis in the individual retirement account or Roth IRA is not increased by virtue of §1091(d). This ruling does not address any issues other than those specifically addressed herein"