Tax Loss Harvesting Nubie Questions

[bluetick]

Hey All,

This is the first chance I've had to do some tax loss harvesting. Got a few questions. Currently, in my brokerage account I'm holding VTI, VXUS and VCITX ( California Long Term Tax Exempt Muni Bond Fund). In my IRA, Ive got VTSAX with about $1350 in contributions left for 2020.  If I sell VTI in the brokerage and buy S&P 500, but in my IRA just continue buying VTSAX does that count as a wash sale?

Also,  should I bother tax loss harvesting the VCITX? I had planted my mid-range  cash there while I was figuring out what to do with it. 

Up until now my asset allocation was 100% stocks if we pretend the VCITX was just a savings account.

[MDM]

If I sell VTI in the brokerage and buy S&P 500, but in my IRA just continue buying VTSAX does that count as a wash sale?

The IRS could easily maintain that VTSAX and VTI are "substantially identical" and you would be hard pressed to disprove it, so yes that probably would be a wash sale to the extent of the VTSAX IRA purchases.

Also,  should I bother tax loss harvesting the VCITX? I had planted my mid-range  cash there while I was figuring out what to do with it.

That's up to you.

[terran]

Agreed, I wouldn't feel comfortable buying VTSAX in any account within 30 days (before or after) selling VTI at a loss in a taxable account.