A short sale of a security which the seller does own but does not want to close out his/her position in, for tax or other reasons. also called selling short against the box.
Related information about shorting against the box:
- Short Sell Against the Box Definition | Investopedia
Before 1997, the sole rationale for shorting against the box was to delay a taxable event. According to tax laws that preceded 1997, owning both long and short ...
- Selling Short Against the Box
In 1997, the tax rules for shorting against the box were strengthened. The primary objective of the rules, however, was to prevent unlimited lock-in of gains.
- Hedging Technique Opens a Pandora's Box of Tax Concerns ...
Jul 31, 1999 ... In 1997, the IRS limited the advantages of 'shorting against the box,' but it didn't completely eliminate them.
- Invest FAQ: Trading: Shorting Against the Box
Jul 5, 1998 ... This article from The Investment FAQ discusses trading, specifically shorting against the box.
- What is shorting against the box? definition and meaning
Definition of shorting against the box: A short sale of a security which the seller does own but does not want to close out his/her position in, for tax or other ...
- Short Against the Box - Financial Dictionary - The Free Dictionary
The Taxpayer Relief Act of 1997 largely eliminated shorting against the box as a means to defer a gain into a future year. Also called against the box, selling ...
- IRS Blows Up Short-Against-The-Box - DerivativesStrategy.com
The law, which grandfathers transactions entered into before June of this year, says that classic forms of shorting against the box are a "constructive sale,” ...
- Selling Short Against The Box: Definition from Answers.com
This technique was curtailed as a way to defer taxes by the taxpayer relief act of 1997. Under the law, shorting against the box after June 8, 1997 is considered a ...