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What Is the Primary Tax Benefit of the Wash Sale Rule Not Applying to Section 1256 Contracts?

The primary benefit is that traders can engage in loss harvesting without the 30-day waiting period. They can sell a losing position to realize the loss (which is then subject to 60/40) and immediately re-establish the position to maintain market exposure, as the mark-to-market rule prevents the deferral of gain.

Does the Holding Period Matter for Options on Section 1256 Contracts?
Is There a De Minimis Exception to the Wash Sale Rule for Small Traders?
How Does the Mark-to-Market Rule Interact with the Wash Sale Rule?
What Is a Section 1256 Contract and How Does Its Tax Treatment Differ from Regular Stock Trading?