Accommodation Trading

Business, Legal & Accounting Glossary

Definition: Accommodation Trading


Accommodation Trading


Full Definition of Accommodation Trading


A tax-avoidance technique whereby two traders agree to make a non-competitive stock trade that allows one trader to claim an investment loss when filing taxes. For example, Tim agrees to purchase shares that Joe bought for $50 at a price of $40; thereby, Joe can claim a loss of $10 per share. Once taxes are filed, Tim sells the shares back to Joe at a price of $40, creating a “wash sale”.


Cite Term


To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
https://payrollheaven.com/define/accommodation-trading/
Modern Language Association (MLA):
Accommodation Trading. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
December 06, 2021 https://payrollheaven.com/define/accommodation-trading/.
Chicago Manual of Style (CMS):
Accommodation Trading. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/accommodation-trading/ (accessed: December 06, 2021).
American Psychological Association (APA):
Accommodation Trading. PayrollHeaven.com. Retrieved December 06, 2021
, from PayrollHeaven.com website: https://payrollheaven.com/define/accommodation-trading/

Definition Sources


Definitions for Accommodation Trading are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 20th November, 2021 | 0 Views.