March 1: buy 1 share XYZ for $10
March 2: buy 1 share XYZ for $10
March 3: sell the March 2 share (with specific ID) for $11
March 4: sell the March 1 share for $9, a loss
I realize that even if it were a wash sale there’d be no economic consequence, since all positions are closed out by the end. But could the IRS consider it technically a wash sale? Can the March 2 shares be considered “replacement shares” even though they’re sold before the loss is incurred?