A complex question: How the IRS tracks which individual shares that wash sale rule applies to?

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I would like to resell some of my shares in the next trading day if they didn’t fill (expired). My problem is that i have no way to track those individual shares since at the end of the day, they expire and therefore their order_id and other metadata as well. I can only query the number of shares and the sell price that i put them up for. What i don’t understand is how the IRS can track if a sale is a wash sale if there is no way to track the shares once they expire. So if i would want to put them up for the same price (so NOT for a loss) how can I identify which sales should i put up?

For example:
I bought 10 shares from NVDA for 100$ and i put them up for sale for 105$. Then i bought another 10 shares from NVDA for 102$ and put them up for sale for 110$. The orders didn’t fill during the day. At the end of the day they are expired. In the next day i would like to put up 10 from the 20 shares for sale for 105$ and the remaining 10 for 110$. In theory i shouldn’t be flagged for breaking the wash sale rule since i put up each share for a profit. But here is my problem. I have no way to tell which 10 of those 20 shares should go for 105$ and which should go for 110$. What happens if i only sell based on qty (so 10 - 10)? Is there a chance that amongst the 10 shares that i’m trying to put up for 105$ are some that should go for 110$ and vice versa? How to get around this if that is the case?
I found no answers on other forums.

Thank your for the answers.

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By default the IRS uses the First-In-First-Out (FIFO) method for determining which shares you sell. While the IRS does allow a taxpayer to override this default and specify the shares or ‘lots’ which are being sold, Alpaca currently doesn’t support that. Some brokers may allow a trader to specify lots but Alpaca currently does not.

Note that you could track these lot sales on your own and report them on your own to the IRS. That is completely up to you. If you want to file with the IRS that you sold lot XYZ that is fine. However the capital gains and wash sales calculated in this way may not match your Alpaca 1099B form making tax filing more complicated. Perhaps do web search for “how can i report stock lots on my tax return when my broker uses FIFO”.

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