Capital Gains Tax on Collectibles

[pootshwan]

How many people here pay this tax after flipping cards for a profit? If you don't, you're breaking the law. This must really cut into your profit if you're a prospector or flipper. Anything held for over 1 year is taxed at 28%, anything under a year is your normal income tax rate.

"If you invest in art, gold, silver, coins, stamps, wine, books, or virtually anything else that can be labeled a collectible, then the special collectible capital gains taxes probably apply to you. These rates are higher than regular capital gains taxes."

Capital Gains Tax Rates on Collectibles

 

[cmnkb8]

If you're making a profit on flipping cards, you really should think about establishing yourself as a business. Disclaimer: Consult a CPA or tax attorney to see what's best for you.

 

[pootshwan]

If you're making a profit on flipping cards, you really should think about establishing yourself as a business. Disclaimer: Consult a CPA or tax attorney to see what's best for you.

A lot of guys here are "prospectors" or "flippers" you would have to assume some of them are making a profit (as that is the main objective).

I don't think many people prospect for the "I told ya so" aspect.

 

[Derek2011]

A lot of guys here are "prospectors" or "flippers" you would have to assume some of them are making a profit (as that is the main objective).

I don't think many people prospect for the "I told ya so" aspect.

Bad assumption as there isn't a prospector out there who HASN'T come across their "Mitch Einertson"

 

[tonsofcommons]

Everyone who buys/sells on a regular basis should be claiming everything on their taxes, along with all the applicable deductions.

 

[cmnkb8]

Bad assumption as there isn't a prospector out there who HASN'T come across their "Mitch Einertson"

Why would it be a bad assumption? It's fairly safe to assume some have made profit. Just because one might've come across a Mitch Einertson doesn't mean you can't turn around and find a Mike Trout.

 

[uniquebaseballcards]

Since there's a capital gains tax on collectibles, has anyone been able to use cards as collateral on a secured loan?

 

[Pine Tar]

Having Redemptions in products is breaking the law. Selling something and saying your getting something thus not actually producing the card, or even taking to long to produce it is not right. So if I buy a card and flip it, for more money I'm not reporting it. And I never will as long our Federal Government allows Topps to drive sales on the premise that I can get a card from a product, to only find out it is by Redemption since they could not secure said card in time of release, and then not produce said card, and or send me a replacement for less the the original value, of said card.

 

[pootshwan]

Bad assumption as there isn't a prospector out there who HASN'T come across their "Mitch Einertson"

It's fairly naive of you to think no one is profiting from prospecting or flipping cards.

 

[shayscards79]

Well, until I get a 1099K from paypal... notasingleXXXXwasgiven.jpg

 

[pootshwan]

Having Redemptions in products is breaking the law. Selling something and saying your getting something thus not actually producing the card, or even taking to long to produce it is not right. So if I buy a card and flip it, for more money I'm not reporting it. And I never will as long our Federal Government allows Topps to drive sales on the premise that I can get a card from a product, to only find out it is by Redemption since they could not secure said card in time of release, and then not produce said card, and or send me a replacement for less the the original value, of said card.

You don't think Topps or any other Manufacturer for that matter have done their due diligence and covered their ass on this front? I'm sure they had their lawyers look into the legality of inserting redemptions into packs before releasing the product. They're a multi-million dollar company. I'm no legal guru but it's not like they're hiding anything from the buyer, you know before buying the product there are redemptions inserted. They're not disclosing that information. I would think that simple fact right there relieves them of any liability.

I appreciate your enthusiasm but believe me, it's not against the law to insert redemptions into baseball card packs.

 

[200lbhockeyplayer]

Since there's a capital gains tax on collectibles, has anyone been able to use cards as collateral on a secured loan?

Touche!

And a very interesting point.



Posted by witchcraft, voodoo and technological kung fu.

 

[jcmint]

LOL I guess we dont already pay enough tax in every other area in every day life.

 

[mjbuchanan80]

Anyone who is making a substantial profit on flipping...yeah go ahead and set up a business and pay business taxes. If your making a couple grand a year doing it from a few dozen sales, your a fool to report that. The # of things that are taxed in this country is insane. Screw the federal government and there attempt to nickel and dime us into oblivion.

-steps off my Libertarian soapbox.

Sent from my LG-P999 using Freedom Card Board mobile app

 

[shayscards79]

Anyone who is making a substantial profit on flipping...yeah go ahead and set up a business and pay business taxes. If your making a couple grand a year doing it from a few dozen sales, your a fool to report that. The # of things that are taxed in this country is insane. Screw the federal government and there attempt to nickel and dime us into oblivion.

-steps off my Libertarian soapbox.

Sent from my LG-P999 using Freedom Card Board mobile app

I voted for Gary Johnson. Good to see a fellow libertarian around here.

Agree with what you said. I pay enough in taxes, esp living in Chicago.

 

[Derek2011]

It's fairly naive of you to think no one is profiting from prospecting or flipping cards.

And even more naive of you to assume that I meant that NO ONE is profiting from prospecting.

 

[pootshwan]

A lot of guys here are "prospectors" or "flippers" you would have to assume some of them are making a profit (as that is the main objective).

I don't think many people prospect for the "I told ya so" aspect.

Bad assumption as there isn't a prospector out there who HASN'T come across their "Mitch Einertson"

It's fairly naive of you to think no one is profiting from prospecting or flipping cards.

And even more naive of you to assume that I meant that NO ONE is profiting from prospecting.

Really? Do you suffer from short term memory loss? Or is selective memory that helped you forget what you wrote? It's ok, I'll remind you.

 

[PujolsCollector]

Where is that annoying lawyer (that we all love....errrr love to hate)? Im sure he has something to say about this

 

[nborton]

After eBay's huge take these days is there any profit left anyway?

 

[jrinne]

The notorious thread about taxes. I'm better than you because I do this and you don't.