Auto Collection advice

[theshleps]

Originally Posted by redalpha7

I would strongly recommend that you meet with a tax planner before you sell anything. Based on your income and other factors you may want to spread the sale over multiple tax years.

I think since I am in the 39% bracket- i pay 20% on the gains and spreading wouldnt help. Am I correct?

[btcarfagno]

This would likely be considered a collectibles gain, therefore taxed at 28% regardless of your tax bracket.

[redalpha7]

Please correct me if wrong, the timing issue may come into play if you capital losses ( stock losses) . You can use the loss to offset the gain .

Nice problem to have

[btcarfagno]

Originally Posted by redalpha7

Please correct me if wrong, the timing issue may come into play if you capital losses ( stock losses) . You can use the loss to offset the gain .

Nice problem to have

This is correct. Any current year losses or prior year loss carry forwards of capital sales can be used to offset the gains from the sales of collectibles.

So if you have any stocks that you just keep waiting to rebound as they plummit farther and farther towards penny territory...you now have a reason to sell!!

[theshleps]

I was never one to keep receipts over the past 16 years so i assume you can give a decent estimate?

[jb217676]

Just sell them slowly for good old cash! If someone wants to spend huge dollars on your stuff, arrange to meet privately and do the exchange!

[Johnny630]

Find a rich private cash buyer.

[sb1]

Originally Posted by btcarfagno

This would likely be considered a collectibles gain, therefore taxed at 28% regardless of your tax bracket.

That is correct, on the sale price less the basis of the material.

[Bigdaddy]

Originally Posted by theshleps

I think since I am in the 39% bracket- i pay 20% on the gains and spreading wouldnt help. Am I correct?

It may help prevent 'buyers fatigue' though and fetch higher prices than if the collection was unloaded on the market all at once.