collectibles
Hello there, enjoy your newsletter and WGN visits. I’ve collected comic books for like 50 years now. I’ve never had to worry about claiming funds and taxes etc. It’s always been just a hobby buying and selling about equal amounts. But the stricter tax laws are taking effect. I’ve been saving my receipts last couple years but what are my options for items I might have bought decades ago? No receipts for those, can I still claim, for example, a book I paid $200 for and sold for $500, can I still just put it down as $300 income? And for lower value items, can I at least claim face value? Thanks!
Terry Says
Whew, yes — especially if you sell in a public marketplace nlike eBay, your sales prices will now be reported. You’re way ahead if you kept purchase receipts for the majority of what you sell.
Honestly, I doubt you’ll be audited for placing costs based on your memory. They would have to go to the trouble to get an expert to dispute your profit claims. And it sounds like YOU are an expert!
I can’t give tax advice, but as long as you do your best and do have paperwork for many transactions, you don’t have to worry about
