Federal Taxes when selling your CRH finds?

[Darth Walker]

You do not have to reply if you feel uncomfortable with this question but does anybody here have paid taxes from CRH finds you sell?

Darth Walker

 

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[Bigheed]

I wasn't trying to imply that it is not a taxable sale. I was replying to whoever commented about APMEX form 8300 or whatever it was.

It's just like at a casino if you cash out a certain amount of chips they will give you a 1099 because then they are liable as conspirators to tax evasion.

 

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[Deep Packets]

ALWAYS ALWAYS, report any capital gains!!

Your politicians & bankrupt corporations are depending on the bailout money.

 

[Diver_Down]

...

It's just like at a casino if you cash out a certain amount of chips they will give you a 1099 because then they are liable as conspirators to tax evasion.

Simply not true. The "cashing out" process doesn't prove a net gain. Only specific actions will earn you a 1099 G i.e. single winning payouts (slots, progressive jackpots, etc.) exceeding a reporting threshold.

 

[CardsNCoins]

........Got a burr up your backside over something with me? Answer? :-)

[mod]
If you disagree with another member's post, make your comments in a polite and respectful manner.[/mod]

 

[jrf30]

........Got a burr up your backside over something with me? Answer? :-)

If you disagree with another member's post, make your comments in a polite and respectful manner.

I guess you can PM your thoughts to me, since they obviously are too rude to be posted on the thread. I'm open to hearing them though, in case I did something to offend you. :-)

 

[madwest]

Capital gains aren't grey areas, they are black and white. Not reporting gains is tax evasion.

Is disposing of CRH finds always capital gains? Surely, there's some grey to be found.

I agree that if in 2005, I paid 11x face for a bag of junk circulated 90% and today sold it for 25x face that would be a capital gain. I, personally, would never do that. My heirs might someday sell, but I don't plan to unless absolutely necessary.

But, let's say that today I ran into a really tall, smart, good looking guy named Silverton Oscar Sponely (SOS for short). SOS has a big stack of half dollars that he got CRH'ing (he paid $0.50 ea for them - before expenses). SOS also collects coins for key dates and errors. He knows that bags of junk Ag sometimes contain some key dates and errors. He loves the Murcury dimes in particular. When SOS found out that I had a full bag of Ag dimes (many of them mercs), that I was holding just for the melt value, he wanted to make a trade - 100 mixed date halves for 500 mixed date dimes. I say OK and we swapped. What happened? Remember, I paid 11x face for those dimes, SOS paid face for his halves. Did SOS have a gain? Did I? Did both of us? What if one of those murcury [sic] dimes was a 1942 over '41? It is worth $700; I paid the LCS $1.10 for it as junk Ag; SOS paid me $0.10 for it - kinda (he actually traded me 1/5 of a coin worth $12.50 that he paid $0.50 for).

Just when the accountants almost figure it out, SOS trades that 19412 dime, along with a box of Cu cents, for a yellow seal dallar FRN.

OR

What if I sold a 2005 Impreza WRX (with a gently used clutch) to a lovely couple from Maine for $400 (maybe because they were paying in 90% coin, maybe because they were nice folks, maybe a little of both)? I obviously paid much more than $400 for that fine automobile! Who gained? And by how much? Who pays the gains tax? What if the deal was done in July and Ag tanked in Oct (spot price halved)? Who gained? How much?

What if all of the snow flakes were chocolate chips and pancakes?

 

[Diver_Down]

Capital gains aren't grey areas, they are black and white. Not reporting gains is tax evasion.

Is disposing of CRH finds always capital gains? Surely, there's some grey to be found.

... I tried following your example until my eyes glazed over, then...

What if all of the snow flakes were chocolate chips and pancakes?

 

[SFBayArea]

Pfff, paying taxes on my CRH finds. Im going to have to say, "How bout No Scott." Considering Im not selling anytime soon, and when I do, it will be cash sale. Sorry Uncle Sam, keep bailing corps out, and funding Pakistan (aka stealing from me), I'll keep my profits in any grey areas that exist. I'll pay you out of my legitimate job, no questions asked, because I love this damn country, but youre not touching my silver, ever, just bc you cant follow budget.

Although the government has wasted money in many areas. I don't agree that every dollar is wasted. Some programs are not a waste in my opinion. It is however true that we need to give less money to foreign countries because we cannot fund programs at home that we want. Not everyone agrees on what the money should be spent upon. Some people really need the money from government programs like medicare. My mother is getting surgery for cancer soon. Without medicare programs, god knows what kind of hell old people would have to go through.

I am still planning to report it. Some of those are cash transactions too. It's kind of like donating blood (even though I'm not a donor). You don't know who's going to end up with it. Perhaps blood to save some kid or blood to save some dumb gang member that got shot in a gang war. Anyhow whatever happened to the politics section? Guess too many people get too worked up over it. It's not like people on the political forum have any control over policies of our country. The lobbyists do.

 

[palidin20603]

Madwest,

Trades for US tax purposes, unless they are like-kind property (IRC 1031 exchange), are taxable transactions. You know your cost basis, i.e. what you paid. Proceeds for capital gains transaction would be the fair market value of coins received minus any sales expenses. Coins, to my knowledge are not like kind property.

Hope that helps.

 

[madwest]

Let's not all forget that even though we don't have a capital gain until we sell, most of us do need to pay our state sales tax every year.

When we hang onto to Ag finds, we've purchased PM bullion. That purchase results in a sales tax liability that we need to voluntarily declare each year on our state returns.

 

[palidin20603]

State taxes are even more complex, but my understanding is that sales taxes are the responsibility of the seller, but I don't know if they apply to all types of sales, as each state is different. All I know is WI state taxes suck balls.