Capital Gains on muscle car (state of PA)

[iluv69s]

Did she take into consideration all the expense of storing and maintaining the vehicle for all these years?...i know the minimum for any body shop has to be 25 bucks a day for outside storage...

I believe if you did the calculation, she may have been able to do better by just putting the money in a CD..??? (depending on the car she bought)

I would think you can write off the expenses...but I'm no accountant??? Just my guess...

[YENKO DEUCE REGISTRY]

The question is about the tax rate, 15% vs. 28% on a long term capital asset, not really on how to calculate the gain itself. BTW, if you claim 'storage' fees as an expense, be sure you can back it up with receipts.

I have not looked at a schedule D in a while, I'll check it out - but it sounds 'unique' to me. However, never underestimate the IRS!

[chads454Ls6]

It should be 15% capital gains if you have owned the car longer than a year. It is 25% if you own less than a year.
Unless some new tax law has changed this,that is what it has been. Maybe Marlin can chime in as he is a numbers cruncher.

[YENKO DEUCE REGISTRY]

The short vs. long term break is indeed 1 year, keep in mind that if you keep the car exactly 1 year that is still considered 'short' - so sell the day after you've owned it a year!