So a Demon sold at B Jackson today for 138k. I'd love to go to one of those or Mecum and just hope the bidders are all getting liquored up good. If I got anywhere near that I'd be more than satisfied.
If I sold mine would I get tagged for capital gains? I never drive it now which is a waste. Always thought I'd leave it to our youngest grandson but there's a decent college fund in there and those auctions look fun and possibly lucrative.
What you fellow Demons think?
If you can put a reserve on the car and you can live without it then by all means sell the car.
Then put the money to work in a way that benefits you. Or if it is not critical to maintaining your lifestyle spend it on what you want that you believe will be an equitable trade of money for pleasure/joy/fun.
I was curious about your question and my search turned up yes a car (personal vehicle) is considered by the IRS as a capital asset and if sold for more than one paid for it is subject to capital gains. (I dare say this might surprise those owners who have sold less "exotic" cars for more than than paid for them to learn -- maybe from a letter from the IRS -- they owe capital gains tax on what they made from the sale of the car.) The cost of some things can be deducted, like a new paint job, but not regular maintenance or replacement of wear items.
You would probably be advised to consult with a tax expert to ensure you take every available deduction for the car and thus reduce your tax liability.
Leaving something for the heirs does not always turn out like one might think. 'course, you'll be gone so it won't affect you.
But in some cases something of value is deemed just old junk and sold as such or for far less then it might be worth. The kids/heirs don't want to bother with the trouble of actually selling the items for their "true" worth. They want the cash which is easier to distribute.
Or the flip side is the stuff is just old junk that the owner believed was or would be when he died priceless. The heirs believed this and then run up against the truth. Sometimes old junk is just old junk.
(I inherited some old coins, silver dollars. They are going on 150 years old. But they are worn and not in very good condition. Last time I checked the most one would fetch is $35. I don't have thousand of these just some handfuls. Will pass them on to my heirs. Maybe they'll be worth something then or maybe not. 'course, I won't care being dead.)
.
