Quote:
Originally Posted by mykalberta
Is that true.
Garage sales are used items purchased supposedly with taxed income.
The sale of such item shouldnt be taxed again should it?
|
Wednesday, August 29, 2007
Garage sale profits are taxable income
Q: I held a garage sale this summer to clear out some of the extra "junk" we'd been collecting around the house for years. I think we made about $650 in three days. Do we have to pay income taxes on this?
A: Ah...garage sales are one of those wonderful traditions we love. I look forward to them every spring and summer and always make sure I stop to browse at a few. You never know what you might find!
But just like any other business, any income you make at a garage sale is taxable. Plus, you don't have the benefit of being able to write off any sort of business expenses or losses (unless perhaps you paid $10 for a classified ad in your local newspaper). So, make sure you report that income, Michelle.
But what if I told you there's an even better option to having a garage sale? Have you considered just packing all of that extra "stuff" into your car and driving it down to your local Goodwill, Salvation Army store or charity?
Many charities accept all kinds of donations - clothing, furniture, electronics, household items - and will give you an itemized receipt, which you can then use to determine the value of your donation and
write it off your taxes.
I think this is from a US website, don't know how legitimate the website is though. I've found some other sites saying you "should" be claiming income on garage sales.
