Quote:
Originally Posted by Jim VB
Johnny,
Where do you think those sellers will turn? Right now, your premise is that these sellers would rather not sell than pay the taxes they owe. I don't think that's a very sustainable business model.
|
Bingo!..you are correct that this is not a sustainable business model for a business, but my guess is that most collectors don't consider themselves or thier collecting "habits" as a business. They collect items that interest them and sell off items when they get tired of them or want to free up cash for something else that has caught their eye. These (and I think there alot of them) are the people that are going to have to either run their hobby (obsession) more carefully in the future or get out. Ebay, paypal, and this board have made it much easier for the collector to obtain and sell items. I am not sure everybody is up for turning their hobby into a business. I think some will slow down or get out all together. I am glad this thread is going where I was hoping it would go.
I hear people complain all the time about buyers premiums (12-19%), ebay and paypal fees (10%+), but I have seldom heard anyone mention that they are taking a 20-30% tax hit on everything they sell. Why not? I really think this is going to have a huge affect on the hobby starting Jan 1. Hope I am wrong.