Cost basis - Warning tax related topic

[SAllen2556]

This thread is the reason I married an accountant instead of becoming one.

I do wonder, though, about card shows. They're largely all cash transactions and no receipts are ever given. In fact, if you want to have fun, ask a stodgy old card dealer for a receipt next time you buy at a card show. Every dealer at every card show is a tax cheat, right? They're not issuing receipts, and most aren't even keeping track of sales.

For the cost of a $40 table you can liquidate your cards with absolutely no paper trail. And in metro Detroit, the number of card shows per month has quadrupled, at least, over the last few years. I know for a fact that more than one dealer at the last show I attended gave up selling on eBay and now just travel from show to show on weekends instead. No records. No paper trail. All cash.

This statement from Bob C. typifies the stupidity and overreach of the tax laws:
"...I've explained to people how when they just trade cards, that is still technically deemed a sales transaction by the IRS, and is supposed to be reported as a taxable sale by both parties to the trade on their tax returns."

No offense to Bob C., he's obviously very good at what he does and quite bright, but if you need a CPA to sell baseball cards, there's something wrong with the system. And people will always find ways around paying higher taxes. It's the American way.