Quote:
Originally Posted by zappen
Lets say you bought a stamp some years ago and then sell it and make a profit for it do you in the US need to report that income?
|
Yes, as long as it is not a di minimus amount (excuse the spelling). You must report income from any source derived. The government is not going to let you make money on something without getting their hands on it. This is the way that I understand it, anyone feel free to correct me. Gambling income also has to be reported but is generally taxed at a higher rate and gambling losses can only be claimed to offset gamling wins. Ideally you would want ro report things as capital gains first, regular income, then gambling (if what you have qualifies) because of the amount you will be taxed on these.
* I am by no means an accountant so anyone can feel free to correct any portion of this, this is the way that I understand it