Federal Taxes On Sale Of Antique Car. Long term Capital gain from the sale of a collectible is taxed at 28 percent. Form 1040EZ is generally used by singlemarried taxpayers with taxable income under 100000 no dependents no itemized deductions and certain types of income including wages salaries tips some scholarshipsgrants and unemployment compensation.
Can you avoid paying taxes on car profit by exchanging car for. Calculating Your Taxable Gain. For example if your car has an adjusted basis of 5000 and you sell the car for 6000 you have a gain of 1000.
This is because you did not actually generate any income from the sale of the vehicle.
For example if your car has an adjusted basis of 5000 and you sell the car for 6000 you have a gain of 1000. Important Notes If you sell a collectible in less than one year it will be taxed as ordinary income. For federal income tax purposes the rate is up to 28 on collectibles gain. That is gain from the sale or exchange of a work of art rug antique metal eg gold silver or platinum bullion gem stamp coin or alcoholic beverage held more than one year.