Not Disappointed!!!

[padgett]

Having worked for defense contractors since 1975 can say that the trickle down effect pays for a lot of salaries & much of what is developed becomes consumer items (Velcro, microwave ovens).

 

Personally have been paying income taxes since I was 17 and do not regret a bit of it. Do prefer non-income-tax states though...

[Xander Wildeisen]

 

[Frank DuVal]

That is an EXCELLENT movie!👍

[Frank DuVal]

On 9/12/2019 at 1:00 PM, mercer09 said:

bought the "right" ferrari for 1 million. today it is worth 40 million and you have no problem with giving the IRS 20 million

 

Not sure of your math. I see long term capital gains like any object such as cars, boats, stock. Now, if you call them collector items, which are specified as coins or art, then it could be 28%. But still no where near 50% you quote.

 

Unless you had received a briefcae full of 100s, then this transfer of money to your hands was recorded......😉

 

You can avoid not paying taxes on that 40 million car by keeping it and letting the heirs get it at the new basis of your death....

 

No, Not a tax professional, just blathering on. Consult a Tax professional for real advice!😀

 

I copy direct from the IRS wbsite:

 

Capital Gain Tax Rates

If you have a net capital gain, a lower tax rate may apply to the gain than the tax rate that applies to your ordinary income. The term "net capital gain" means the amount by which your net long-term capital gain for the year is more than your net short-term capital loss for the year. The term "net long-term capital gain" means long-term capital gains reduced by long-term capital losses including any unused long-term capital loss carried over from previous years. The tax rate on most net capital gain is no higher than 15% for most taxpayers. Some or all net capital gain may be taxed at 0% if you're in the 10% or 12% ordinary income tax brackets. However, a 20% tax rate on net capital gain applies to the extent that a taxpayer's taxable income exceeds the thresholds set for the 37% ordinary tax rate ($425,800 for single; $479,000 for married filing jointly or qualifying widow(er); $452,400 for head of household, and $239,500 for married filing separately).

There are a few other exceptions where capital gains may be taxed at rates greater than 15%:

1. The taxable part of a gain from selling section 1202 qualified small business stock is taxed at a maximum 28% rate.
2. Net capital gains from selling collectibles (such as coins or art) are taxed at a maximum 28% rate.
3. The portion of any unrecaptured section 1250 gain from selling section 1250 real property is taxed at a maximum 25% rate.

[mercer09]

Frank,

 

you are talking about a couple hundred thousand. When you look up millions, it can reach to 40%. Then dont forget the state income tax, so I wish it was as low as you are implying, but I guess neither of us will ever know in the long runnyway.

 

and yes, I would just keep the car.

[alsancle]

19 minutes ago, Frank DuVal said:

You can avoid not paying taxes on that 40 million car by keeping it and letting the heirs get it at the new basis of your death....

 

This is good advice which most people don't understand.  Inheritance taxes are usually less than capital gains,  but I guess it might depend on the size of the estate.

[Buffalowed Bill]

So back to the original point of the thread, for a moment. I don't care what the seller got for the car, and in deference to the buyer he should remain mum. 

 

The seller receive a great deal of support and advice. In spite of some of the respondents becoming frustrated, most stayed with him throughout the process. Many of us felt that we knew what the outcome would be, but the thing that we could not predict was the timeline. Whatever we respondents learned from the last seventeen pages is, more or less inconsequential, since we had a good idea of how things would turn out. What I would like to ask our seller, what did you learn by this whole process, and would you have done anything differently? 

[39BuickEight]

It’s easy to spend other people’s money.

[mrcvs]

5 hours ago, alsancle said:

 

This is good advice which most people don't understand.  Inheritance taxes are usually less than capital gains,  but I guess it might depend on the size of the estate.

Yup, let's cater to the trust fund babies!

[mrcvs]

3 hours ago, Buffalowed Bill said:

So back to the original point of the thread, for a moment. I don't care what the seller got for the car, and in deference to the buyer he should remain mum. 

 

The seller receive a great deal of support and advice. In spite of some of the respondents becoming frustrated, most stayed with him throughout the process. Many of us felt that we knew what the outcome would be, but the thing that we could not predict was the timeline. Whatever we respondents learned from the last seventeen pages is, more or less inconsequential, since we had a good idea of how things would turn out. What I would like to ask our seller, what did you learn by this whole process, and would you have done anything differently? 

I learned a lot!  I always do on this forum.

I learned how to go about purchasing my NEXT car, when my real estate situation improves.  First, general rule of thumb in life is that toplessness rocks (at least for 50% of the population).  That should be reflected in one's cars.  Soft top only next time, which should be easy anyway, as I like brass era (and 1959 Cadillacs).  Don't go with green.  It's a bad omen amongst motorcyclists, so you hurt yourself.  And avoid four door.  I like it for convenience, no one else does.  Don't have a gun to your head to sell.  Have the space...might want to sell..don't NEED to.  Maybe best to avoid the yup neighborhood, which I don't do well in neighborhoods anyways, but that's all the wife has ever known.  (Who the F would ever raise a kid in a neighborhood, LOL!).

 

Be smarter about purchase and purchase price.  This was rolled to the end of an elderly owner's driveway.  I had to have it.  I recall when these were if not 20k at least 15 k, but all those folks died off, and my interests for my age group are definitely not mainstream.   I reasoned that a fair amount under 10 k was a deal, but it might not have been a good deal to begin with.  Not understanding that cars can be hauled long distances reasonably, I bought local.

 

Also, I reasoned "common" is good.  Parts are easily available at places like Brattons.  Common makes for a tough sell.

 

May be not starting high and going down doesn't work.  I didn't want to give it away, and thinking I got a good price for it, surely it might be worth lots more.  I originally tried to recoupe some garaging fees and all expenses incurred with repairs and improvements, although labor was free as it was a Model A club project.  RIP, my good friend, Steve Ryan.

 

I sold this exactly what I paid for it August 2014.  Not a cent more, not a cent less.

 

Without revealing too much, not sure if I can or not, not sure if this car will be repainted, or appear just as is, but she's California bound!  You might see her yet again.  Hollywood has to get cars from somewhere.  Maybe when said e entertainment venture is released, I might reveal where this car ended up.

 

I grew up lower middle class, and money was tight.  Tighter than a drum!  Many around me think I lived through the Great Depression, so I always try to make money even in my hobbies.  So, while I appreciate hobbies like golfing, I don't partake in such.  My true passion is antique firearms, and I am much more knowledgeable about buying and selling these.  I can generally buy something, fire it lightly (have fun just like with an antique car) and still sell at a profit, if desired.  The very best stuff obviously never gets fired.

 

Ultimately, I learned that, next time, let's make sure selling is not such an ordeal, and be prepared to hold on for the long term.  Not normally such an ordeal, but...

 

When the car was hauled away earlier today, a neighbor witnessed this and stated they enjoyed seeing the car out front and seeing me run. It every now and again, and they are sad to see it go, just like me.  For me, that is the ultimate compliment.

 

One last thing.  I learned I was a bit over my head.  Some interested parties asked questions I could not answer.  Not sure how to become so knowledgeable about old cars, such as most of you are.  I have the Model A repair handbook that is the best one out there and it still left me dumbfounded most of the time.  The rest are merely fluff.

[auburnseeker]

Not sure of a good way to learn,  other than to have and learn from hands on experience but if a Model A was challenging,  it might be quite a challenge to own an earlier car unless you get something pretty mainstream but even those how many are out there as opposed to the much simpler and more common Model A most guys understand and can fix.  

Of course if you enjoy polishing and looking at it more than driving it might not be a worry but if you plan to drive it alot you will really want to pony up for a tour proven car that truly needs nothing mechanically and then don't let it sit idle too long.  You will probably have a hard time finding anyone to work on it.  Not trying to discourage you,  just want you to go into your next experience with eyes wide open and as much information as possible.  The older the car,  the more maintenance it usually needs and more finicky it can be.  

When you get ready for your next adventure,  let the guys on here know.  They can probably help you in choosing the right car.  Anything pre 30,  is out of my wheelhouse at the moment,  but some members on here know them very well so they should be able to help you make a wise choice as to a make that's user friendly for a person just getting into them. 

[mrcvs]

One other thing I forgot to mention.  Not sure why if a car doesn't sell on the first venue, it's "branded"????  Can't folks make intelligent decisions for themselves?  If I had to guess, I would think that well more than 95% of cars that buyers say they'll buy but then don't are from reasons a buyer decides to pull out of a deal that have no bearing on the next potential buyer.

[mrcvs]

I don't know why an old car is such a challenge.  It shouldn't be!  I'm handy with wrenches, screwdrivers, replacing a worn part with a newer replacement, etc., but yet a simple old car could be very perplexing.

 

For starters, when I first got it five years ago, the car had a tendency to overheat when very hot out, so I would shut it off.  Model A club members did something, but not sure what, and overheating problem solved.  Not sure why this would occur, whereas you can have stopped vehicles in traffic, all modern cars, temperature 100 deg plus, and rare to see one overheating.  I should add there was no heater to run, and revving the engine didn't always work.

Edited September 14, 2019 by mrcvs (see edit history)

[auburnseeker]

Age (corrosion and wear) and alot of hands (many not knowing what they are doing using incorrect or parts to get by ) over the years have created many of the problems on old cars.  Many even restored ones,  are not really finished and sorted.  The sorting is what comes into play between a truly nice old car and one that just looks pretty.  Just because everything is new doesn't mean it's going to perform well or as expected.  There is still another level of skill involved to make everything work together properly so it does run cool, start easy, steer and stop properly.  Remember also that even those new parts can fail and sometimes are even faulty right out of the box.  NOS or even new manufacture.  Many cars have quirks that like your model A friends,  the club members or owner's of such know them and the work around or proper fix. 

[mrcvs]

2 minutes ago, auburnseeker said:

Age (corrosion and wear) and alot of hands (many not knowing what they are doing using incorrect or parts to get by ) over the years have created many of the problems on old cars.  Many even restored ones,  are not really finished and sorted.  The sorting is what comes into play between a truly nice old car and one that just looks pretty.  Just because everything is new doesn't mean it's going to perform well or as expected.  There is still another level of skill involved to make everything work together properly so it does run cool, start easy, steer and stop properly.  Remember also that even those new parts can fail and sometimes are even faulty right out of the box.  NOS or even new manufacture.  Many cars have quirks that like your model A friends,  the club members or owner's of such know them and the work around or proper fix. 

You said it well!  Better than I could have, better than I could have recollected.

 

Many of the problems that we fixed had been done wrong at some point in the then previous 83 to 84 years.  And I drove the car literally half a mile with many new parts, the only time after working on it with club members that I actually broke down, and the culprit was the brand new coil.

 

Brattons is convenient and reasonably affordable, but corners have to be cut somewhere.

[auburnseeker]

17 minutes ago, mrcvs said:

One other thing I forgot to mention.  Not sure why if a car doesn't sell on the first venue, it's "branded"????  Can't folks make intelligent decisions for themselves?  If I had to guess, I would think that well more than 95% of cars that buyers say they'll buy but then don't are from reasons a buyer decides to pull out of a deal that have no bearing on the next potential buyer.

The branding thing is that a car is really only fresh once.  Every body wants the deal,  the hidden treasure.  Once it's been sold then resurfaces as not having sold potential buyers that were interested will think there must be a problem, It runs bad,  it's loaded with bondo,  the paperwork is messed up etc, so they become reserved and unfortunately in your case,  having a field of many A's to choose from,  pass and move on to the next because it's easy.  If it was something much rarer and desirable,  it probably wouldn't have as much of an effect. 

Think of it like you would a new  or slightly used car on the lot down the street you were thinking of buying.  You go in because you wanted to buy it,  Whether it's price or just what you were looking for and the salesman tells you it's sold.  Then you see it up for sale again at the same lot same price.  You wonder why didn't the guy buy it? Especially if it was something special or priced where it was a no brainer deal.  Human nature I guess.  I know i get excited about certain cars I think are deals,  but then they linger on the market and no one bites.  I think wow must be something wrong with it.  You know what.  Usually when I follow up,  I do find something wrong and that's why it's still there.  Sometimes it's just the seller that's the problem.  I found a 60 Buick Convertible I was very interested in.  Kind of mislisted.  quite a drive from me and on Long Island (that's 2 strikes)  so I need some real pictures which I asked for.  Very specific easy to take ones.  2 weeks later the guy gets back to me and none of the photos are what I wanted and I could tell no effort was made to get the photos.  You know what,  I had cash in hand for it,  but after that,  I'll move on.  It's not worth having to beat a seller to get a few simple photos.   No doubt it's his car and not a scam,  just a lazy seller.  So it will sit on the market a little longer and people will wonder must be something wrong with it if it didn't sell.  

[auburnseeker]

I've sold alot of NOS parts.  Even in the day there were nice quality aftermarket parts and stuff that was good to get you home or used as a patch until you could get a good OEM or quality replacement part to replace it.  Some things haven't changed,  just the country of manufacture.