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Old 19 January 2022, 12:49 PM   #1
Aboutderntime
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Tax implications for the collector

First off, I will be touching base with my accountant, but curious to hear about your experience.

For those of you buying, selling, and trading high-end watches, do you keep financial records to be shared with your accountant for year-end tax planning? I am mostly interested in trading, but have occasionally sold a watch for profit. I would assume that the profit would be taxed as short or long term capital gains. Is this correct? Any tax implications for the watch "trader"?

Thanks in advance!
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Old 19 January 2022, 12:56 PM   #2
SubMillennial
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28% of the profit for watches no matter what, is my understanding. So uh, definitely keep documentation of the original purchase price
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Old 19 January 2022, 01:07 PM   #3
Polar Bear
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I wouldn't worry about one or two private sales but if you were doing it as a side hustle I'd say you'd be on borrowed time before the Tax Man comes calling
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Old 19 January 2022, 09:34 PM   #4
airchitect
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I have never even pondered taxes on the sale of a watch. If I were a dealer sure, otherwise nope.


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