Son selling Lynx & games to fund an Atari computer? Worrying about tax.

[piffling]

Hello I've been told by my son he is looking to sell the Lynx he bought many years ago at a car boot sale and use the money to get an Atari computer as he's started programming and wants something to play around on. He's also just got a promotion & payrise at his work, and is now earning just under taxable territory (according to this wage tool). I'm worried because the profit he will make on the sale if it will end up being taxable? Not quite sure how it works as we generally donate old stuff rather than sell it. can someone put my mind to rest? Thanks in advance

[Level42]

So then YOU sell it, I hope your salary is taxable already....

[CRTGAMER]

Why declare for a second hand sale? The LYNX though retro will not be a huge amount.

[pacman000]

Hmmmm... in the U.S. money from garage sales generally isn't taxable, since folk sell their items for less than they paid for them. Don't know about other countries.

[Level42]

Same here in The Netherlands....Even so...how much is it going to be. I never heard about taxes on second-hand sales.

Edited July 18, 2018 by Level42

[80s_Atari_Guy]

Surely, you pay tax for the First Sale Rule, only ?

I don't know US law, but here in the UK we would only pay tax on pre-owned goods if the seller was running a second-hand sales shop. Pre-owned private sales are not taxable, thankfully.

[Flojomojo]

UK, I would guess? Because you said "car boot sale"

 

How is the tax collector to know what he made from his car boot sale?

 

American here. Don't tread on me, throws tea into the harbor, etc, so YMMV

[Swami]

Surely, you pay tax for the First Sale Rule, only ?

I don't know US law, but here in the UK we would only pay tax on pre-owned goods if the seller was running a second-hand sales shop. Pre-owned private sales are not taxable, thankfully.

I don't know if it is specifically sales tax, but it amounts to the same thing, for re-selling items where the government has over-sight over ownership, like cars, houses, possibly guns, but generally not unregulated items.

[80s_Atari_Guy]

I don't know if it is specifically sales tax, but it amounts to the same thing, for re-selling items where the government has over-sight over ownership, like cars, houses, possibly guns, but generally not unregulated items.

 

Seriously ? Wow, I honestly didn't know that.

Over here, I can sell my car, PC, consoles, retro hardware, and I don't have to pay any tax. We pay tax on the first sale only. If I owned a business selling the same items, then I would have to pay a yearly tax.

[KappaGuy99]

If government is able to keep track of the sale of a used Lynx and whether or not you paid taxes on the sale of said Lynx you have a much bigger problem on your hands.

[Jazzoff2000]

In Australia we've now got a new import GST on foreign purchases... ANYTHING of ANY value, new or used, is subject to the tax.... but not only that, the shipping from the original country also adds to the GST... crazy stupid!!!!

 

Sorry to derail the thread... just thought it'd be of interest...

Edited July 20, 2018 by Jazzoff2000

[RugglesTx]

UK, I would guess? Because you said "car boot sale"

 

How is the tax collector to know what he made from his car boot sale?

 

American here. Don't tread on me, throws tea into the harbor, etc, so YMMV

Agree.

 

Imagine sales tax on eBay!

 

Stinkin govment needs to keep their paws off..

 

If I were in the OP position I would sell it and not say a word to the government :0

[RugglesTx]

In Australia we've now got a new import GST on foreign purchases... ANYTHING of ANY value, new or used, is subject to the tax.... but not only that, the shipping from the original country also adds to the GST... crazy stupid!!!!

 

Sorry to derail the thread... just thought it'd be of interest...

Thats crazy. Sad to hear it

 

Hope they end up repealing that mess.

[Jazzoff2000]

Thats crazy. Sad to hear it

 

Hope they end up repealing that mess.

Yeah, it's a load of BS. I had to spend about $4G buying music books and albums because Amazon stopped shipping to Australia after the new financial year started... as a music teacher my hand was forced cause I needed them, was hoping to buy them all over the course of a couple of years... ah well. Life! Ok, back on topic...