The Chip Board
Custom Search
   


The Chip Board Archive 18

Re: Interesting answer...
In Response To: Re: Interesting answer... ()

You have two interrelated issues here: accounting and tax.

I understand what you're asking. Research might help you put a "value" on it, but it won't help you put a "price" on it. After all, you would need to know the cost of goods sold to calculate your profit.

I don't know what the accounting rules would be for estimating old inventory, but you could always "sell" the goods to your company for cash or stock. Then the goods would have an established amount as their "basis."

Whether you -as seller - have a reportable profit is another question. It depends, in part, whether there was actually a profit since isolated sales for less than the adjusted basis aren't reportable as income (garage sales, for example).

If you can't put any value on the goods, I believe the IRS imputes a value of zero and treats it all as profit.

Messages In This Thread

NCR: Dumb accounting question
Re: NCR: Dumb accounting question
Interesting answer...
Re: Interesting answer...
Re: Interesting answer...
Re: Interesting answer...
Re: NCR: Dumb accounting question
Re: NCR: Dumb accounting question
Re: NCR: Dumb accounting question
Thanks all for the info!

Copyright 2022 David Spragg