Quote:
Originally Posted by Buck Wilde
Any insight on how you determine or support the cost basis for items you bought many years ago from a swap meet and don’t have a receipt? It seems like there are a lot of different opinions.
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what i do & have confirmed with IRS rules, is that you can just make a fair estimate of what you paid, they arent going to question reasonable values put on things like that. most items like this the values can be verified with current sale prices if needed or they will take your word if it comes down to it if its within reason.
what will raise a flag is over valuing items by a large amount... you cant claim a run of the mill rally 2 wheel you paid $25 for at a swap meet is valued at $200 or something crazy like that. lots of items like that are bought privately from CL etc & most dont bother giving or getting bill of sales or receipts.