I think it makes a certain psychological sense for modded vehicles. If you've got $7500 rolled up in a 240sx that you know is only worth $1500 on the open market, and you want a different project car, you have two options:
A) Sell your 240sx for $1500, then haggle some other guy down from $7500 to $1500, or B) Trade straight up.
With B, neither side feels like they're getting screwed. With A, both sides kinda feel like they're getting screwed.
steronz wrote: With A, both sides kinda feel like they're getting screwed.
I got it! This is where you invoke the "Hand Wammy" clause!
In reply to NOHOME:
rimshot
Datsun310Guy wrote: there is a barter club in Chicago and I know a guy who benefits. It usually works well for owners of small business's. Barter Bob will give you a used copier from his copier business. You as the dentist gives his family a bunch of dental work. That is what I have seen work best. Your scenario always tends to boggle my mind.
Sadly, if the IRS or Revenue Canada finds out about it, they will charge you for the tax you should have earned for the thing which you bartered. Private individuals trading non taxable junk is one thing. Evading taxes is another.
Right, because with fraudulent tax returns using stolen SS#'s nearly quadrupling in the last few years, what the IRS REALLY needs to focus on is berkeleying garage sales and a guy trading sheetrock for a motorcycle.
poopshovel wrote: Right, because with fraudulent tax returns using stolen SS#'s nearly quadrupling in the last few years, what the IRS REALLY needs to focus on is berkeleying garage sales and a guy trading sheetrock for a motorcycle.
Hey, I didn't suggest it was smart, just that it can happen. We are talking about the tax department, remember?
Oh yeah! Sorry. No three letters get my blood boiling more than "IRS."
In Ohio there is tax on used vehicles, but it is paid by the buyer and the seller doesn't collect it, the BMV does.
And I don't think that there is any capital gains type tax even if you turn a profit on the sale of a car as long as you don't meet the requirements of a dealer.
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