Tax thread on selling vintage watches.

Gorteen

This has got me worried now!!! I presume I have to declare Revenue if I sell for such a large sum of money?

cnocbui

Gorteen wrote: »

This has got me worried now!!! I presume I have to declare Revenue if I sell for such a large sum of money?

Sell it for Bitcoin.

btkm8unsl0w5r4

Gorteen wrote: »

This has got me worried now!!! I presume I have to declare Revenue if I sell for such a large sum of money?

SHut your mouth and dont talk such rubbish....good job there on the watch, a special rolex, and given the mad price of rolex at the moment 20k seems on the low side.

Gorteen

Amiyah Low Seam wrote: »

SHut your mouth and dont talk such rubbish....good job there on the watch, a special rolex, and given the mad price of rolex at the moment 20k seems on the low side.

Am I being a bit paranoid? I thought any transactions in or out of bank account over €5k is automatically reported. Something to do with money laundering or drugs or Fianna Fail...…….

cnocbui

Amiyah Low Seam wrote: »

SHut your mouth and dont talk such rubbish....good job there on the watch, a special rolex, and given the mad price of rolex at the moment 20k seems on the low side.

Not rubbish at all, unfortunately.

You may also have to pay CGT on gains for other types of assets. Examples of these assets include antiques, paintings and jewellery.

https://www.revenue.ie/en/gains-gifts-and-inheritance/transfering-an-asset/what-do-you-pay-cgt-on.aspx

You get an exemption for the first €1270 of capital gain.

Gorteen

cnocbui wrote: »

Not rubbish at all, unfortunately.

https://www.revenue.ie/en/gains-gifts-and-inheritance/transfering-an-asset/what-do-you-pay-cgt-on.aspx

You get an exemption for the first €1270 of capital gain.

So, it's true!!! Just because you're paranoid doesn't mean they're not out to get you!

New Home

I'd say ringing Revenue would be a good idea, if you plan on selling it - better safe than sorry!

Gorteen

Hurrah!!!!

Taken from Revenue Website

"Possessions with a limited lifespan


You don’t have to pay Capital Gains Tax on personal possessions with a lifespan of less than 50 years. This covers all machinery, and includes things like antique clocks or watches."

893bet

Gorteen wrote: »

Hurrah!!!!

Taken from Revenue Website

"Possessions with a limited lifespan


You don’t have to pay Capital Gains Tax on personal possessions with a lifespan of less than 50 years. This covers all machinery, and includes things like antique clocks or watches."

Rolex last 100 years.

Pony up to Leo!

btkm8unsl0w5r4

.....gambling winnings are not taxable..you either know how that works or you dont....if you sell a watch and pay tax on the profit you are a dumbass who does your own accounts or has a stupid accountant or likely both....people are so full of **** on boards....dont ring revenue for the love of god unless you are actually of a simple mind.

New Home

Gorteen wrote: »

Hurrah!!!!

Taken from Revenue Website

"Possessions with a limited lifespan

You don’t have to pay Capital Gains Tax on personal possessions with a lifespan of less than 50 years. This covers all machinery, and includes things like antique clocks or watches."

It doesn't cover the sale of said items, though, does it?

OldMrBrennan83

Revenue were following the thread from day one.

emeldc

New Home wrote: »

I'd say ringing Revenue would be a good idea, if you plan on selling it - better safe than sorry!

Ha ha, you had me there. For a minute I thought you were serious.

banie01

New Home wrote: »

It doesn't cover the sale of said items, though, does it?

Yes it does.
Theoretically CGT is payed on the profit accrued between a purchase price and the sale price. There can only be a CGT event on the sale of an item or possession for profit(omitting the 8yr deemed disposal rule on certain investment vehicles)
Revenue's position is that items such as watches and so on are excluded from liability so he could sell for a million and owe nothing

New Home

banie01 wrote: »

Yes it does.
Theoretically CGT is payed on the profit accrued between a purchase price and the sale price. There can only be a CGT event on the sale of an item or possession for profit(omitting the 8yr deemed disposal rule on certain investment vehicles)
Revenue's position is that items such as watches and so on are excluded from liability so he could sell for a million and owe nothing

Good to know.

banie01

banie01 wrote: »

(omitting the 8yr deemed disposal rule on certain investment vehicles)

Just to clarify...
By "Certain investment vehicles" I mean ETFs, Mutual funds and UCITS funds and so on
Not cars....
Cars are CGT free too if ya are lucky enough to have a mint E-Type stashed away :P

893bet

Gorteen wrote: »

Hurrah!!!!

Taken from Revenue Website

"Possessions with a limited lifespan


You don’t have to pay Capital Gains Tax on personal possessions with a lifespan of less than 50 years. This covers all machinery, and includes things like antique clocks or watches."

Are you sure that is Ireland not the UK? I had a look at exemptions and didn’t see that.

https://www.gov.uk/capital-gains-tax-personal-possessions/limited-lifespan

New Home

That's why I was suggesting ringing Revenue, or at least checking on the Taxation forum here (or even on askaboutmoney.com)

(Although I'd say that some posters from that forum may also post here. )

Gorteen

893bet wrote: »

Are you sure that is Ireland not the UK? I had a look at exemptions and didn’t see that.

https://www.gov.uk/capital-gains-tax-personal-possessions/limited-lifespan

Oh Bugger!!! It was UK revenue website I was on???? :eek:

banie01

893bet wrote: »

Are you sure that is Ireland not the UK? I had a look at exemptions and didn’t see that.

https://www.gov.uk/capital-gains-tax-personal-possessions/limited-lifespan

A bit of digging and it would appear that personal "movable" property is exempted as long as the gain is less than €2540...
So it may indeed be a CGT event, but assuming sale in the UK the reporting of the event would be down to the individual.
Cars are exempt still though, I remembered that much at least from tax exams

Apologies to N.H

Blazer

Argh...bloody revenue...:mad:
Could you not open a revolut or N26 account and have them transfer to that instead?
Then just transfer to your normal account in bits and drabs as needed?

hi5

A watch is a piece of machinery the same as a car and considered a 'wasting asset' and not subject to capital gains tax.

https://www.revenue.ie/en/tax-professionals/tdm/income-tax-capital-gains-tax-corporation-tax/part-19/19-02-16.pdf

cnocbui

hi5 wrote: »

A watch is a piece of machinery the same as a car and considered a 'wasting asset' and not subject to capital gains tax.

https://www.revenue.ie/en/tax-professionals/tdm/income-tax-capital-gains-tax-corporation-tax/part-19/19-02-16.pdf

The link specifically mentions jewellery, but doesn't mention watches. Where do you get the certainty of opinion that watches are not considered by Revenue to be jewellery?

btkm8unsl0w5r4

The argument is about wasting or non wasting chattel. This watch has so many new parts its hard for it not to be considered wasting chattel. I would not say that any part of that watch would be expected to last more than 50 years. I would consider a mass produced watch wasting chattel and as such exempt from CGT. For instance motor cars are exempt form capital gains tax, I dont see how this watch is different from a 50 year old car.

Gorteen this topic was only brought up out of Irish begrudgery. Revenue dont begrudge you your windfall, they will get vat on everything you buy with it, and everyone that profits from the things you buy will pay tax. In the end revenue will get about 75% of the money anyway.

2shea

Oh for god sake stop. They take enough from us as it is.