Seems that Tax Stamps should be treated as any other tax and should be tax deductible. Has anyone looked into this?
Suppressors Are Tax Stams tax deductible?
- Thread starter Smokin
- Start date
Re: Are Tax Stams tax deductible?
Do you deduct the amount of taxes you pay every year on, oh say, liquor?
Do you itemize the gasoline taxes you pay at the pump?
Do you take a deduction for the amount of sales tax you pay at every cash register?
What logic do you use in thinking the tax stamp on your CIII is deductable?
Do you deduct the amount of taxes you pay every year on, oh say, liquor?
Do you itemize the gasoline taxes you pay at the pump?
Do you take a deduction for the amount of sales tax you pay at every cash register?
What logic do you use in thinking the tax stamp on your CIII is deductable?
Re: Are Tax Stams tax deductible?
No, as it is an excise tax. Best to think of it as like the stamp on a whiskey bottle. Besides the IRS has taken the time to write a regulation specifically about that stamp. You can, however, bump up your cost basis of the "device" so that if you sell it later for a profit, that stamp can be deducted before capital gains. Seriously.....
Third paragraph from the bottom.
http://www.irs.gov/taxtopics/tc503.html
No, as it is an excise tax. Best to think of it as like the stamp on a whiskey bottle. Besides the IRS has taken the time to write a regulation specifically about that stamp. You can, however, bump up your cost basis of the "device" so that if you sell it later for a profit, that stamp can be deducted before capital gains. Seriously.....
Third paragraph from the bottom.
http://www.irs.gov/taxtopics/tc503.html
Re: Are Tax Stams tax deductible?
<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Smokin</div><div class="ubbcode-body">Seems that Tax Stamps should be treated as any other tax and should be tax deductible. Has anyone looked into this? </div></div>Deductible from what?
<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Smokin</div><div class="ubbcode-body">Seems that Tax Stamps should be treated as any other tax and should be tax deductible. Has anyone looked into this? </div></div>Deductible from what?
Re: Are Tax Stams tax deductible?
Looks to me would depend on how your tax situation is. If your and individual and buy it for pleasure and you buy it outright, No. If per say I buy one through a trust, and its incorperated through my farm, then yes it would be deductable. But I think that would be kinda of a hassle, I have committed to a suppressor and am just gonna outright buy it and forget about the trust end of it and not worry bout a deducting it off taxes.
Looks to me would depend on how your tax situation is. If your and individual and buy it for pleasure and you buy it outright, No. If per say I buy one through a trust, and its incorperated through my farm, then yes it would be deductable. But I think that would be kinda of a hassle, I have committed to a suppressor and am just gonna outright buy it and forget about the trust end of it and not worry bout a deducting it off taxes.
Re: Are Tax Stams tax deductible?
there is a "hobby deduction" that you could maybe include your suppressor but not the tax if you file the long form
there is a "hobby deduction" that you could maybe include your suppressor but not the tax if you file the long form
Re: Are Tax Stams tax deductible?
<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: shoot4fun</div><div class="ubbcode-body">Do you deduct the amount of taxes you pay every year on, oh say, liquor?
Do you itemize the gasoline taxes you pay at the pump?
Do you take a deduction for the amount of sales tax you pay at every cash register?
</div></div>
Well I do. Sales tax and use tax is deductible from Federal income tax in my state (Washington).
The tax stamp is not a sales tax or use tax though.
<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: shoot4fun</div><div class="ubbcode-body">Do you deduct the amount of taxes you pay every year on, oh say, liquor?
Do you itemize the gasoline taxes you pay at the pump?
Do you take a deduction for the amount of sales tax you pay at every cash register?
</div></div>
Well I do. Sales tax and use tax is deductible from Federal income tax in my state (Washington).
The tax stamp is not a sales tax or use tax though.
Re: Are Tax Stams tax deductible?
No its not deductable.
Hobby expenses cannot exceed income from hobby and is subject to 2% floor, also ATF will require you to have SOT to have a hobby business buying and selling NFA items.
No its not deductable.
Hobby expenses cannot exceed income from hobby and is subject to 2% floor, also ATF will require you to have SOT to have a hobby business buying and selling NFA items.
Re: Are Tax Stams tax deductible?
If you do......please film it...
http://www.liveleak.com/view?i=539_1318434275
If you do......please film it...
http://www.liveleak.com/view?i=539_1318434275
Re: Are Tax Stams tax deductible?
The $200 or $5 for AOW's excise tax is not directly deductable but it can be added to the purchase price of the item to determine your cost basis in case you sell the item later at a profit and you are calculating your gain on sale.
Darin Reiss
Black Hills Armory
Haysville, KS
The $200 or $5 for AOW's excise tax is not directly deductable but it can be added to the purchase price of the item to determine your cost basis in case you sell the item later at a profit and you are calculating your gain on sale.
Darin Reiss
Black Hills Armory
Haysville, KS
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