Keeping records of your coins

[MikeKing]

I know this topic has come up a few times (I think), but, recently, I put a good part of my collection up for auction, and now, sold quite a few through both dealer and private treaty. For IRS purposes, I need the reciept for each and every coin purchase. It was not an easy task putting them together, since they were filed here and there, or just stuffed somewhere in my house.

 

Now, I have them all in one plastic binder with those clips that can hold a whole bunch of papers. Similarly, I've gathered all the reciepts for the coins I've vaulted, and the reciepts are in there with the coins + a list of inventory (which obviously changes from time to time, but has to be kept up with).

 

I think I finally got myself organized

 

EXCEPT, keeping a list of all those coins that are OUT, for whatever reason, for sale, for grading, whatever.

 

It seems endless, but think of it, if your heirs don't know what the hell to do with; your coins, it's just not fair...nevermind the pain you'd have to go thru finding those darn things, should you ever want to sell them.

 

I also included instruction IN the vault box, names of people my heirs could trust, should they wish to sell the coins. They will also have my original reciepts, so they'll at least know what I paid for them.

 

Well...that's my story about keeping records.

 

If you don't have things organized, maybe this will inspire you.

[Just Bob]

If you don't have receipts, will the IRS accept written records of your purchase ? I never get receipts at coin shows, but I keep a written account of every purchase, with the date, amount paid, etc.

[physics-fan3.14]

Bob, that was going to be my question also. I have receipts for some of my coins, but alot of them I don't. I do, however, have the price and date of purchase recorded in my coin inventory (Excel) for every coin I have ever purchased. I have left instructions with a couple of people as to the location and nature of this catalogue, and who to contact in the coin world to help dispose/sell/etc. my collection. But is this sufficient?

[World Colonial]

Proportionately, most of my coins were purcahsed through eBay. I have the records through Paypal. Some others were purchased at auction and I either have the auciton house receipt or have access to the prices realized and catalogue. For most others, nothing.

[TomB]

I also keep extensive records and inventory spreadsheets that are updated as my collection changes. The receipts are kept in their own safe deposit box and, while not neatly kept in binders, are folded in envelopes for retrieval.

 

I have previously read that if you have coin sales that the IRS investigates where you cannot produce your receipt of purchase that the IRS has the ability to tax the gains of the sale over face value. The veracity of this claim has never been tested by me and I do not intend to have any issues with the IRS.

[Schatzy]

I also keep very good records.

2 People know where the list is and I have also told them what to do with the coins.

[MikeKing]

If you don't have receipts, will the IRS accept written records of your purchase ? I never get receipts at coin shows, but I keep a written account of every purchase, with the date, amount paid, etc.

 

I've wondered about this too. I would think, though, that the answer is no.

 

 

edited to add:

 

you should always get a reciept. We all have to pay taxes. If you pay a dealer, even with a 'discount' because there won't be a reciept, he's essentially making tax free income. Let's say he nets $10,000.00 in a year that way. This could be up to $20,000.00 or more of taxable income. Did you ever get such a tax break? Why should he/she? Especially at your expense, for when you or your heirs sell, they will not be able to deduct the amount paid for the coin.

 

 

 

[Old Pueblo]

Excel file with excruciating (read : adequate) detail of coin acquisitions and love affairs. And now, photography as I delve into these lessons. I recognize it as part of the hobby and educational process for which I also have a love affair.

I pick my guitar between numismatic study periods in a little home office while enjoying a nice chat with coinage folk that know why I am here. Sometimes I have a beer too! <-<-<-<-Wife!

 

Cheers

 

Larry

[Houston Investor]

I keep very detailed records of purchases and cost.