I am in the process of preparing my taxes for 2024. What is the best way to determine the cost of an item that is very old (i.e. 65 years ago from my childhood) so that I can calculate the profit? Newer items are easier to do because I have receipts, cover price, internet info, etc. for the cost. Thanks in advance for your feedback.
I use a CPA for my taxes and he has me use the price the item would cost used, at Goodwill or a garage sale. So those old music books probably would list at about $1 each or so. You can't list them for what was paid for them becasue they were new then, not used. Hopethat helps.
I use a CPA for my taxes and he has me use the price the item would cost used, at Goodwill or a garage sale. So those old music books probably would list at about $1 each or so. You can't list them for what was paid for them becasue they were new then, not used. Hopethat helps.
If it's from your childhood, then probably somebody else purchased it for you, so your COG would be zero. If you did pay for it yourself, then you have to just estimate what the purchase price would have been.
