Will I have to pay taxes on oil painting that our sold ?

I have two oil painting that a art gallerie is going to sell for me. when they are sold and i get the money for them will Ihave to pay taxes on the money i get for the painting . if I do what will be the percent i would have to pay?

Answers:
you have to pay an income tax on the difference between the fair market value of the painting at the time of her death, if given to you in a will, and the purchase price. It is added to your income and you pay taxes on it the same as if it was earned from work so it depends what tax bracket you are in.
If the paintings sell for more than you paid for them, then you will have to pay federal and state income tax on the profit. Because the property is in California, you have nexus in California, and California will be entitled to a share of that profit.

Additionally, you will be liable for sales or use tax on the transfers, which the gallery might collect and remit on your behalf.

The answers post by the user, for information only, BAnswer.com does not guarantee the right.


More Related Questions and Answers...
  • If a female is earning upto 5000 pm as domestic sales is she required to maintain some record?In what manner?
  • What is the service tax notification no on service tax on rent of commercial properties?
  • MARYLANDS BG&E 50% utlility bill HIKE RATE who else on here is effected?
  • Quick income tax question?
  • How do different states assess the amount of state income taxes they collect?
  • Child tax credit question?
  • Can i deduct gas from my taxes for going to work and school? I file my own taxes.?
  • Tax Questions: what is "QUALIFIED SOLAR ELECTRIC PROPERTY" ?
  • Capital gains tax?