Wow - Income Tax As An Argument for Lowballing - What Next?!?!?

[KEY ISSUES Comics]

We all have our arguments/cases/lines when trying to get a deal from a seller, but this is the 1st time someone has used income tax as an excuse. Here's some context first.

 

I've got a handful of books I'm looking to sell because I don't want them anymore, and I just don't have the energy to sell them on-line these days so I figured I'd entertain my local Craigslist site in the hopes of finding a local buyer. Before posting anything I saw an ad claiming: "I'll buy your old comic books, I pay top dollar, in cash!", so I figured I'd ask what he'd be willing to pay for my books, which are all keys, including several high grade CGC copies. It resulted in the worst lowball offer I've ever gotten in my life, and for keys no less.

 

50% of guide for keys? Get lost. Most dealers pay more than that. "I pay top dollar, in cash!", yeah, right....

 

Thanks for your list and for your email. Yes, I do try

to pay out as much as I possibly can for books, but I

never have "claimed" to have unlimited funds to buy

any book out there offered to me either.

 

I also look for deals as many people like to sell

cash locally for the following 2 reasons:

 

1- metropolis(comicconnect), Heritage and

other auction sites take 10%-19% commish

from the seller...

 

2- all internet revenue (ebay, paypal, etc) are subject

to be declared in your income taxes, paying out

on average a 30% income tax bracket.

 

But obviously, you've known all of this already for

years now, that's why you're here. ; )

 

So for an example, a $1000 book value, -30%

that all comics resellers give off list is $700... then from

that, now pay out you income tax another 30%...

brings you down to $490... and I'm assuming there is

no commission percentage here to the auction site.

 

AND with this, you're still only selling one comic

at a time.

 

So yes, a local guy with cash giving you $490

for $1000 book value is indeed a good deal for the

seller, especially is there is a lot involved, and auction

commission is non-existent.

 

It's a buyers market, as most young people

spend thousands of hours on their stupid iphones and

facebook, and very few comic collectors remain, especially

in quebec were you can show someone a beautiful, vintage

10c comic and the guy will ask if you have it 'en francais.'

What a shame...

 

Anyways, that my best offer, I don't have to buy the entire

lot, and I can buy as little as 8 books, and 50 off of overstreet,

in cash.

 

Thanks for your time.

 

It sounds a lot like a local dealer who uses plenty of aliases. Regardless, I wonder what his idea of top dollar would be for drek?

 

$490.00 for a $1K book. Who in their right mind would sell a ASM #1 0.5 or so for half guide? I could understand an offer like that for some common semi-key raw books from the 1980s, but I was offering him DD #168 CGC 9.6, MS #5 CGC 8.5, TOD #1 signed by ADAMS, etc... People like that are scoundrels. Does that approach really work on anyone with decent books and who knows the market. Sheesh.

 

That's my cold-induced feverish rant for the day.

 

Income tax. Wow.

[sufunk]

 

Gotta give him points for originality though!!!

[Comicopolis]

DD #168 CGC 9.6, MS #5 CGC 8.5, TOD #1 signed by ADAMS.

 

Thought you said they were keys

[aszumilo]

Surprised he didn't factor in his time and gas also.

[KEY ISSUES Comics]

DD #168 CGC 9.6, MS #5 CGC 8.5, TOD #1 signed by ADAMS.

 

Thought you said they were keys

Minor keys. I was going to call them as such, but I didn't want to offend anyone here who considers them REAL keys.

[Trev]

Offer him to allow you to deal with the taxes and counter him at that rate. I don't see how he saves you anything with that tax argument but I don't know canadian taxes.

[mintcollector]

Really? Tell him that all cash transactions are subject to taxes as well. It is truly amazing the depths at which some people will sink to. If you find $20 on the street, technically that is taxable income. Why is this so hard for people to understand? Receiving cash does nothing to aleviate that burden...

 

The only instance I can ETHICALLY understand when 'tax' is being used as an adequate argument (and even this is questionable by theory) is when you are a seller! For instance, I know some very high end collectible/antique sellers who will literally refuse to sell various high end items that have a tremoundous profit margin once they have reached a certain quota. This is done due to the fact that sometimes certain sales can tip the scale into which income tax bracket you are in. That is the only reason I have ever seen; and even then, unsold inventory is still taxed. In the end though, most dealers would still opt for the cash, especially if it is on an item that has remained in their inventory for quite some time.

 

Respectfully yours,

 

'mint'

 

 

[jmg3637]

He is assuming that you bought the item for the cover price otherwise the "gain" is not the entire sales price. It is just the difference between your purchase price and your net proceeds of the sale after all expenses.

 

Anyway it is a novel approach to a lowball offer

[Jay1982]

, I saw this ad as well. Good ol "Lance"

 

Just went through the kijiji ads for comics in Montreal and he's littered the section with his amazing deals. Most of what is posted coming out of the west island (if not all) is from him.

[mintcollector]

Actually I just thought of something. Ask what recent comic books he bought lately and their prices. Then offer to buy them at a 20% discount from the prices he paid (assumimng they were good deals). This will allow him to possibly declare a loss on his tax return if he does this continually. Of course, I am assuming he is in the United States;... and there is the 'hobby loss rule.'

 

Kind Regards,

 

'mint'

[KEY ISSUES Comics]

, I saw this ad as well. Good ol "Lance"

 

Just went through the kijiji ads for comics in Montreal and he's littered the section with his amazing deals. Most of what is posted coming out of the west island (if not all) is from him.

It's not listed under the same user as good ole Lance, but it seems like something he would do under a different alias. Either way, I'm not going to continue our conversation. I simply replied: "I'll pass."

[Jay1982]

Yeah, I saw that listing in Laval (that's where he "warehouse" is). It might not be him but it reeks him.

[comicwiz]

Lance

[Jay1982]

Since we are on the topic of local montreal sellers. I replied to an ad out of the west island stating "20 NM New Mutant issues at 50 cents each." I asked which ones, he said 20 different ones. I replied asking again, which ones. He said he couldn't say....

[dupont2005]

What a d-bag. There are so many variables how could he even say what your online listing fees or taxes on an item would be? He just assumes the maximum imaginable for both?

 

Is income earned through comic sales really 30%? Then why are Capital Gains so much lower? It's basically the same thing.

[shadroch]

What a d-bag. There are so many variables how could he even say what your online listing fees or taxes on an item would be? He just assumes the maximum imaginable for both?

 

Is income earned through comic sales really 30%? Then why are Capital Gains so much lower? It's basically the same thing.

 

You might want to brush up on your tax law before offering advice.

Income from the sale of anything, collectibles in particular, is not the same as a capital gains.

[Maccai3]

-30% that all comics resellers give off list

 

they do?!

[sckao]

The basic question seems to be is 50% of Guide too low to pay for Keys.

 

Is it?

 

 

[Maccai3]

The basic question seems to be is 50% of Guide too low to pay for Keys.

 

Is it?

 

 

it's too low to sell

 

but surely it depends on what you paid for them

[shadroch]

The vast majority of people with comics for sale don't know what the guide price is in the first place. People on this board are not the typical responders to ads like this. Its amazing that in this day and age most people have no idea comics are worth anything.

I'm not sure what the OP was hoping to be offered, but I don't think the buyers offer was off the wall. His rational, yes, his offer,no.