Tax deduction

[jb2wheeler]

I bought a car to restore and have so much in it that I could never sell it for what I have in it. I ran out of money and have become disabled because of health problems. It still falls in the catagory of needing total restoration, but is totally restorable. The only solution I see is hopefully donate the car to a museum that will give me a tax deduction AND restore the car.Is there such a place? JB

[emopunksucksnuts]

hey man....im only 18 years old...ive always been into old cars...but i dont have enough money to get a nice one to restore. i am a great technician, but i have only worked on other peoples cars....i cant afford to buy this car off you, if it is as special as you make it sound...but i will give you as much money as i can give you, and i will restore it till it is the most beautiful thing you have ever seen....just think about it...thanx, if you need to talk, emopunksucksnuts@hotmail.com

[jb2wheeler]

I do not think you are a good candigate for the job. One reason I do not do this myself was because I recieved a qoute of a minnium of $15`000 to do the job. JB

[59elcooldsuv]

I have never heard of a hobbyist getting back what they have put into a car. The only time I have heard of anyone breaking even or turning a profit is either a used car dealer or a professional restoration or custom build shop - and of course you know how that artificially inflates the values of antique cars. I've also never heard of anyone giving a tax deduction AND restoring a worthy car. All the museums I've heard of buy cars that are already restored.

I have been building a 1959 El Camino for the last 5 years. I have invested about $10,000 in the engine, trans, full suspension rebuild, conversion to power front disc brakes and completely replacing the entire electrical system. I was laid off from my good job before I had a chance to do the body work, replace the glass, install a heater/AC system or do upholstery.

I load it full of spare parts and haul them out to the swap meet. People ask me if I'm trying to sell the ElCamino. I tell them "If I get a reasonable offer, sure I'll sell it." Then I tell them how much I've spent and give them a full description of all the work and new parts into it. They walk away & say "Thanks anyway."

Thing is, it may be worth $10,000 - you couldn't duplicate my efforts for less than that, and it doesn't count my labor, only parts - but it doesn't look like it until you put it up on a lift & look at all the new suspension parts, new trans, new engine etc. From the outside it still looks like a $500 beater.

If you can't finish it, then maybe you should sell it for a "fair" price (a 'tempting' price? a 'must-go' price?) to someone who is ready & able to finish the work. Some young buck who is learning how to do body work, paint & upholstery may be looking for a project that will let them get the experience and serve as their "resume" to get into a career with a pro shop.

Based on my experience, I don't expect to get back what I've invested. I'm sure that I'll have to take a loss just to be able to "move on" to what I want to do next. There is no cash profit in doing something you love, at best there is the satisfaction that you have done it. Profit comes from prostitution - either figuratively or literally.

[jb2wheeler]

Thanks, Randy, for the info. I do not want to make a profit. I already have over $7,000 invested and I paid too much for the car when I bought it. If I give the car up for a tax deduction, I wont be making a profit, I will be losing $7,000. My total salary is $11,000 a year thru Soc. Sec. and that does not generate a lot of taxes to be paid, LOL. I am just trying to make sure the car gets restored instead of butchered up. I sure cant restore it now that I am retired because of my health as well as my age. JB

[59elcooldsuv]

I notice that you didn't bother to mention what kind of car it is; how much restoration has been done and how much is left to do.

If it's a desirable collector car then you can probably find a club online where you can describe the situation to people who are genuinely interested in that particular car. Someone there might make you an offer that will amount to more than you could hope to get as a tax deduction.

I don't understand your fixation on getting a tax deduction, unless you're deperately trying to hide your assets from the tax collectors or from the Social Security Admin.

As one example, if you want to get an old Chevy into the hands of a Chevy lover you could go to Chevytalk.com , find the appropriate group there, and tell them what you have.

[jb2wheeler]

Hello Randy. I am having to sell my vacation house and I could probably use the extra deduction. I do like your idea about car clubs, tho. Trouble is I dont know of any clubs that would want a 64 Dart convertable. I will check the internet for this. Thanks, JB