I just won a 1965 corvette and cannot believe it

[Edward A.]

Hi All,
I have just joined your organization and need some assistance. I just won a raffle held in Ft. Wayne Indiana and am not the proud owner of a beautiful 1965 Corvette Convertible 327 350 hp 4 speed restored black with red interior knock off rims and side pipes. It appears restored and had the odometer zeroed
Now the bad news is the tax bill is over $12,000 and I want to check the value of the car.

Does anyone know this car from the Turnstone Charity Raffle?

I am reaching out to Tom Young but welcome any other input on this car.

Thank you all.

[Nicholas L.]

Re: I just won a 1965 corvette and cannot believe it

At $12,000 you are way ahead of the game. Congratulations.

[Dick W.]

Re: I just won a 1965 corvette and cannot believe it

Hi All,
I have just joined your organization and need some assistance. I just won a raffle held in Ft. Wayne Indiana and am not the proud owner of a beautiful 1965 Corvette Convertible 327 350 hp 4 speed restored black with red interior knock off rims and side pipes. It appears restored and had the odometer zeroed
Now the bad news is the tax bill is over $12,000 and I want to check the value of the car.

Does anyone know this car from the Turnstone Charity Raffle?

I am reaching out to Tom Young but welcome any other input on this car.

Thank you all.

I would talk to a tax advisor ASAP. Car was probably valued well over market. Sounds like they had it valued in the range of $60k.

[Edward A.]

Re: I just won a 1965 corvette and cannot believe it

Thank you Dick,

They are using a $41,000 value but the feds are wanting 28% and the state of Indiana 3.5% all up front of course.

[Michael F.]

Re: I just won a 1965 corvette and cannot believe it

congratulations...i would take that car any day for 12k....enjoy, enjoy

[Randy S.]

Re: I just won a 1965 corvette and cannot believe it

I would talk to a tax advisor ASAP. Car was probably valued well over market. Sounds like they had it valued in the range of $60k.

If I remember correctly I read somwhere to consult an IRS approved appraiser. As Dick said they are frequently over valued althought $41K sounds reasonable. That may be what the charity paid for it

Randy

[Dick W.]

Re: I just won a 1965 corvette and cannot believe it

If someone donated the car to the charity, there should have been an appraisal with a form 8283, signed by the appraiser, attached to it. That form is required for non cash charitable deductions over $5,000. Lot of liability for the appraiser when he submits that form. If he over/under values the item fraudulently, he is liable for the taxes, penalties, and interest due IRS, plus a fine. I have been questioned by IRS on a couple of my appraisals, but I always have a work file to justify my opinion of value.

[Tom B.]

Re: I just won a 1965 corvette and cannot believe it

They give a Corvette away every year. This 65 was a very nice car and I helped buy it as I do every year. Maybe next year will be my turn. Congrats on your great luck.

Tom

[Edward A.]

Re: I just won a 1965 corvette and cannot believe it

Tom, Can you give me a call 219-363-2909 thank you Ed

[Roger P.]

Re: I just won a 1965 corvette and cannot believe it

They are using a $41,000 value but the feds are wanting 28% and the state of Indiana 3.5% all up front of course.

Edward, you don't need an old car like that for $12K... that's crazy!! I would gladly pay the tax bill and give you another $12K to take that old Vette off your hands. My son just started driving and that car would be good transportation for him to get around town and to & from school. I have just enough room in my driveway to park it next to my red '65 convertible with black interior, knock-offs, and side pipes. Let me know if you want my assistance.

[Duke W.]

Re: I just won a 1965 corvette and cannot believe it

The $41K is considered ordinary income and you are required to pay federal and state income at whatever marginal tax rate the additional income places you in. It sounds like the $41K is generous from a tax standpoint, i.e. it could be worth more.

If you decide to sell the car and receive over $41K you would be subject to capital gains tax in addition to the income tax, and the cap gains tax would be at the 28 percent "collectibles" rate.

The other alternative would be to ask the charity to sell the car. You would still have to pay income tax on the proceeds, but there would be no capital gains tax if the sales price was over $41K.

As previously advised, you should consult a good tax advisor ASAP - before you accept the car.

As the old saying goes, the only sure thing in life is death and taxes.

Congratulations on your win. It sounds like a nice car.

Duke

[Mike E.]

Re: I just won a 1965 corvette and cannot believe it

Congratulations...Sweet looking car! Good to hear from another Hoosier with a '65. Hope you don't mine me posting a image of your car from the raffle's website. I few folks would probably like to see it.




Mike

[Edward A.]

Re: I just won a 1965 corvette and cannot believe it

No Prob. on post...I just need someone with the right book to help me determine if the numbers are right on this car. Engine, paint etc.

[Tom B.]

Re: I just won a 1965 corvette and cannot believe it

Been out and about today. I'll call you tomorrow.

Tom

[Timothy B.]

Re: I just won a 1965 corvette and cannot believe it

Edward,

Congratulations, that's a beautiful car!! The L-79 engine option is one of the best made, I hope you enjoy, many people will envy you so be careful where you park it.