I depreciate all my equipment, so if I sell a piece, I have to play capital on the difference between book value (after depreciation) and the selling price.

I can donate the equipment to an appropriate 501(C) and avoid the capital gains tax.

I would imaging that's how all professional musicians handle the business end of things. You deduct the depreciation on your annual taxes as you take it and claim the gains at the time of the sale. Most of my sales are to pro's who send me a 1099. If a non-pro buys the equipment and there,s no 1099, you're on your own.


Russ (former bean counter) Lay