I've always wondered how game show contestants would be taxed when they win
something.  Say they won a car that has a MSRP of $35,000.00  The contestant
immediately puts an add in the paper wanting to sell the vehicle and states
the price is $35,000.00 or 'best offer'.  Since msrp is always an inflated
price, if the vehicle sells for $26,500 would the IRS tax at the msrp or the
$26,500.00 ?

I think this is the question being asked here.  Hardware resellers always
have a quoted price that is always negotiable.  For them to stay in business
they buy low and sell high; or whatever they can get.  The item when
purchased had a set price if they can get more on the sale what is the true
value of the item?

-----Original Message-----
From: Stan Sieler [mailto:[log in to unmask]]
Sent: Thursday, May 02, 2002 11:17 AM
To: [log in to unmask]
Subject: Re: [HP3000-L] Fair market value for 967/SX


Re:

> Stan, being uncharacteristically stubborn, writes:

because I cited pretty good reasons to think I'm right :)


> >     IRS doc 561:
> >        Fair market value (FMV) is the price that
> >        property would sell for on the open market.
> >
> >  Note that it doesn't say "the price you'd have to pay to replace it".
> >  In this case, the answer to the question "what would a dealer pay me
for

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