Very few if any are going to outright admit it but I imagine ego plays into it a lot. They like to say, or at least know, their wine is on prestigious lists. Being in a liquor store makes them feel like they’re at commodity level.
Do not listen to advice on legal matters unless the person giving the advice makes clear their expertise in giving the advice. I am not a tax attorney, but I have set up my share of REITs to avoid taxation here or there, so I have a small amount of knowledge about this subject, but not enough to advise on this forum. I suggest you review the IRS guidance here: Publication 526 (2023), Charitable Contributions | Internal Revenue Service. It is possible that you will come to a different conclusion. NOTE that if you are ITB and you hold the wine as inventory, the answer may be different from if you are a hobbyist. Off the top of my head, there are at least two issues you have to consider. Assume you bought a wine for $50 and its current fair market value is $200. You donate it to a bona fide charity that will/will not [it used to matter but I do not know if it still does] use it as part of its charitable programs. Question 1 - Do you get a deduction for $200 or $50? Question 2 - If the answer to Q1 is $200, do you have to recognize $150 of income as though you sold the wine for $200?
I thought the 11 Pinot Grigios mentioned was actually some new Constellation brand…
3 Likes
I thought it was 2011 vintage still on closeout.
2 Likes
Don’t quit your day job.
1 Like
Basic question. I do you prove cost basis?
I think I’ve said this already, but aside from some no-name domestic stuff, I’m not seeing declining prices. I just got this email:
We just held one of our biggest auctions in recent times, which brought in $13.5 million and sold through 100% of its 3,000 lots. We had over 1,000 bidders from all over the world.
The market is really strong right now. Please send us a note if you want to discuss selling your wines in one of our last two auctions of 2024. If you have a list for pricing, our team will return an appraisal right away. It’s a great time to sell, and I am happy to help make it easy for you.
Do you think they will attract sellers by saying the market is really weak and over-saturated? This says absolutely nothing.
2 Likes
Fair enough, but I’ve also been trying to buy some wine for the last couple months, and I’m not seeing any enticing prices.