I am only interested in this if its completely legal, and of course I'll consult an attorney if this is possibly viable. I'm interested if others have been able to make this work...
I have a small (6 cars) but growing collection. I plan on holding on to some of them as long-term investments. I also plan on selling some from time to time.
I also spend ~600 hours/year working on/restoring the cars and a fortune on parts.
I am full-time employed in another industry, this is not my full-time venture. I am in Canada but am a US citizen with another address there as well as an Australian
PR.
I am wondering if I can minimize gains taxes on the cars, deduct part of the parts expense and charge my labor on the cars in a way that reduced my overall tax liability.
Am I way off-base here?