Valuations, Tax and Estate Planning

At Brixton-Chrome we are happy to conduct a thorough evaluation of your collection. There are two services that we can offer you in this regard:

  1. If you simply want an approximate idea of what your collection would be worth on the open market, and do not require a written opinion for an insurer or other purpose, then we are happy to do it free of charge for the first hour, and at the rate of $10 per hour thereafter.
  2. If you require a written opinion of the value, either for insurance purposes, for the purposes of settling an estate, for matrimonial settlement purposes or for any other purpose, then our fee will be $25 per hour. If we purchase the collection, or take it on consignment, then we will waive all fees for the valuation.

I am a fully qualified Chartered Accountant in good standing with the New Brunswick Institute of Certified Professional Accountants. Accordingly, I am in a unique position to recognize some of the tax complications and estate planning issues that can arise when an individual has a large and valuable stamp collection:

  1. Gains on the sale of stamps for more than $1,000 each are taxable in Canada as capital gains. There are very specialized rules for the mechanics of the $1,000 exemption, which is known as the Listed Personal Property (LPP) rule, and understanding how they are applied can save you thousands of dollars when the time comes to sell.
  2. Death of a taxpayer triggers taxes on the accumulated accretion in value that has occurred on a collection. This tax burden can come as an unwelcome surprise to your family members and can result in cash flow problems. I can show you how to complete planning to avoid or minimize this eventual income tax burden.
  3. Capital gains on sale can be spread out over more than one taxation year if you receive the proceeds on sale over time. This is one reason why consignment may be preferable to outright sale.

There are just a few of the issues that I have encountered during my professional career. I can consult with you and evaluate your specific situation and give you tailored advice that is relevant to you. My fee for these consultations is $25 per hour.