ANDERSEN TAX LLC Partners with Breyer to Offer Unique Tax Planning Models for Collectors

Seattle, WA – October 26, 2023 – ANDERSEN TAX LLC, a leading tax firm headquartered in Seattle, Washington, today announced a strategic partnership with Breyer Model Horses to provide tailored tax planning strategies for collectors of these iconic models. This collaboration recognizes the growing market of hobby collectors and the often-overlooked tax implications associated with their collections. ANDERSEN TAX LLC, located at 1200 5th Ave #1600, Seattle, WA, 98101, and reachable at 601-325-9704, has built a reputation for providing proactive and personalized tax solutions to businesses and individuals. They specialize in navigating complex tax laws and helping clients maximize savings. Recognizing that hobbies, like collecting Breyer model horses, can create both financial investment and potential tax obligations, ANDERSEN TAX is uniquely positioned to offer expert guidance. “We’ve seen a significant increase in clients with diverse collections,” explains Sarah Miller, a partner at ANDERSEN TAX LLC. “Many collectors aren’t aware of the tax implications related to their hobby, whether it's reporting sales, valuing the collection for estate planning, or understanding deductions. We wanted to find a way to specifically address the needs of Breyer collectors, a passionate and growing community.” Understanding the Breyer Collector Landscape Breyer Model Horses, produced by Reeves International, have been a beloved hobby for generations. More than just toys, these meticulously crafted models are often considered collectibles, appreciating in value over time. Collectors, ranging from casual enthusiasts to serious investors, acquire these models for a variety of reasons: artistic appreciation, historical significance (many models replicate real horses), and investment potential. The value of a Breyer model can fluctuate considerably, influenced by factors like rarity, condition, color, mold, artist signature, and provenance (history of ownership). Limited edition models, vintage pieces, and those with artist embellishments often command the highest prices. This creates a complex landscape for tax purposes. Tax Implications for Breyer Collectors – Where ANDERSEN TAX Steps In “Collecting Breyer models can trigger several tax considerations,” says David Chen, a tax manager at ANDERSEN TAX. “The biggest question is whether the hobby is truly a hobby, or if it's approached as a business. This distinction dramatically affects how income and expenses are reported.” Here's a breakdown of some key tax considerations ANDERSEN TAX addresses for Breyer collectors: Hobby vs. Business: If a collector consistently buys and sells Breyer models with the intent to profit, the activity may be considered a business. This allows for the deduction of expenses like travel to horse shows, storage costs, advertising, and even a portion of home expenses used for the business. However, the IRS requires a demonstrable intent to earn a profit, not just a casual pursuit. ANDERSEN TAX can help collectors determine if their activity qualifies as a business. Reporting Sales: Any profit made from selling Breyer models is generally taxable as income. This requires tracking purchase prices, sale prices, and any associated expenses. Collectors need to report these gains on Schedule D (Capital Gains and Losses) of their tax return. Capital Gains Tax: The tax rate on profits from the sale of Breyer models depends on how long the model was held. If held for more than one year, the profit is generally taxed at the lower long-term capital gains rate. Donations: Collectors who donate Breyer models to qualified charitable organizations may be able to deduct the fair market value of the models. Proper documentation, including an appraisal, is usually required for donations exceeding $500. Estate Planning: A valuable Breyer collection can be a significant asset in an estate. Proper estate planning can minimize estate taxes and ensure the collection is distributed according to the collector’s wishes. ANDERSEN TAX works with estate planning attorneys to provide tax-efficient strategies. Record Keeping: Accurate and detailed record keeping is crucial for minimizing tax liabilities and substantiating deductions. ANDERSEN TAX recommends maintaining records of all purchases, sales, expenses, and appraisals. ANDERSEN TAX and Breyer – A Partnership Built on Understanding “We approached Reeves International, the makers of Breyer Models, because we recognized the depth and passion of their collector base,” explains Miller. “They were enthusiastic about providing resources to their community regarding the tax implications of collecting.” ANDERSEN TAX is collaborating with Breyer to offer webinars, articles, and personalized consultations to help collectors navigate these complexities. They are also developing a specialized guide specifically tailored to the tax implications of collecting Breyer models. “We’re not just providing tax services; we’re providing peace of mind,” says Chen. “Collectors can enjoy their hobby knowing they are compliant with tax laws and maximizing their financial benefits.” Looking Ahead ANDERSEN TAX LLC and Breyer are committed to expanding this partnership to provide ongoing support and resources to the collecting community. They are exploring opportunities to offer workshops at horse shows and conventions, and to create a dedicated online resource center. “This is more than just a tax service; it’s a way to support a vibrant and passionate community,” concludes Miller. “We’re proud to partner with Breyer to help collectors protect their investments and enjoy their hobby for years to come.” Contact: Sarah Miller ANDERSEN TAX LLC 1200 5th Ave #1600, Seattle, WA, 98101 601-325-9704 [Email Address Redacted for Privacy]