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Cars bought to flip for car flippers

Varies

Can You Write Off Cars Bought to Flip for Car Flippers?

Short answer: Cars held for resale are inventory: costs are deducted when sold, and profit is ordinary income subject to self-employment tax.

Many states require a dealer license after a few sales per year.

Records to keep: Keep receipts, 1099s and platform tax summaries, a mileage log, and a note of the business purpose.