Do you have to report the Sale of a personal asset at the end of the year on your tax return, such as a car?

If you made a profit, YES.

If you sold at a loss, NO.

1

You don't report the sale of your personal asset if you had a loss, which is normally the case. It is rare that some one can sell car at a profit.

If you sold the car at a profit, report it on schedule D (Form 1040). It may be short term or long term capital gain depending upon how long you kept it.

to piggyback on this question, i have the same question, except i sold a car I had a loan on and made a small profit ($2800). I deposited over $14k to pay off the loan to get the title to the new owner. Banks report any deposit over $10k, so my question is the same. I actually called the IRS and asked them and they seem baffled lol. From what I gathered, I have to pay capital gains tax on the profit I made. Sound right?

No, not usually, as cars are rarely sold for a profit unless it is a collectors car. Then, like any long term investment, over one year owned, you would only have to pay capital gains tax, which is fifteen percent.

No, you don't have to! If you bought a car then you can use the sale tax that you pay as an expense!

If sold at a gain, yes.

If sold at a loss, no.

Of Course you do.

The simple answer is NO.

No.