US tax implications on a domain sale question?

Are you treating these sales as a "short/long term" gain...ordinary income (individuals). or as a business revenue? if so what is your cost basis formula?
Thanks.

 

[Capt. Flash]

The past three years my accountant has treated domain sales like stocks, using the six month rule. They count names I let drop as losses in the next year. I believe they have a ruling from the IRS. They are;
Armstrong, Backus & Co., LLP
San Angelo, TX
Just ask for Tommy. I have given them the oppurtunity to aquire much experience relative to this issue.

 

Last year H& R refuse to treat my sales as stocks sales...or short term profits...I was gently escorted out the door for raising my doubts...

 

[NewSeller]

Agree

 

[dnjon]

I tried calling "Tommy" (Corbell) at Armstrong, Backus & Co. (915-653-6854) and couldn't get a return phone call from repeated messages left over two weeks. Finally I was connected to Cindy Ford, identified as the Firm Administrator, who told me that the firm does not want anything to do with domain name sellers.

 

[clemzonguy]

Very good topic.