Wednesday, April 27, 2016

Rare Coin Found On Martha’s Vineyard

It is the oldest coin known to have been found on Martha’s Vineyard — so old that Thomas Mayhew, the proprietor who settled the Island in 1642, might have held it in his hand. The coin is a 1652 pine tree shilling, among the first to be minted in colonial Massachusetts. Tim Sauer of Edgartown found it on a town beach (he won’t say more than that) while metal detecting in December. 

“I was finding a bunch of clad change, just regular modern change, which were all really, really thin and just worn away because of the salt,” Mr. Sauer said. “And when I found this one, it didn’t really dawn on me that it was a different color. A lot of the copper coins become very bright orange and deteriorated. The dimes, sometimes they get green. But this thing was black and I didn’t see anything on it and I just put it in my pocket.” 

The next day he went through his finds and noticed that one of the coins was different. “I’m going through each one, rubbing the sand off it and putting it into my change dish to buy candy bars later. And I come across that one, and it had dried out a little bit and the date started popping,” he said. The coin was as big around as a washer, light as a Wheat Thin and — as befits a coin that may have been buried in the sand for more than 350 years — bent into a wavelike pattern. A crease and a tiny hole marred one edge. One side showed the faint outline of a pine tree surrounded by the name of the colony: IN MASATHVSETS. The other side, hand struck slightly off-center, showed the date above the Roman number XII (for twelve pence) and the words NEW ENGLAND and AN. DOM. 

Online he learned that the pine tree shilling was the third in a series of pre-Revolutionary coins that, despite the date, might have been struck in Boston as late as the 1670s. England didn’t want the colonies minting their own money, and hiding the true date might have kept the mother country in the dark about what was going on. A pine tree shilling was found in a time capsule recently unearthed from beneath the State House in Boston. Referring to the work of the late Sydney P. Noe, Mr. Sauer learned that his shilling was probably a Noe-17 (“very scarce”), which sounded financially promising. But to get a sharp read on its value, he visited Brian Perry of Cape Cod Gold and Silver in Falmouth early this month. Mr. Perry suggested that Mr. Sauer have the coin appraised by the Professional Coin Grading Service of Newport Beach, Calif., generally considered to be the best in the numismatic business. A rating from PCGS would eliminate all questions to do with condition and value, he said.

At his computer, Mr. Perry looked up auction prices for pine tree shillings in worn condition. They were going for roughly $400 to $600. “It’s a little damaged, but it’s still collectable. It’s a nice find,” he said. Mr. Sauer said he’d been offered $2,000 for the shilling.

Source: Vineyard Gazette

Saturday, April 2, 2016

Man forced to return penny worth millions to U.S. Mint

A lucky penny, that turned out to be so rare it was actually worth millions, is now worthless.
Randall Lawrence, who had owned a rare coin for 35 years, was forced to return the valuable coin to the U.S. government.
It all started back in 2013, when Lawrence, who had recently moved to San Diego, went to the La Jolla Coin Shop with a baggie filled with coins that was given to him when his father died.
In that collection of coins was an aluminum 1974 penny. The penny was certified, authenticated and expected to sell at auction for millions.
But before Lawrence could sell the penny, the U.S. government stepped in.
They reached out to Lawrence in a stern letter asking for the coin back. According to the Department of Treasury that coin is government property.
Lawrence's father Harry worked at the Denver U.S. Mint for twenty years. He believes that back in 1974 one of his father's co-workers may have made the coin as a joke. Whatever the origin of the coin, the secrets died with Lawrence's father.
So the penny will not be sold at auction. Lawrence is giving the penny back to the government to be put on display for the public.

Source: Coin World
Image: Independent Coin Graders 

Surprise! Any Buried Treasure You Find Is Taxable

In February 2013, a northern California couple were walking their dog on their rural property when they discovered six cans filled with 19th-century gold coins. The coins, which are being sold by Kagin’s Inc. of Tiburon, Calif. may be worth up to $10 million. The couple has wisely chosen to stay anonymous, but they won’t be able to hide their good fortune from the IRS. Found property that was lost or abandoned is taxable at its fair market value in the first year it’s your undisputed possession, the IRS says. That means the couple will have to pay federal taxes of 39.6% on their windfall, plus California state tax of up to 13.3%.
The precedent for the IRS’s “treasure trove” rule dates back to 1964, a couple discovered $4,467 in a used piano they had purchased for $15. The IRS said the couple owed income taxes on the money, and a U.S. District Court agreed.
And if that were not enough
Income from illegal activities, such as money from dealing illegal drugs, must be included in your income on Form 1040,” the IRS says. Bribes are also taxable, the IRS says.  ???

Source: Kiplinger