From: Barry J. Cohen Sent: Thursday, August 10, 2017 1:20 AM To: jeffrey E. Subject: Re: Valuations > We have a good list with tax basis of all art. Sent from my iPhone On Aug 9, 2017, at 9:04 PM, jeffrey E. <[email protected] <mailto:jeevacation@gm=il.com» wrote: thkx so for ex the picasso that wa= 125 cost without tax and 135 with if sold at 100 appras=ed value it would genrate 35 loss. thats the point On Wed Au 9 2017 at 8:54 PM, Barry J. Cohen <=pan dir="Itr"> <mailto: wrote: Sent from my iPhone Begin forwarded message: From: Heather Gray < Date: August 9, 2017 at 7:05:13 PM EDT To: "Barry J. Cohen" Subject: Re: Valuations > For non-collateral purposes (I.e., on our books), we do include sales =ax paid or use tax that we are accruing as part of the "cost." &=bsp; If a work is collateral=or is on our potential collateral lists and it is a new purchase - meaning=that it was purchased since 1/1/17 so hasn't been appraised yet - we inclu=e sales tax that we actually paid as part of the value of the work, but we do not include use tax that we ar= accruing but have not paid yet. The bank requires us to give them invoice= for collateral that has not yet been appraised and they give us "cre=it" for the purchase price plus any sales tax shown on the invoice, but not for use tax that has not yet been =aid. apprai=ed value. Once a work has been ap=raised, we carry it on our books and for collateral purposes at its EFTA_R1_01296603 EFTA02336438