No,dont report it. Deposit it in your savings,checking account. It's just like If you buy a 40k Denali and sell it in the same year and deposit that. Taxman sees cash coming in. Until you get audited, but that wont happen. I've asked plenty of people that sold old cars for profit, no one claims it.
I know plenty of guys who buy and sell collector cars, and it is nearly universally a cash business. As is "cash on hand".. they keep large sums of cash.. no banking records, no loans, just cash transactions.
A couple of comments: You get the capital gain forgiveness on your primary residence only, and only to the extent that you invest the money in another primary residence. If you own a rental property or a vacation home and sell it at a profit, you pay the capital gain. Ask me how I know. Yes you can take a check and cash, but the bank where you deposit the cash is supposed to ask where you got it if it's more then $10 grand. My rule is not to annoy the IRS. Once you do, they will be on your back forever. There are things that you can do but shouldn't.
Actually, the amount is down to $3,000 now. Especially if they even think you may be "structuring" deposits to fall under the amount required to report to government authorities.
