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Cottage industry helps lottery winners dodge taxes

Topic closed. 32 replies. Last post 2 years ago by Teddi.

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Posted: August 8, 2014, 8:25 am - IP Logged

they're just becoming aware of this now. it has been going on openly for the last 40 years. there's a ten percenter on every corner of every town or city that has a lottery. everyone who plays knows someone who does it or knows someone that knows someone that will do it. it cannot be stopped because if someone overdoes it and gets bagged (unlikely) there are literally hundreds of others who haven't done it and are willing to do it to take their place. so they might as well continue to do nothing about it as they have been doing for the last 40 years. the lottery doesn't care as it help sales in the long run. we all know the IRS is fraudulent and anyone who willingly gives them their money are foolish.

    JonnyBgood07's avatar - Patriots logo1.jpg
    Connecticut
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    Posted: August 8, 2014, 8:43 am - IP Logged

    it's ok for the mega billionares to hide their money in protected offshore accounts to avoid taxes,but it's not ok  for the common schmo to duck and juke once in a while.???

    "No matter how bad things may get, I'd like to thank my middle finger

    for always sticking up for me.."

     


      Marilyn222's avatar - thumb 350-286546.jpg
      Denver
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      Posted: August 8, 2014, 10:04 am - IP Logged

      it's ok for the mega billionares to hide their money in protected offshore accounts to avoid taxes,but it's not ok  for the common schmo to duck and juke once in a while.???

      Yeah! They kept on freagin donating for a tax right off. I wonder, can blood donation has a tax right off too? lol...

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        mikeintexas's avatar - tx avatar-1.gif
        Texas Panhandle
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        Posted: August 8, 2014, 10:36 pm - IP Logged

        Yeah! They kept on freagin donating for a tax right off. I wonder, can blood donation has a tax right off too? lol...

        You can't take a tax "write-off" for donating blood, but you CAN take a deduction for the fair value of old clothes you donate.  I don't remember the particulars, but Pres. Bill Clinton donated underwear and took a deduction for ea. pair.  Much was made of it, but as I recall, they never had never been worn.   (he should have saved them up and later sold them on eBay and made a ton of money!)

        Not sure why off-shore accounts have such a bad rap.  Sure, they're often used by criminals such as drug dealers  to hide and/or launder money, but otherwise they are legal and serve legitimate purposes, such as if you do international business. They can offer tax benefits and sometimes higher interest rates.  Any income derived from the account(s) still has to be reported and there are severe penalties, including jail time, for not doing so.  Before the last election, his opponent and the progressive media attempted to smear Mitt Romney with accusations about his offshore investments and banking accounts.  Try as they might, everything was found to be legal and above-board.   He paid the required taxes on the income but some people seemed to think he should have paid more.  It's just another example of the "Occupy" mindset, a perverted wealth envy that comes from those who think they deserve a larger piece of the pie and not have to do anything (other than whine) to get it.

        If the money was made honestly and is being invested legally, I don't know why people have the right to criticize what someone does with their funds.


        A people that elect corrupt politicians, impostors, thieves and traitors are not victims...but accomplices.
         - George Orwell

          Coin Toss's avatar - shape barbed.jpg
          Zeta Reticuli Star System
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          Posted: August 8, 2014, 11:04 pm - IP Logged

          Classic, if you can find a copy well worth reading.

          The April Game
          Secrets of an internal Revenue Agent
          by Diogenes

          Contents

          The Game 
          3

          The Revenue and the Agent 
          21

          Rich Man Poor Man Middleman 
          27

          Those who run the lotteries love it when players look for consistency in something that's designed not to have any.

          Lep

          There is one and only one 'proven' system, and that is to book the action. No matter the game, let the players pick their own losers.

            Marilyn222's avatar - thumb 350-286546.jpg
            Denver
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            Posted: August 8, 2014, 11:45 pm - IP Logged

            You can't take a tax "write-off" for donating blood, but you CAN take a deduction for the fair value of old clothes you donate.  I don't remember the particulars, but Pres. Bill Clinton donated underwear and took a deduction for ea. pair.  Much was made of it, but as I recall, they never had never been worn.   (he should have saved them up and later sold them on eBay and made a ton of money!)

            Not sure why off-shore accounts have such a bad rap.  Sure, they're often used by criminals such as drug dealers  to hide and/or launder money, but otherwise they are legal and serve legitimate purposes, such as if you do international business. They can offer tax benefits and sometimes higher interest rates.  Any income derived from the account(s) still has to be reported and there are severe penalties, including jail time, for not doing so.  Before the last election, his opponent and the progressive media attempted to smear Mitt Romney with accusations about his offshore investments and banking accounts.  Try as they might, everything was found to be legal and above-board.   He paid the required taxes on the income but some people seemed to think he should have paid more.  It's just another example of the "Occupy" mindset, a perverted wealth envy that comes from those who think they deserve a larger piece of the pie and not have to do anything (other than whine) to get it.

            If the money was made honestly and is being invested legally, I don't know why people have the right to criticize what someone does with their funds.

            Whoops! Write-off...my bad...Smile

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              mikeintexas's avatar - tx avatar-1.gif
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              Posted: August 8, 2014, 11:54 pm - IP Logged

              That's OK, I didn't want to come straight out and act like a "grammar Nazi".

              I believe that, IF I ever win the lottery and depending upon how much it is, I'm going to have some money "offshore", maybe in Switzerland....just so I can casually mention "my Swiss bank account".

              (j/k, I'm nowhere near that pretentious, but I WOULD keep "some" money out of the U.S.)

                Marilyn222's avatar - thumb 350-286546.jpg
                Denver
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                Posted: August 9, 2014, 12:02 am - IP Logged

                That's OK, I didn't want to come straight out and act like a "grammar Nazi".

                I believe that, IF I ever win the lottery and depending upon how much it is, I'm going to have some money "offshore", maybe in Switzerland....just so I can casually mention "my Swiss bank account".

                (j/k, I'm nowhere near that pretentious, but I WOULD keep "some" money out of the U.S.)

                I heard Suiss Offshore Accts don't collect taxes on interest rates, but still if you were a U.S. citizen you have to declare it here in the U.S.A. and pay taxes for them.

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                  mikeintexas's avatar - tx avatar-1.gif
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                  Posted: August 9, 2014, 12:20 am - IP Logged

                  I heard Suiss Offshore Accts don't collect taxes on interest rates, but still if you were a U.S. citizen you have to declare it here in the U.S.A. and pay taxes for them.

                  Yes'm, that's right.  I can guaran-darn-tee ya that if I ever win the lottery, I'm gonna make sure I do things on the up-and-up w/ my money.  The IRS can not only squeeze blood out of a turnip, they can confiscate the turnip.   It does annoy me about the limitations on what you can give away, but then again, they wouldn't be able to get the taxes on gifts and estates.

                  Uncle Sam ain't my favorite uncle these days.

                    Marilyn222's avatar - thumb 350-286546.jpg
                    Denver
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                    Posted: August 9, 2014, 12:33 am - IP Logged

                    Yes'm, that's right.  I can guaran-darn-tee ya that if I ever win the lottery, I'm gonna make sure I do things on the up-and-up w/ my money.  The IRS can not only squeeze blood out of a turnip, they can confiscate the turnip.   It does annoy me about the limitations on what you can give away, but then again, they wouldn't be able to get the taxes on gifts and estates.

                    Uncle Sam ain't my favorite uncle these days.

                    LOL

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                      RedStang's avatar - tallman zps6gf4inoc.jpg
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                      Posted: August 9, 2014, 1:15 am - IP Logged

                      Classic, if you can find a copy well worth reading.

                      The April Game
                      Secrets of an internal Revenue Agent
                      by Diogenes

                      Contents

                      The Game 
                      3

                      The Revenue and the Agent 
                      21

                      Rich Man Poor Man Middleman 
                      27

                      Reminds me of the Matthew Lesco book my sucker neighbor bought. I read through it and learned nothing.

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                        Framingham,Ma
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                        Posted: August 9, 2014, 10:00 am - IP Logged

                        Yup Swiss accounts have to be reported and US Gov can get records that was done years ago,but Grand Cayman accounts on other hand US Gov can not get records of these accounts,So IRS has to take the persons at his/her word, so having several accounts you can show some of your money but not all saving millions in Taxes this is why Mitt Romney and all the RICH moved their money from Swiss acounts to Grand Cayman accounts.The money 10%'s are stealing is minimal compared to that the rich are stealing.

                          Marilyn222's avatar - thumb 350-286546.jpg
                          Denver
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                          Posted: August 9, 2014, 11:06 am - IP Logged

                          Yup Swiss accounts have to be reported and US Gov can get records that was done years ago,but Grand Cayman accounts on other hand US Gov can not get records of these accounts,So IRS has to take the persons at his/her word, so having several accounts you can show some of your money but not all saving millions in Taxes this is why Mitt Romney and all the RICH moved their money from Swiss acounts to Grand Cayman accounts.The money 10%'s are stealing is minimal compared to that the rich are stealing.

                          Suisse Acct is the same with Cayman, U.S. Gov. can't find them unless you start reporting. The only thing is that, Suisse is more secured.

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                            Framingham,Ma
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                            Posted: August 9, 2014, 12:06 pm - IP Logged

                            Ok here is what the US Gov IRS did

                            Poking around a little bit, the US originally demanded UBS hand over the names and accounts of 52,000 people. However, Swiss tax officials responded that "does not identify any facts that could be construed as constituting tax fraud or the like, but rather makes a broad demand for the identity of all U.S. taxpayers for which certain forms have not been filed." That would be against the spirit of the 4th amendment.

                            The only thing that changed is that the Swiss caved and agreed to do a deal.

                            According to the WSJ Blog, the US still doesn't have to give specific reasons for information on that data.

                            But the structure of the deal could allow the U.S. access to far more than the 4450 contained in the agreement. For starters, the names of the 4,450 haven’t been revealed, nor has the criteria the U.S. used in determining who might be on the list. Furthermore, the agreement says that notifications to the 4450 will be made on a rolling basis.

                            They're still fishing for illegal activity...which is still goes against the spirit of the 4th Amendment.

                            Under FBAR - you only have to report a bank account if you have foreign accounts worth more than 10K. That stipulation isn't there under the Swiss deal.

                            Even under domestic law, you don't get your account reported unless you have more than 10K, unless it is interest bearing. 

                            and in doing this gave plenty of people having money in these accounts time to move their money to Cayman accounts

                              Marilyn222's avatar - thumb 350-286546.jpg
                              Denver
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                              Posted: August 9, 2014, 12:13 pm - IP Logged

                              Ok here is what the US Gov IRS did

                              Poking around a little bit, the US originally demanded UBS hand over the names and accounts of 52,000 people. However, Swiss tax officials responded that "does not identify any facts that could be construed as constituting tax fraud or the like, but rather makes a broad demand for the identity of all U.S. taxpayers for which certain forms have not been filed." That would be against the spirit of the 4th amendment.

                              The only thing that changed is that the Swiss caved and agreed to do a deal.

                              According to the WSJ Blog, the US still doesn't have to give specific reasons for information on that data.

                              But the structure of the deal could allow the U.S. access to far more than the 4450 contained in the agreement. For starters, the names of the 4,450 haven’t been revealed, nor has the criteria the U.S. used in determining who might be on the list. Furthermore, the agreement says that notifications to the 4450 will be made on a rolling basis.

                              They're still fishing for illegal activity...which is still goes against the spirit of the 4th Amendment.

                              Under FBAR - you only have to report a bank account if you have foreign accounts worth more than 10K. That stipulation isn't there under the Swiss deal.

                              Even under domestic law, you don't get your account reported unless you have more than 10K, unless it is interest bearing. 

                              and in doing this gave plenty of people having money in these accounts time to move their money to Cayman accounts

                              You're right. Because the U.S. Govt. is beginning to sue Credit Suisse. But I do have a question though, if the money is registered originating in Saudi Arabia which the Saudis are not allowed to collect/give interest/taxes and the bearer of the accts has a multiple diplomatic citizenship, does she/he still have to pay taxes in the U.S.?

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