Quote:
Originally Posted by kongpwnsurface
some relevant excerpts from this thread:
The reason being that although he did collect on his 16000 he had already sold it on for 8500 to (I assume) a foreign resident so his taxes are just on the 8500? If so, what is to stop US poker players selling on their winnings at a discount to players in no GAMBLING tax jurisdictions such as the UK - for example by making up staking agreements?
Sorry, what I kind of mean is that if Zachary just tells the IRS "I know I got 16000 but because of a deal with no contract I shipped it to some Slovak guy in return for 8500" are they not going to cause a whole load of problems? - because I would if I was running a tax office so as not to be exploitable.
It's possible the guy is confused about the taxes and will find out NEXT time he files his return that he doesn't owe as much as he thought and he could then pay you the rest of the money. I don't know if that is realistic at this point, but maybe there's a chance.
I don't think you have any realistic chance at pursuing legal options.
I don't understand the "he only needs to pay tax on $8,500 crowd". I could be wrong, but....
He was cut a check for $16,000 which the government is well aware of. I don't think they care what his BUSINESS dealings were prior to that regarding the sale of this money, all they care is that he received a check for $16K in his name and that is taxable to his name in that amount.
I feel this pretty much sums it all up. Last post for real this time
i dont know whats so hard for you to understand. you get 8,500, that is your income from this--you set aside 2500 or whatever for taxes and report 8,500 as income. you dont get to spend the 16k, that isnt yours, you dont owe taxes on it all.
i also dont get wtf ur talking about with a staking agreement selling winnings. $ that is yours you pay taxes on ,both parties. if theres some selling agreement then it adjusts for what each person actually keeps. you do have a contract, you have records of a convo and then you received 8,500... this demonstrates what is going on. then you have a record of sending him $, though not all of it.
if you got audited you could prove you entered this agreement/contract, showing him sending you 8,500 and then showing you sent him the 16k.
so what are you planning on reporting as income? 16k? 8.5k? or 12.5k? because as it stands now you owe on 12.5k.
you are 100% scamming him as it stands now.