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how do one handle donations. - phil's system not advisable ...

updated sun 15 aug 04

 

Steve Slatin on fri 13 aug 04


Phil --

With all due respect; you are an expert on many things but I
believe tax law is not one of them.

An "UNINTENDED OVERSIGHT" that you've discussed in
a public forum before "ACCIDENTALLY" committing is very
likely to be found, in tax court, to be "FRAUD." This is
because your "DISCUSSION" of the "ILLEGAL ACTS" before
they take place is prima facia evidence that your actions
were "PREMEDITATED." This leaves you subject to all
sorts of fines, penalties, and even imprisonment. Several
of the weirder militia types that the USG has cracked down
on have gone to jail not for their semi-auto to full-auto gun
conversions, their seditious rhetoric, or even their often
bizarre sexual practices, but their use of packaged plans
not unlike yours to evade taxes. When the "TAX
RESISTERS" tried to claim an innocent error, their
possession of the package was taken as proof that
there was no accident involved.

Further, the IRS is creacking down on questionable
donations in general. People often forget that for
merchandise donations, you can only deduct the
LOWER of (a) the fair market value for an item, or
(b) what you paid. Your trick of trading receipts and
trading pots with no cash actually moving is a
violation on BOTH counts -- (1) the fair market
value for the pots you traded with the other
potter is still just a few bucks, and (2) if there
WASN'T ANY CASH used to acquire the pot,
your own cost basis is the cost of materials, etc.
in the pot you traded away.

That said, the IRS these days is understaffed
and there are few audits compared to the
number of returns filed. You could actually
tell almost any lie about non-wage income and
the odds in any given year would be you could
get away with it -- but then again, if you do
get audited, your expenses, lifestyle, and
PayPal records will give you away but quick,
and it's off to the slammer for you (and the
IRS will sell your vintage motorcycle to
someone less worthy than you at auction).

BTW, even if the IRS accepts the "innocent
error" argument you'll still owe back taxes
and interest. You might not have to pay the
penalties.

When it comes to tax fraud, please don't
do it. The world needs good tools too
much. Let lesser people make the
license plates.

-- Steve Slatin

pdp1@EARTHLINK.NET wrote:
Hi Bob,



No...


It would only be fraud if one intentionally ommited entering
the income of the transaction with an intent to defraud, if
one deliberately left the income out of one's accountings,
and or while, having entered the deduction for which a
receipt of purchase and receipt of deduction were retained.

While, an unintended oversight would not be fraud, rather,
it would be a mere, unintended oversight.


Steve Slatin -- Entry-level potter, journeyman loafer, master obfuscator
Sequim, Washington, USA
48.0937N, 123.1465W or thereabouts

---------------------------------
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pdp1@EARTHLINK.NET on sat 14 aug 04


Hi Steve,



Uhhhhhh...there has been some misunderstanding here
regarding your interpretations of my little previous
missive, and to keep it brief, let me say please, that I did
not advise anyone to enter fraudulent information on their
tax returns, nor do I do so myself, nor do I have any
history of ever having done so, nor do I intend to do so.

I would consider that doing so, is merely demeaning to one's
self.

And instead, I would encourage others, I would in fact
"advise" that they either do their sincere best to abide the
game as well as possible and to find good information to
satisfy the challenge for doing so honestly and competantly,
and to play by the rules, which requires one find out what
the rules are...or, to just draw a 'Happy Face' on the forms
and send them in that way with nothing else on them at all.



I have no 'system', nor do I know of any 'system', nor do I
have a 'system' in mind, nor did I mention any kind of
'system'.



I am interested in thinking and wondering about the
structure of transactions, and of how things are defined,
and defined for whom, and by whom, and to what import...and
of what import to or for (what kind of) whom...


So, please, enjoy looking at these things with me in that
kind of way, instead.

...as thinking out loud, brainstorming, wondering,
playing...


Thank you for being concerned about me!

All is well with me in these matters...have no worries
please..!


If America was composed of people like me, it would be the
most kind and resourceful, patient and creative, renewing
and inspired, honest and generous, non-violating, non
banality making, non 'death' making, respectful and
affectionate, non-needy, non greedy, voluptiously fecund and
nurturing of all Arts and Sciences and Crafts and
Occupations and qualities of Living worth having, the most
co-operative and happy and strong and gentle paradise of
complimentary interlocking self sufficient, environmentally
polite and aware and graceful Communities that the course of
human history had ever seen.

And with little or no recourse to 'law' in any form, and
infinitely less so, to a point of delightful "Zero", of
imposture, imposition, violence, government, fraud,
exploitation, rackets, slavery, politicians, lies,
propaganda, mob-psychology, strong arm tactics, faschist
black jacks, torture, embezzlements, political parties,
secret police, taxes, child molestation, lawyers,
beastiality, snuff films, building contractors, real estate
agents, mental illness, and the related conditions and
parasites or other so called brokers, of beurocracies, of
monetary inflation, land or commodity speculation,
investments or their stocks or brokers in any form, pimps
and whores, gmo corn, corporations, rape, any kind of
institutions, necrophillia, cannibalism, public schools, war
for profit for it's investors, or the contentions and evils
they feed on, and feed, and in which they incestously
impose, infect and breed more diseases like them.



Oh well...sigh...whatchagunnado...

Find me one person in ten thousand, or one in one hundred
thousand, who could understand this, or who can Live it,
and I will kiss them. If they are a girl, I would marry
them.



Best wishes,

Phil
el ve

----- Original Message -----
From: "Steve Slatin"

> Phil --
>
> With all due respect; you are an expert on many things but
I
> believe tax law is not one of them.
>
> An "UNINTENDED OVERSIGHT" that you've discussed in
> a public forum before "ACCIDENTALLY" committing is very
> likely to be found, in tax court, to be "FRAUD." This is
> because your "DISCUSSION" of the "ILLEGAL ACTS" before
> they take place is prima facia evidence that your actions
> were "PREMEDITATED." This leaves you subject to all
> sorts of fines, penalties, and even imprisonment. Several
> of the weirder militia types that the USG has cracked down
> on have gone to jail not for their semi-auto to full-auto
gun
> conversions, their seditious rhetoric, or even their often
> bizarre sexual practices, but their use of packaged plans
> not unlike yours to evade taxes. When the "TAX
> RESISTERS" tried to claim an innocent error, their
> possession of the package was taken as proof that
> there was no accident involved.
>
> Further, the IRS is creacking down on questionable
> donations in general. People often forget that for
> merchandise donations, you can only deduct the
> LOWER of (a) the fair market value for an item, or
> (b) what you paid. Your trick of trading receipts and
> trading pots with no cash actually moving is a
> violation on BOTH counts -- (1) the fair market
> value for the pots you traded with the other
> potter is still just a few bucks, and (2) if there
> WASN'T ANY CASH used to acquire the pot,
> your own cost basis is the cost of materials, etc.
> in the pot you traded away.
>
> That said, the IRS these days is understaffed
> and there are few audits compared to the
> number of returns filed. You could actually
> tell almost any lie about non-wage income and
> the odds in any given year would be you could
> get away with it -- but then again, if you do
> get audited, your expenses, lifestyle, and
> PayPal records will give you away but quick,
> and it's off to the slammer for you (and the
> IRS will sell your vintage motorcycle to
> someone less worthy than you at auction).
>
> BTW, even if the IRS accepts the "innocent
> error" argument you'll still owe back taxes
> and interest. You might not have to pay the
> penalties.
>
> When it comes to tax fraud, please don't
> do it. The world needs good tools too
> much. Let lesser people make the
> license plates.
>
> -- Steve Slatin
>
> pdp1@EARTHLINK.NET wrote:
> Hi Bob,
>
>
>
> No...
>
>
> It would only be fraud if one intentionally ommited
entering
> the income of the transaction with an intent to defraud,
if
> one deliberately left the income out of one's accountings,
> and or while, having entered the deduction for which a
> receipt of purchase and receipt of deduction were
retained.
>
> While, an unintended oversight would not be fraud, rather,
> it would be a mere, unintended oversight.
>
>
> Steve Slatin --