Current Events > PSA: Illegal activities must be reported on your taxes.

(+) Yeah! (+)

I know no one on CE does illegal activities because it is against the TOS, but if you know someone that participates in them please share this info so they can avoid tax problems! The last you want is to owe the IRS money.

Illegal activities. Income from illegal activities, such as money from dealing illegal drugs, must be included in your income on Schedule 1 (Form 1040), line 8z, or on Schedule C (Form 1040) if from your self-employment activity.

Source: https://www.irs.gov/publications/p17 and CTRL+F illegal

https://gamefaqs.gamespot.com/a/user_image/1/5/4/AAFD9eAAEQAq.jpg

Yup that's how they got Al Capone

MC_BatCommander posted...

Yup that's how they got Al Capone

For real!?

I assume that's for people who were convicted of a crime, but I still wonder how anyone would quantify that. I guess they'd just pay taxes on whatever they were charged for?

"We don't care if you made a fortune selling drugs to kids, and kids for drugs... Uncle Sam want a slice of the pie"

- IRS probably

Me paying my taxes:

https://gamefaqs.gamespot.com/a/user_image/1/6/2/AAe_4aAAEQAy.jpg

Its kinda YIKESYALLOOFFOLKSILK that they call indigenous peoples, "Indians" on that.

I heard certain, uh, web-camera-individuals report their earnings as accountant lol

RlP posted...

For real!?

Yeah they couldn't pin any crimes on him so they got him for tax evasion lol

Flauros posted...

Its kinda YIKESYALLOOFFOLKSILK that they call indigenous peoples, "Indians" on that.

This might be the worst thing the US Government has ever done to the indigenous people.

Nemu posted...

I assume that's for people who were convicted of a crime, but I still wonder how anyone would quantify that. I guess they'd just pay taxes on whatever they were charged for?

It's for money obtained through illegal activity, period.

Nemu posted...

I assume that's for people who were convicted of a crime, but I still wonder how anyone would quantify that. I guess they'd just pay taxes on whatever they were charged for?

If you make money illegally you're good with the it's as long as you report it. I think nowadays most places using this are weed shops and whatever that can't file normally under federal law

But criminals definitely do file for money they made like that. >.>

I read a thread from reddit about this too. The IRS doesn't care where you get your money from, they just want their cut. If you're worried that they will report you to the feds, they won't because then they'll lose another source of income and also because they value their independence and will guard their info fiercely, even from other government agencies.

Gotta pay the troll toll

It's totally okay, if you just report your illegal revenue up front, all they'll hit you with is a phone call that plays this audio clip when you pick up:

https://youtu.be/1c_I841J6_M

Flauros posted...

Its kinda YIKESYALLOOFFOLKSILK that they call indigenous peoples, "Indians" on that.

we should cancel the IRS

taxation is racist

That IRS publication is wild. They got a section on Christian Science practitioners lol

https://www.youtube.com/watch?v=G56VgsLfKY4

Taxation is theft

Theyll have to take my plastic straws from my cold, dead hands.

Dakimakura posted...

Me paying my taxes:

https://gamefaqs.gamespot.com/a/user_image/1/6/2/AAe_4aAAEQAy.jpg

"Yar, sometimes i wonder why i bother plunderin' at all"

It's a trap

How much do you think they get from that a year

You know theres folks telling on themselves every year

lolno

Dakimakura posted...

Me paying my taxes:

https://gamefaqs.gamespot.com/a/user_image/1/6/2/AAe_4aAAEQAy.jpg

He was marooned by his own crew!

[LFAQs-redacted-quote]

Native Americans do. I spent the first seven years of my career auditing tribal casinos and "Indian" was pretty overwhelmingly the most used term they would use.

The general rule is that you should always ask which term they prefer, but Indian isn't considered to be inherently offensive. Also if you know their tribe you should really just use that.

Paragon21XX posted...

https://www.youtube.com/watch?v=G56VgsLfKY4

came itt to post this

VampireCoyote posted...

You know theres folks telling on themselves every year

You're reporting income at the very least, not detailing when and how you made said income. It seems like something you could get around using certain words to camouflage the true source of your income. The only issue would be if they chose you for an audit.

The intent is obvious, they just want to Capone people. Saying it up front covers their ass in the event that you can get RICO'd (can't say you weren't warned).

However I do wonder if someone does share the information with the IRS in an effort to stay compliant ever ended up investigated and their tax return gets used as evidence at trial.

Solid_Sonic posted...

However I do wonder if someone does share the information with the IRS in an effort to stay compliant ever ended up investigated and their tax return gets used as evidence at trial.

It was interesting enough that I looked into it. Garner v. United States was a Supreme Court case where the defendant had declared his illegal income through some gambling related crimes on his 1040. The defense appealed on 5th amendment grounds, arguing that the requirement to report illegal income amounted to compulsory self-incrimination and should therefore be inadmissible. The Court ruled that the 5th Amendment privilege could have been invoked when filing the form and was therefore voluntary disclosure and admissible as evidence.

The way around it is to report the income but claim privilege on the source. Information obtained through an audit would then become compulsory disclosure and therefore be inadmissible as evidence in trial.

The second taxes start asking me to pay instead of refunding is the second I cut them out of my life tbqh

Yup. It's a nice and easy way to file extra charges on criminals when they get caught.

MICHALECOLE posted...

How much do you think they get from that a year

Probably not much. They usually do it through a front company.