Re: Washington Post Poker Players/Tax/IRS Article...
 

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...actually...this makes me wonder what's being done to crack down on the taxation of the sale of illegal drugs.

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Get ready to laugh...

http://www.ksrevenue.org/perstaxtypesdrug.htm

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Wow.

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Holy sh*t that's f*cked...

Re: Washington Post Poker Players/Tax/IRS Article...
 

Hmmm, I can almost imagine what a coke dealer in Kansas is thinking, "I run a narcotics ring for which I could be sent to jail for 10 lifetimes, but I will definitely buy my drug stamps because I after all I am a productive member of society and want to pay my fair share."

Re: Washington Post Poker Players/Tax/IRS Article...
 

"and since this will not incriminate me in any way, I'd like 5000 drug tax stickers please...boy, do they make great party favors..."

Re: Washington Post Poker Players/Tax/IRS Article...
 

Almost makes you want to call them up and say, "Hey, I've got ten keys of blow coming in next week. What'll be the price on the tax stamps for that?"

I would seriously like to know how many of those they sell each year...

Re: Washington Post Poker Players/Tax/IRS Article...
 

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Hmmm, I can almost imagine what a coke dealer in Kansas is thinking, "I run a narcotics ring for which I could be sent to jail for 10 lifetimes, but I will definitely buy my drug stamps because I after all I am a productive member of society and want to pay my fair share."

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well, if you don't want to be thrown in jail the al capone way, it's a good idea...

Re: Washington Post Poker Players/Tax/IRS Article...
 

you know, If they were fairly cheap, they'd make a great gift for a pot head friend.

Re: Washington Post Poker Players/Tax/IRS Article...
 

I am a public accountant and this is true. I have had an audit were the IRS showed up with my clients bank stmts (your bank will give them to the IRS). They had to explain every deposit. This is how they catch waittress, bartenders, (tipped employees) that don't claim all their tips.

They can also back into your income. ie: If you bought a new car, boat, house, trip, roof, furniture etc. and only reported a w-2 with 35k, how did you pay for these items. The IRS does have some stupid employees, but not all are clueless.

Just play it smart and report anything that can be remotely traced. A quick $500 on the way through Vegas to the Hoover dam will go under the radar, but not if you do it weekly or 2-3 times a week.

Re: Washington Post Poker Players/Tax/IRS Article...
 

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Almost makes you want to call them up and say, "Hey, I've got ten keys of blow coming in next week. What'll be the price on the tax stamps for that?"

I would seriously like to know how many of those they sell each year...

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They sell none. Obviously. What they do is take a guy whose been busted and pile on. Got any assets at all? Watch em disappear.

At the kansas rate, note that an ounce of cocaine will run you about 5600 in taxes. Once you're arrested for the possession, and (before the trial and conviction) they can start coming after you for this money. Oh, and don't think that they don't include interest and penalties...


Note, a Kilo in Kansas will run you two hundred thousand dollars in taxes. If you pull 15 years in a Federal Pen, though, I have no idea if you've escaped the satute of limitations...

Oh, and that's 200,000 thousand dollars every three months, by the way. So snort it fast...


--Zetack

Edit: the state I live in is much more forgiving at only about one/fourth the amount for cocaine (although a similar rate as Kansas for other illegal drugs) the tax doesn't kick in until you posses seven grams, you don't have to buy a new tax stamp every three months, and subsequent owners of the cocaine do not have to pay the tax if a previous owner has paid the tax. What sweethearts...

Re: Washington Post Poker Players/Tax/IRS Article...
 

I would just add to your story that the IRS auditors will reducr itemized deductions that can't be explained based on your income and bank statements. These audits are worse than sales tax audits and always result in a substantial tax due at the end of the process. The dumb IRS agents don't work on these cases.

The IRS usually saves these for people that are cheating to a ridiculous degree on their taxes. Tipped employees are an easy target because many of the claim less than 50% of their true earnings and get themselves in trouble by claiming earned income credits.

The 3 examples that I have dealt with in the last 7 years ended up with 2 counts of tax evasion and another person paying in excess of $20k to avoid jail, not counting attorney and accountant fees.

I almost wish that the IRS would actually go after the tax preparers that file the ridiculous returns. That is hard to say as a CPA, but there are people out there that give us a bad name.