Short Term vs. Long Term Capitol Gains

[okieraider71]

First--Anyone have any ideas if the start of a "Windfall Profits Tax" is still being looked at by the US gov.?

Second--On Dinar I bought from an individual, will a hand-written receipt be good enough for the IRS (good enough to move it from short-term to long-term), or will I also need that persons original receipt? Here is the scam I am seeing: Joe Blow has a receipt from "Wiley Coyote Dinar Sales" for 100 million Dinar (that Joe bought), and it shows a date of more than 12 month ago. He will sell a photocopy of that original receipt (from Wiley to Joe), plus a hand-written receipt (from Joe to me), showing he sold me 10 million Dinar more than 12 months ago. He is willing to sell me this paperwork for $20,000 USD; this will move me from short-term to long-term (capitol gains). Joe is very dishonest--he plans to sell this same receipt 500 times. Do you think the IRS will accept this for my taxes? I do not care if Joe goes to jail, but I do not want to go myself.

Third--Am I correct in reading the new Obama tax (additional 3%) on short-term capitol gains for 2011? If so, and if the US has any control over WHEN the RV will happen, then why would the US want the RV to happen this year rather than next year? Anyone know of anymore "hidden taxes", in addition to short-term and windfall?

[Kimjackie]

First--Anyone have any ideas if the start of a "Windfall Profits Tax" is still being looked at by the US gov.?

Second--On Dinar I bought from an individual, will a hand-written receipt be good enough for the IRS (good enough to move it from short-term to long-term), or will I also need that persons original receipt? Here is the scam I am seeing: Joe Blow has a receipt from "Wiley Coyote Dinar Sales" for 100 million Dinar (that Joe bought), and it shows a date of more than 12 month ago. He will sell a photocopy of that original receipt (from Wiley to Joe), plus a hand-written receipt (from Joe to me), showing he sold me 10 million Dinar more than 12 months ago. He is willing to sell me this paperwork for $20,000 USD; this will move me from short-term to long-term (capitol gains). Joe is very dishonest--he plans to sell this same receipt 500 times. Do you think the IRS will accept this for my taxes? I do not care if Joe goes to jail, but I do not want to go myself.

Third--Am I correct in reading the new Obama tax (additional 3%) on short-term capitol gains for 2011? If so, and if the US has any control over WHEN the RV will happen, then why would the US want the RV to happen this year rather than next year? Anyone know of anymore "hidden taxes", in addition to short-term and windfall?

ALRIGHT THERE OKIERAIDER--LISTEN TO ME:

PAY THE TAXES YOU OWE AND BE DONE WITH IT. TAKE THE PROFITS YOU WILL GET AND LEAVE WITH A CLEAR CONSCIENCE. STAY AWAY FROM THIS PERSON...............

Edited November 27, 2010 by Kimjackie

[palung]

That's kind of selfish don't you think? Joe Blow is committing a crime by selling you the receipt, you don't care he goes to jail but you don't want to to go yourself? YOU are part of the crime! Dude you are going to be making a lot of money compare to what you originally invested. Pay the tax and help our country! I didn't want to pay the taxes in the beginning but you know what we need to save this country. I wasn't even born here but this is where I live and this is my country now and she needs me to save her! Of course as long as my tax dollar doesn't become "O" vacation fund!

Edited November 27, 2010 by palung

[kjwayne]

Also, We don,t know yet that it will be a capital gains transaction or will be handled as ordinary income! Check with you tax man, cpa or IRS!

[MPG350]

You aren't goign to be able to avoid taxes so just pay if this RV happens the IRS is going to look close at everybody that made money from this

[2 bbs]

if you paid for it with a check, use it as your receipt.

[Randy Lucas]

First--Anyone have any ideas if the start of a "Windfall Profits Tax" is still being looked at by the US gov.?

Second--On Dinar I bought from an individual, will a hand-written receipt be good enough for the IRS (good enough to move it from short-term to long-term), or will I also need that persons original receipt? Here is the scam I am seeing: Joe Blow has a receipt from "Wiley Coyote Dinar Sales" for 100 million Dinar (that Joe bought), and it shows a date of more than 12 month ago. He will sell a photocopy of that original receipt (from Wiley to Joe), plus a hand-written receipt (from Joe to me), showing he sold me 10 million Dinar more than 12 months ago. He is willing to sell me this paperwork for $20,000 USD; this will move me from short-term to long-term (capitol gains). Joe is very dishonest--he plans to sell this same receipt 500 times. Do you think the IRS will accept this for my taxes? I do not care if Joe goes to jail, but I do not want to go myself.

Third--Am I correct in reading the new Obama tax (additional 3%) on short-term capitol gains for 2011? If so, and if the US has any control over WHEN the RV will happen, then why would the US want the RV to happen this year rather than next year? Anyone know of anymore "hidden taxes", in addition to short-term and windfall?

IT WONT MATTER ANY WAY BECAUSE AS OF 2010 YOU WILL PAY % 35 TAX THE HIGHEST IN THE COUNTRY AND IF BO HAS HIS WAY NEXT YEAR YOU WILL PAY 42% SO THE SHORT OR LONG WONT MATTER. GET A GOOD TAX LAWYER BECAUSE IF YOU DONT PAY THE 104 FORM THAT WILL BE FILLED OUT ON YOU WILL EXPOSE YOU ON THE AMOUNT THAT YOU PROFITED. UNCLE SUGAR WILL COME AND GET THE REST OF THE TAX AND I AM SURE THE PENALITY ON 100 MILLION DINAR AS YOU SAID WILL BE VERY STIFF BECAUSE THAN CAN AND THEY NEED AND WANT IT AND OH BY THE WAY THER MAY BE JUST A LITTLE JAIL TIME FOR YOU TO THINK ABOUT IT!!!!!!

PAY YOUR TAXES!!!!! YOU CAN ALWAYS GET A REFUND ON OVERPAYMENT. GET A GOOD TAX LAWYER! IAM GOING TO CASH IN 1 OF MY 25K NOTES AND USE THE PROCEDES TO FIND ALL THAT I NEED TO KNOW!! JUST PAY YOUR TAXES!!! OH BY THE WAY DID YOU VOTE FOR BO? JUST ASKING!

[LittleMissGrits]

That's kind of selfish don't you think? Joe Blow is committing a crime by selling you the receipt, you don't care he goes to jail but you don't want to to go yourself? YOU are part of the crime! Dude you are going to be making a lot of money compare to what you originally invested. Pay the tax and help our country! I didn't want to pay the taxes in the beginning but you know what we need to save this country. I wasn't even born here but this is where I live and this is my country now and she needs me to save her! Of course as long as my tax dollar doesn't become "O" vacation fund!

#1 ... taxes in general will not save the country. It's the SPENDING, STUPID (not you, just a saying). The only way for the govt NOT to spend is NOT to have it!. Period! It's THAT simple!

#2 ... what taxes dinar holders will pay is miniscule compared to the national debt. Gone on and pay up all you want to "save the country". It will be like dropping your money in a hole. Only pay what you absolutely have to pay. You will not be doing the country a favor to pay more!

[Snatcher]

It's good to be the working poor.....I'm in the low 15% tax bracket regardless if it's SHORT or LONG term. Plus living in the "Great State of Texas" there is no state tax..

[Dalevoss]

#1 ... The only way for the govt NOT to spend is NOT to have it!. Period! It's THAT simple!

They DON'T have it!!!! That's why they keep taking from us

[bahtman]

Third--Am I correct in reading the new Obama tax (additional 3%) on short-term capitol gains for 2011? If so, and if the US has any control over WHEN the RV will happen, then why would the US want the RV to happen this year rather than next year? Anyone know of anymore "hidden taxes", in addition to short-term and windfall?

Simple.

If it RV's in 2010, the IRS collects in 2011.

If it RV's in 2011, the IRS has to wait until 2012.

[rjboots1]

Forget bogus receipts, forget capital gains both long and short term. This profit will be taxed as regular income, at the highest rate. And it will have to be paid by the end of the month following the quarter in which it was earned. In other words, if you cash in during December, you better pay the taxes by the end of January. Forget April 15th.

Pay it and forget it. If you don't, you'll get hit in about 2 years, when they audit you, with penalties and interest that will steal another 30% of your money, which you may not even have by then. As our friends at Nike would say, "Just do it!" If you happen to overpay, they actually will refund your excess. But if you pay short, they'll ream you!

Don't even call the IRS and take verbal info over the phone from some bone-headed agent that has no liability for what they tell you. If you can get it in writing, signed by a senior agent of some sort, you might not get hit with the penalties, but you will still pay the taxes and the interest for paying late.

The IRS is gonna have a hay-day with this process from people who get greedy and stupid and try to short their tax bill. They will tear you up, and this is one instance in which I don't even blame them. And yes, I HATE the IRS, and our insane tax code. But you will lose this one if you choose this fight. I guarantee it. Oh, and GGGGGGGOOOOOOOOOOORRRRRRRRRRRRVVVVVVVVVVVVVVVVVV!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

[Randy Lucas]

It's good to be the working poor.....I'm in the low 15% tax bracket regardless if it's SHORT or LONG term. Plus living in the "Great State of Texas" there is no state tax..

Not if you make 250K in this investment!

[Snatcher]

Not if you make 250K in this investment!

From what I understand it will be judged by your previous year filing...Not the present...

[Randy Lucas]

From what I understand it will be judged by your previous year filing...Not the present...

I dont know about you I have been filing taxes for decades and the IRS always applies tax on my income on the current year for which taxes are due not on the previous year. Taxes for 2010 are due in 2011 for the correct tax bracket! Just saying, IMHO. Sorry!

[John54]

Let me get this right, it is ok for him to go to jail but not you.......go ahead take your chances, he will sing like a bird if he knows he is going to prison to cut a deal, then you go and by the time you get out, they could probably park a car in your arse.......just saying....

[inHishands]

First--Anyone have any ideas if the start of a "Windfall Profits Tax" is still being looked at by the US gov.?

Second--On Dinar I bought from an individual, will a hand-written receipt be good enough for the IRS (good enough to move it from short-term to long-term), or will I also need that persons original receipt? Here is the scam I am seeing: Joe Blow has a receipt from "Wiley Coyote Dinar Sales" for 100 million Dinar (that Joe bought), and it shows a date of more than 12 month ago. He will sell a photocopy of that original receipt (from Wiley to Joe), plus a hand-written receipt (from Joe to me), showing he sold me 10 million Dinar more than 12 months ago. He is willing to sell me this paperwork for $20,000 USD; this will move me from short-term to long-term (capitol gains). Joe is very dishonest--he plans to sell this same receipt 500 times. Do you think the IRS will accept this for my taxes? I do not care if Joe goes to jail, but I do not want to go myself.

Third--Am I correct in reading the new Obama tax (additional 3%) on short-term capitol gains for 2011? If so, and if the US has any control over WHEN the RV will happen, then why would the US want the RV to happen this year rather than next year? Anyone know of anymore "hidden taxes", in addition to short-term and windfall?

Wow, I can't believe you've been bashed so bad....geezz. You weren't trying to avoid paying you were just wondering how much you would need to pay and you very clearly said that you didnt care if Joe went to jail but you didn't want to.... I completely understood. We need to know how much to keep back for taxes, it was a simple question, not an attempt to avoid paying. Everyone has thought about how not to pay almost half of their gains to the govt, its not being greedy, the govt is being greedy. I think it was a good question, I've been trying to find out if this will be capital gains or earnings, a huge difference in what we'll have to pay in. Either way I will pay it but its hard to make plans when I'm not sure how much i can spend and how much to keep back. Okieraider welcome to DV and if I find any info for you I'll send it to you.

[ctoddy]

I find it funny that there seems to be no clear cut answers. Any gains on investment should be capital gains. However as we are trading cash currency it changes things. Look here:

http://www.traderslog.com/tax-strategies-for-forex-traders/

It's as clear as anything I've seen. In a nutshell theres no way you paid cash for the currency (I don't think anyway) so use whatever mechanism you used to purchase the currency as your proof of date of purchase.

[DarkShinobi76]

Just pay it, but always keep in mind this, tax evasion is wrong, tax avoidance is not... There's always a legal right of way around just about everything, if you want to pay less taxes, then find a solid tax attorney to help you out in this area... From what I've been hearing over the years they seem to usually know things that your average CPA wouldn't probably know and never heard about...

I agree with the poster who mentioned about wanting to help the country, but you have to understand, the tax bucket is a bottomless pit, so implementing tax avoidance measures is something I can live with, because look at who got bailed out?!? It wasn't Main Street, that's for bloody sure... Now you have to research and understand why...

Edited November 28, 2010 by DarkShinobi76

[DavidM]

Wait I always thought the ''RICH'' didnt pay much into TAXES wont WE be in that wealth status..I dont think ive ever heard of a millionaire paying almost half of his million dollar gains for that year to the IRS.