THE GO SCHNEIDS THREAD (was about bk, but he busto-ed) - Page 53

DcifrThs · #**521** 03-18-2006, 10:40 PM

[ QUOTE ]
[ QUOTE ]
[ QUOTE ]
Mike pays taxes, then he just cuts up precentages. people expecting to get money pre-tax are idiots.

[/ QUOTE ]

sorry kane, i gotta call you the idiot here.

party cruise doesn't do paperwok and they cut mike a check

he didn't win all of the 1mil so he cuts checks to his backers from the 1mil (it makes no sense to tax the backers-who invested in something- at the tax rate of the winner...i.e. if X is in the 25% bracket and has 1% of mike, why tax him at the 35% bracket)

so he fills out paper work and keeps records of the checks he cuts to his backers.

he then pays taxes on his winnings

there is no other way to distribute a tournament win to backers without:

1) double taxing
2) having each backer pay his/her appropriate tax rate

Barron

[/ QUOTE ]

the fact that it was being debated led me to believe that it was being reported to irs.

[/ QUOTE ]

that does bring up an interesting point though kane.

lets say for example the check cut to mike was at a tax rate of 35%, so the money he gets is 650k.

i dont know the tax code, but lets say its like 20% for 30k, 30% for 40k, and 35% above 50k or whatever.

now lets say one of his backers has an annual AGI of 30k and he bought 1% of mike. he now gets 10k but it was taxed at 35% so its now 6.5k for a total AGI of 36.5k, which is at the 20% tax rate. so he SHOULD have gotten 10k bumping him up to eht 30% bracket for 7k net instead of 6.5k net. so how does the backer get the 500 he is owed by the IRS? im assuming there is annoying paperwork?? how do you prove this relationship is what happened...

im assuming there are many people on this board who know the answer so if it doesn't come up here, i'll make a new thread about it b/c im curious to see how different marginal tax rates deal w/ the immediate witholding of a tourney win.

Barron

Clayton · #**522** 03-18-2006, 11:16 PM

i just yelled at enon to post pictures

hopefully he will come though [img]/images/graemlins/tongue.gif[/img]

Bellagibro · #**523** 03-18-2006, 11:34 PM

Way to go man. Now you'll be hooked on the tourny circuit.

DcifrThs · #**524** 03-19-2006, 02:18 AM

[ QUOTE ]
i just yelled at enon to post pictures

hopefully he will come though [img]/images/graemlins/tongue.gif[/img]

[/ QUOTE ]

yea, after he gets home and RUNS NOT WALKS to the nearest organic, hippy, no meat eating store and buys sh*t to make his reportedly money hummus or less money vegan casseroles, goes running or something or rock climbing...yea...he'll EVENTUALLY get around to it lol.

EDIT: hahaha, i just thought of something evil and funny. since i also bought 10% of lee, i should make lee pay me 10k from the 10% he bought from mike [img]/images/graemlins/blush.gif[/img] (again, we need an angel icon)...or at least demand 10k worth of his hummus that ive wanted to try.

Barron

Ray Zee · #**525** 03-19-2006, 02:55 AM

mike gives them their share and a 5754 form which shows they were partners in the venture. and each pays their own share of the taxes as it relates to their own tax return

Shilly · #**526** 03-19-2006, 02:59 AM

One time I was at Canterbury. I heard them call Schneids to a 30/60 game. I saw him. It was great. The end.

PokerBob · #**527** 03-19-2006, 03:26 AM

[ QUOTE ]
One time I was at Canterbury. I heard them call Schneids to a 30/60 game. I saw him. It was great. The end.

[/ QUOTE ]

sometimes, when at canterbury, he lets me eat some of his chips. i wonder if he still will. [img]/images/graemlins/confused.gif[/img]

Dids · #**528** 03-19-2006, 04:43 AM

If you haven't seen in BBV. 2p2er MattSuspect took 2nd in the BJ tournament that's on the cruise to the tune of around 56K.

Schneids · #**529** 03-19-2006, 04:50 AM

[ QUOTE ]
Schneids,

Why didn't you put his last chips in when you both had trip jacks?

[/ QUOTE ]

I read him as strong on the turn and thought it was likely he had trips also. So I didn't 3-bet on the turn for that reason, plus I didn't want to blow him off a bluff or midpair since I think he had some respect for my reraises. And then when the river came it made it so I could only beat two trip hands... All others had me outkicked or were boats. So I figured it was less than 50% I was gonna win the pot, and didn't wanna give him any unwarranted extra chips. I don't remember the board but I think it was J2 and J3 were the only jack hands I could beat, plus Scott was playing pretty tight vs me so I didn't see it too likely he had either of them... And as you know though the pot is too big for me to just fold to him either. So that's why I played it kinda "passively." Finally, I thought I had pretty good read on these guys some of the time about their hand strengths and I was trying hard to go with them.

El Diablo · #**530** 03-19-2006, 05:41 AM

Schneids,

The reason I asked was because in the CP story it said "The very next hand Buller was all in for the rest of his chips before the flop." which made me think he had few enough chips that you would just go ahead and get them in there even w/ the considerations you mentioned. Maybe he went a few bets preflop or something, though.