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

[Nikla]

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

[/ QUOTE ]

I don't know the .us taxlaws, but how does it matter when you cut up the percentages assuming the money gets taxed no matter what?

[Burlap]

[RunDownHouse]

Burlap, you do really incredible work.

[bblock99]

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

[/ QUOTE ]

I don't know the .us taxlaws, but how does it matter when you cut up the percentages assuming the money gets taxed no matter what?

[/ QUOTE ]

It matters if the taxes is taken out of his check right away, then he'd probably lose money.

Congrats Schneider, see you when you get home.

[fnord_too]

YAY!!

Congrats man!!

[Mark H]

Good work Mike

[BOTW]

Simply awesome.

Congratulations!

[mmbt0ne]

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

[/ QUOTE ]

I don't know the .us taxlaws, but how does it matter when you cut up the percentages assuming the money gets taxed no matter what?

[/ QUOTE ]

If Mike gets taxes, then gives out the money, it'll get taxed twice. First on Mike's end, and then on the backer's end. I don't see any reason Mike should pay taxes on the 1M before splitting it, because it's not all his.

[Jeffage]

I'm sure Mike gave the tournament officials the appropriate forms when cashing out (IRS Form Five Hundred Something) to declare who is sharing in the win and what they're getting (as well as their SSN's). If he didn't, look out - and call an accountant like yesterday.

Jeff

P.S. Not an accountant, this advice is worth what you paid for it.

P.P.S. Contrats Schneids - this is a huge victory for you and give yourself awhile to just bask in it! UNBELIEVABLE!

[DcifrThs]

[ 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