#1
|
|||
|
|||
If you had more then $10k in neteller in 2006 but didn\'t pay taxes!!
I have had been in contact with several people on 2+2 who are in this partiular predicament so I figured this thread could help people like me or who are in a similar situation. I have checked through this forum and read several things but none that offered any kind of specific advice (if there is some point me to it because i missed it), so I thought soemthing like this might help in that regard.
Basically I started playing poker in February of last year with $200 bucks and made about $22k in 2006. Since then, I have spent some on small things here and there and have about $21k to my name. Half online and half in the bank. I talked to several people around march and they all told me that paying taxes was the thing to do, but realistically, since I didn't do any transactions over $10k, buy any big purchases or invest any, that the chances of me being audited were 1% or less. Me being a college student and not wanting to pay 6k in taxes, I didn't file thinking I would be ok. So now comes this neteller thing. I used neteller a lot but only had more then $10k one day and the amount was $12k. I moved it the day after. So now here I am too late for the FBAR form and not having paid taxes. As of now I have $9900 or so in the bank, and th rest online. I am trying to decide what my best play here would be. It seems that in the past people on here have exaggerrated things when it comes to taxes from what other people tell me but I am a complete tax noob so I don't know. I just don't want to get into a situation where I pay out the 4k in taxes if there is the same miniscule chance of me getting audited as there was before and the penalties are monetary, but it doesn't sound that way. If I am likely to go to jail or pay 6 figure fines as there was talk on here, then I would file late, obviously. I would like a REALISTIC prediction of the chances that I have if I don't do anything, and if something happens to me, the REALISTIC penalty for having 12k in there. Also, if I decide to report, should I just report the 12k that was in neteller or what? How about the FBAR form? Any tips and advice would help, and like i said, if you find yourself in a similar situation please chime in as it is likely that will get us better advice. Thanks in advance... And btw, opinions are welcome, if you don't know for a fact thats ok, I welcome peoples opinons who are smarter and more experienced than I [img]/images/graemlins/smile.gif[/img] G |
#2
|
|||
|
|||
Re: If you had more then $10k in neteller in 2006 but didn\'t pay taxes
It would be helpful to know the penalty for filing late taxes.
If you (or anyone) were to come clean with the FBAR and regular taxes, albeit late, what would be the ultimate result. |
#3
|
|||
|
|||
Re: If you had more then $10k in neteller in 2006 but didn\'t pay taxes
[ QUOTE ]
Me being a college student and not wanting to pay 6k in taxes, I didn't file thinking I would be ok. [/ QUOTE ] i love this. i stole that TV because, me being a college student, didn't feel like paying $2k for it. |
#4
|
|||
|
|||
Re: If you had more then $10k in neteller in 2006 but didn\'t pay taxes
With all due respect, Daryn, do you have any helpful answers?
|
#5
|
|||
|
|||
Re: If you had more then $10k in neteller in 2006 but didn\'t pay taxes
no, sorry. i'll go back into my hole
|
#6
|
|||
|
|||
Re: If you had more then $10k in neteller in 2006 but didn\'t pay taxes
i wasn't saying the reason I didn't pay was because i felt i was an invulnerable college student. i figured not paying the $6k was "the +EV" if you will, play because people had told me that there was realistically a small chance that anything would happen to me. if something even did happen,that it would be just some fines. i thought it was the right move at the time, and i still think it is was weighing the pros and cons of each choice. but throw that all out the window now with this neteller ordeal.
i guess you never did anything dumb in college daryn? |
#7
|
|||
|
|||
Re: If you had more then $10k in neteller in 2006 but didn\'t pay taxes
This kind of stuff makes me realize that I'm probably far less likely to be audited than I think.
Anyway, best policy is to file an amended return and pay the taxes you owe. |
#8
|
|||
|
|||
Re: If you had more then $10k in neteller in 2006 but didn\'t pay taxes
Is there a penalty for this 'amended return'? Obviously it is past its due date.
|
#9
|
|||
|
|||
Re: If you had more then $10k in neteller in 2006 but didn\'t pay taxes
[ QUOTE ]
Is there a penalty for this 'amended return'? Obviously it is past its due date. [/ QUOTE ] There are penalties involved I am sure, but I don't know how to compute the amount. Also, you should probably file FBAR late as well. I'm no expert, hopefully a tax professional will answer the question in more detail. |
#10
|
|||
|
|||
Re: If you had more then $10k in neteller in 2006 but didn\'t pay taxes
[ QUOTE ]
Is there a penalty for this 'amended return'? Obviously it is past its due date. [/ QUOTE ] Yes. As I understand it, the penalty starts from the day the tax was due. So everyday it is "late", interest is accruing. I think anyone that doesn't file for 2006 and that doesn't file the FBAR paperwork is not too bright. Forensic accountants put into action by the DOJ have YOUR Neteller records. I just can't believe at this point anyway that the Neteller saga has drawn out this far just to prosecute the former owners. I hate paying taxes, as much or more than the next guy, but not paying for 2006 is not worth the next few years (3?) of thinking an audit could happen. And if that audit did happen, you knowingly did not pay taxes. Claiming ignornace for the FBAR might be one thing, but that won't hold water for your taxes. |
|
|