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Guns on tax forms???

Bob Warden

Regular Member
Joined
Nov 17, 2009
Messages
192
Location
Kent, Washington, USA
As always, if something sounds too implausible to be true, it is probably not true! Such bills are DOA. No pol interested in re-election would EVER vote yes.
 

amlevin

Regular Member
Joined
Feb 16, 2007
Messages
5,937
Location
North of Seattle, Washington, USA
Guns? What guns?!? All my guns fell overboard in that tragic boating accident a couple of years ago.

This statement reminded me of an incident many years ago here in the Puget Sound area. A fisherman had his boat sink in Puget Sound in one of the deeper areas. Claimed it "just sank". The insurance company, I believe with the assistance of the Coast Guard, raised the boat only to find the sea cocks open. The owner evidently thought it would be too far underwater for anyone to dispute his claim with the insurance company.

Moral: Make sure you don't know exactly where you were when the boat overturned and the water in the area is extremely deep.
 

Old Grump

Regular Member
Joined
Jan 22, 2010
Messages
387
Location
Blue River, Wisconsin, USA
Why doesn't anybody ever look at the tax form before they post this tired old panic thread....again. I do, every time somebody posts it, again. I have yet to find such a provision but it sure makes a good arm waving lets panic thread for awhile.
 

Tomas

Regular Member
Joined
Mar 18, 2010
Messages
702
Location
University Place, Washington, USA
Why doesn't anybody ever look at the tax form before they post this tired old panic thread....again. I do, every time somebody posts it, again. I have yet to find such a provision but it sure makes a good arm waving lets panic thread for awhile.

It's not as much fun to check first.

Yeah, but wouldn't at least a minimal check first, and a reference to that check, be the minimum cite required?
 

TechnoWeenie

Regular Member
Joined
Jul 17, 2007
Messages
2,084
Location
, ,
Oh_Noes-1.gif
 

amlevin

Regular Member
Joined
Feb 16, 2007
Messages
5,937
Location
North of Seattle, Washington, USA
Yeah, but wouldn't at least a minimal check first, and a reference to that check, be the minimum cite required?

You'd think so. It's been my experience that people read these "urban legends" and would rather believe them than take the time to "debunk" them. After all, what keeps the UFO group going? Same for "Alien Abductions".

For some reason people are extremely gullible and believe just about anything they are told and rarely challenge the source.

Let's face it, some people just need to wear special headgear.

830986_f520.jpg
 

Dave Workman

Regular Member
Joined
May 23, 2007
Messages
1,874
Location
, ,
Amlevin:

Now that was funny!

I've been fielding calls on this nonsense for more than a year.
 

heresolong

Regular Member
Joined
Oct 4, 2007
Messages
1,318
Location
Blaine, WA, ,
The $600 threshold for 1099-Misc reporting has been $600 for years.

.

Although you are correct that the threshold has been $600 for years, the new bill dramatically expanded that reporting requirement. Section 9006 is specifically called "Expansion of Information Reporting Requirements". Used to be that this only covered work done by independent contractors for your business. If you paid them more than $600 you had to file a form so that the IRS could make sure they declared the income. Under the new law, this becomes if you did any business for more than $600 for all goods and services purchased over the course of the year. This means that you have to keep track of anything you spend, not just work done by independent contractors. This is why it now affects gold and silver. You bought something from someone, it cost more than $600, you have to report that you gave them the money. The other problem is that it is over the course of the year. Someone who came into your shop and sold you $100 worth of stuff six times now falls under the reporting requirement. That means that not only will you have to fill out more 1099 reporting forms, you also have to keep track of every customer to see if they require a form, even if they are only in selling you a few dollars worth of stuff. If they come in later and exceed the $600 requirement you have to have a record of the earlier, small purchases.

At least this is how I understand it from my reading.
 

amlevin

Regular Member
Joined
Feb 16, 2007
Messages
5,937
Location
North of Seattle, Washington, USA
Although you are correct that the threshold has been $600 for years, the new bill dramatically expanded that reporting requirement. Section 9006 is specifically called "Expansion of Information Reporting Requirements". Used to be that this only covered work done by independent contractors for your business. If you paid them more than $600 you had to file a form so that the IRS could make sure they declared the income. Under the new law, this becomes if you did any business for more than $600 for all goods and services purchased over the course of the year. This means that you have to keep track of anything you spend, not just work done by independent contractors. This is why it now affects gold and silver. You bought something from someone, it cost more than $600, you have to report that you gave them the money. The other problem is that it is over the course of the year. Someone who came into your shop and sold you $100 worth of stuff six times now falls under the reporting requirement. That means that not only will you have to fill out more 1099 reporting forms, you also have to keep track of every customer to see if they require a form, even if they are only in selling you a few dollars worth of stuff. If they come in later and exceed the $600 requirement you have to have a record of the earlier, small purchases.

At least this is how I understand it from my reading.

You are essentially correct. Most Tax Advisors are advising that businesses be on a computer system that tracks all these expenditures. My Son is an independent businessman and is covered by this provision. It's not all that bad if you use systems like One Write, Quick Books, Peachtree, etc. They are designed to track ANY purchase or sale by Vendor or Customer ID. They even generate 1099's as required.

The Government just wants to make sure that the "purchases" are reported as revenue on the other end.
 
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