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Thread: Split thread - IRS focus on unreported/underreported income

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    Default Re: Need Help- Taxes/Instate Tuition Problem

    The trouble is here that those other ducks are not in order. It also doesn't help matters any that this is the year that the IRS's main focus, what they are looking at and want to get tough on is "un-reported" income.

    The best way to make all the rest of the "low flyers" gain a little altitude is get all the press you can and milk the fact that one of them crashed and burned.

    IE: make an example of someone

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    Default Re: Need Help- Taxes/Instate Tuition Problem

    The best way to make all the rest of the "low flyers" gain a little altitude is get all the press you can and milk the fact that one of them crashed and burned.

    IE: make an example of someone
    I'm (unfortunately) in total agreement with you that sooner or later dancers are going to be zeroed in on as easy and lucrative targets for collecting previously unreported/underreported income. This is particularly true since the IRS has officially announced that it has changed its 'focus' from investigating the validity of tax deductions to ferreting out likely sources of unreported/underreported income ... as evidenced by last year's concerted effort towards cash business high tip workers i.e. casino dealers/waitstaff, fleet cabdrivers etc.

    This year the IRS pursuit of unreported/underreported income will undoubtedly intensify now that congress has authorized the IRS to employ private contractor 'bounty hunters'. It is my understanding that private eyes/attorneys etc. wishing to work for the IRS are allowed to collect independent evidence of persons earning unreported/underreported income, and forward the names of those persons to the IRS for further investigation and collection. It is also my understanding that these 'bounty hunters' are paid based on a percentage of the tax revenue they generate from their investigations and tipoffs to the IRS.

    However, this sets up a situation where the 'bounty hunters' are going to first concentrate their investigative efforts where it will yield the greatest amount of unreported/underreported income therefore the greatest amount of unpaid taxes thus the largest 'bounty' payments. Logic would dictate that the 'bounty hunters' attention will likely be directed towards high profile high dollar upscale 'show clubs' first. Put another way, girls working for Scores or Cheetah 3 or Penthouse Executive Club or especially chain clubs i.e. DejaVu have much more to fear than someone dancing at a medium sized club in a medium sized city in Florida.

    I would be even more fearful of New York City 'show' clubs because of the recent legal hassles between the city and improperly zoned NYC strip clubs (which the city won in appeals court but lost via a stay order which could drag on in the state supreme court and federal courts for years). The city fathers now have an even sharper axe to grind with the NYC strip clubs, and could choose to turn to a 'financial' weapon now that their legal hands have been tied yet again.

    ~
    Last edited by Melonie; 04-24-2005 at 09:23 PM.

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    Default Re: Split thread - IRS focus on unreported/underreported income

    Gee D.O.G. the bounty hunter could be showing up at your front door, be cool if he brings his big breasted wife with him LOL

    As far as the focus being on the big "corporate" clubs, the thing is that a lot of them are now "funny money" clubs where the dancers now get little or no cash, maybe stage tips and if they can get tips after a LD. every thing else they get reported to them via 1099 so there is not all that much under-reporting going on.

    They may not be the target rich hunting ground that they would have been 5 years ago.

    The number of the big clubs going in this direction is going up and will continue that way. this is most true for the chain clubs IE Deja Veiw and the liike.

    On the other hand there are still plenty of small local clubs that are still the same as always, where if a girl chooses to not report her income she can. So while these all might be "small ponds" there are a lot of them and there are also a lot of "small fish in them" so it would seem that this would be the place that the aspiring bounty hunter who wanted to make it up on volume would choose to "fish".

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