[ergohead]

Originally Posted by Driller1

So, all a business would have to do is file a "C" rather than an "S" or cooperate tax return???

You mean by "business", a sole proprietor or partnership? If so, NO FORM - NO SALES TAX to collect or hand over.

If you mean a Corporation, charted by a State, the FORM would simply be a Gross Receipts Statement, and a Payout Statement of all Expenses paid out to other Corporations including their names (for auditing purposes).

[Driller1]

Originally Posted by ergohead

You mean by "business", a sole proprietor or partnership? If so, NO FORM -NO SALES TAX.

If you mean a Corporation, charted by a State, the FORM would simply be a Gross Receipts Statement and a Payout Statement of all Expenses paid out to other Corporations including their names.

But, my sales tax is part of the write off on a 1040. Why would I care???

[darstar]

Originally Posted by Driller1

I do not disagree. Just remain mindful a good share of the "cash" economy is from illegals. They do pay some tax. If they rent, or shop in a store. IMO a contractor like myself working for "cash" would just be foolish. I need the income to write it off.

You have a structured business , and , if you did everything with cash , somewhere along the line a red flag would be razed. ( IRS intervention ).
I am not encouraging underground , just telling it like it is. You might be surprised how many contractors over the years have said " Pay me cash , and , I will work for less "......and , this from sometimes , structured businesses as well, as those totally underground.
The IRS has held a policy for sometime , that all they are interested in , is income. They no longer put a big emphasis on deductions.

[ergohead]

Originally Posted by Driller1

But, my sales tax is part of the write off on a 1040. Why would I care???

There would no longer BE a 1040 Form.

The entire tax system would be a Gross Receipts Tax - but only on Corporations.

Individuals or Partnerships would not file any Form.

So, you would probably get a better deal buying a hamburger from a Ma & Pa restaurant than from a Corporate Burger Joint.

Who the hell would eat a Corporate Cow these days anyway?

Give me an Amish or Hutterite burger any day!

[Driller1]

Originally Posted by darstar

You have a structured business , and , if you did everything with cash , somewhere along the line a red flag would be razed. ( IRS intervention ).
I am not encouraging underground , just telling it like it is. You might be surprised how many contractors over the years have said " Pay me cash , and , I will work for less "......and , this from sometimes , structured businesses as well, as those totally underground.
The IRS has held a policy for sometime , that all they are interested in , is income. They no longer put a big emphasis on deductions.

LOL They did mine in 05/06!!!! I have a very medially expensive dog, the female. I started writing off all dog expenses and was audited, in 08. I showed them a phone book where I used them for advertising. No changes where made.

[ergohead]

Originally Posted by darstar

We have a huge underground economy..

Maybe the "underground economy", especially trades between or among individuals, is the Constitutional Economy.

I say we should legalize the Constitution - and/or delegalize Unconstitutional Acts.

[ergohead]

Originally Posted by darstar

Both. taxes are taxes , including property tax. The underground pays no tax. When you do business by barter , and or cash , there is no record. Also included is employment tax. When you pay cash for services , you avoid all of the above. Everyone is a contractor , there are no employees in the underground system. It is huge , much bigger than the Government wants you to know about.

Well then, WHY NOT LEGALIZE IT?

[Driller1]

Originally Posted by darstar

Both. taxes are taxes , including property tax. The underground pays no tax. When you do business by barter , and or cash , there is no record. Also included is employment tax. When you pay cash for services , you avoid all of the above. Everyone is a contractor , there are no employees in the underground system. It is huge , much bigger than the Government wants you to know about.

OK. You have my attention. You or you KNOW someone who as BARTERED property taxes??? How did that work?? The township had to be in on it.

[Crustedfilth]

I traded 2 chickens for my property tax last year.

[Driller1]

Originally Posted by Crustedfilth

I traded 2 chickens for my property tax last year.

Wow, you must live in a chicken coop!!!! LOL LOL LOL