Skip to comments.First 'Survivor' Winner Dodged Taxes: Prosecutors
Posted on 01/18/2005 12:11:11 PM PST by OrangeDaisy
Jan 18, 2:18 PM (ET)
BOSTON (Reuters) - He survived one of the toughest tests of reality television but now Richard Hatch, the first winner of the U.S. TV series "Survivor," is facing his toughest challenge yet.
Hatch failed to report the $1 million he won on "Survivor," federal prosecutors said on Tuesday as they charged him with filing false tax returns.
The 43-year-old Hatch, whose brash strategizing propelled him to victory in 2000's "Survivor" series on CBS, is charged on two counts in a lawsuit filed in U.S. District Court in Providence, Rhode Island.
Prosecutors said Hatch not only failed to report his $1 million winnings in federal tax returns but also left off more than $300,000 that a Boston radio station paid him to co-host a program in 2001.
Hatch, who lives in Newport, Rhode Island, could face up to 10 years in prison and a $500,000 fine if convicted on both counts, prosecutors said in a statement. He was due to be arraigned on Monday in Providence, they said.
Hatch was not immediately available for comment.
The first "Survivor" became a ratings sensation and helped spark a boom in reality-based TV shows.
He could have been classified as an independent contractor....not an employee. CBS is not obligated to withhold taxes from a non-employee.....so far as I know. Mr. Hatch will be somebody's girlfriend in jail. Maybe he'll get a new reality show from all of this. ;-)
I smell a sequel: "Survival II-the Joint".
Hatch failed to report the $1 million he won on "Survivor,"
Theres a good plan. Its not like anybody knew he won.
Beats me. What's the tax law on the little island in the middle of nowhere where he earned the money? (I know, I know, it'd never work, but it'd be fun to watch him try.)
He thought he could survive the IRS. What a maroon.
From what I've heard about what happens in men's prison he might feel right at home.
Thats what I was thinking - NOBODY survives the IRS
They probably did withhold taxes. The idiot didn't declare the income is my guess, so he probably got a refund.
(I'm not an accountant, but I created the online help file for my company's expatriat management system, which makes me about one tenth of an expert.)
Presumably he got a 1099, and 1099 income doesn't require withholding of any kind.
Another blow the the homosexuals are just like everyone else.. first they find out McGreevy's gay and corrupt and now Hatch is corrupt as well.
It's not an income check, it's a prize, just like winnings in Vegas. All they need to do is file the right paperwork that says they gave X amount of "unearned" income to this person with this SocSec at the end of the year and they're golden.
You don't need to be in a foreign country to get 1099 income, which requires no withholding.
And on the other hand, U.S. citizens cannot avoid any part of federal tax law merely by being in a foreign country.
You.. can be a millionaire.. and never pay taxes! You can be a millionaire... and never pay taxes!
You say.. "Steve,... how can I be a millionaire.... and never pay taxes?"
First.. get a million dollars. Now... you say, "Steve.. what do I say to the tax man when he comes to my door and says, 'You.. have never paid taxes'?"
Two simple words. Two simple words in the English language: "I forgot!"
How many times do we let ourselves get into terrible situations because we don't say "I forgot"? Let's say you're on trial for armed robbery. You say to the judge, "I forgot armed robbery was illegal." Let's suppose he says back to you, "You have committed a foul crime. you have stolen hundreds and thousands of dollars from people at random, and you say, 'I forgot'?"....
Two simple words: Excuuuuuse me!!!"
Steve Martin on SNL:
"You.. can be a millionaire.. and never pay taxes! You can be a millionaire.. and never pay taxes! You say.. "Steve.. how can I be a millionaire.. and never pay taxes?" First.. get a million dollars. Now.. you say, "Steve.. what do I say to the tax man when he comes to my door and says, 'You.. have never paid taxes'?" Two simple words. Two simple words in the English language: "I forgot!" How many times do we let ourselves get into terrible situations because we don't say "I forgot"? Let's say you're on trial for armed robbery. You say to the judge, "I forgot armed robbery was illegal." Let's suppose he says back to you, "You have committed a foul crime. you have stolen hundreds and thousands of dollars from people at random, and you say, 'I forgot'?" Two simple words: Excuuuuuse me!!"
Dam you! You beat me to the punch!
Americans are subject to U.S. federal taxes no matter where they are and no matter who cuts the check.
Most countries levy their own taxes on Americans working in their country for, say, more than 3 or 6 months. American can deduct those foreign tax payments from their U.S. Federal taxes.
Wow! 18 seconds apart.
But, I like how you think!
Good news. I hated that guy from the first second I saw him on TV.
Are you two absolutely SURE that you're not related?
God forbid! By all means, a productive person of society should have the wrath of the federal government on his head, while those on various welfare and or government programs, or even the politician's own pork, make off with their fraud. Our government's failure to audit (due to lack of bodies), prosecute and/or dedicate the same amount of aggressiveness against the non-productive peoples and pigs of society goes on with little complaint and no action.
If they paid him and issued him a 1099 that would make sense that they didn't withold.
That may be so but if you are living and working in a foreign country you are not taxed at the same rate if at all.
He could try to make that claim but I doubt it'd hold up.
I'm just specualting and asking questions.
I'm thrilled my post led to a Steve Martin reference! I love his humor, especially from his SNL days!
A gay millionaire streaker in the big house? He'll have lots of friends.
Wait a minute man, everyone is corrupt. I bet theres more straight tax dodgers than homosexual tax dodgers... cause I'm willing to bet theres more straight people than homosexual people. :) Anyways. I'm not saying homosexuality is right... I'm just saying you're comparing oranges and apples.
My only hope is that it was Susan that turned him in and got a reward for it!
NOW THAT WOULD BE A SWEET!
They probably 1099'd him.
Oh I wasn't implying all gays are corrupt... just it does seem that self destructive behavior seems to be part of many of their lives.... including and excluding their sexual proclivities.
Not true. If you take a job in another country you still have to pay US income taxes on the money (after allowable deductions for taxes paid in the country earned).
This is one of the big problems with the US tax code. Foreign earned income is still taxable in the US. When you hear about a company incorporating on some small deserted island to "avoid paying taxes", the taxes they are talking about are the taxes earned in other countries, not all taxes.
He also failed to report over $300k in earnings from co-hosting a radio program in 2001.
Don't know how someone could be so stupid. Ain't like the IRS did not know he existed.
Probably issued a W-9 for the payment.
According to the complaint, he did not win the prize until the final show, which was in the US.
Got it thanks. That's what I was wondering.
I don't think this fellow Hatch was living abroad, but if so:
One must be resident abroad 320 days of the current tax year to obtain the U.S. foreign exclusion deduction. Right now, that exclusion is about the first $80K of gross, foreign-earned income.
Any remaining income (above $80K) is taxed at the U.S. tax rate, less deductions such as *foreign tax payments* (which are usually required after 90 to 180 days of residency in another country).
The deduction for foreign taxes and the $80K exclusion are the only "benefits" afforded to expats by the U.S. tax code.
But I've been through this before, and the calculations can get rather complex. Since most foreign tax rates are so ridiculously high, expats usually will need an increase in salary to break even versus working in the U.S., *even computing the $80K U.S. tax exclusion*.
Not that there's anything wrong with that.
Cool thanks. I was wondering what the code says.
And get this: the U.S. is the only industrialized country in the world that taxes foreign expat workers, who are typically paying taxes wherever they work abroad.
Well Richard Hatch, there are only two things certain in life:Death and taxes and since you are not deceased, Uncle Sam wants his money.I am sure making 28 cents an hour in the joint you will have the IRS paid back in 300 years!
Be Sure To Drink Your Ovaltine.
Let us not forget that this is the same sodomite who was arrested for abuse of his adopted. Strangely, the charges were dropped about a month before CBS had their first Survivor season finale and Hatch was awarded the prize.
He was also arrested for domestic violence against his "partner" - after he got his "son" back.
Wow - a loudmouthed, sneaky, "LOOK AT MEEEE!" sodomite with a history of violent and anti-social behavior is now found out to be a tax cheat! Color me shocked!
Yet - the MSM will still put him on a pedestal. Part of the joys of being in a protected class, I suppose.
Still thinking about Ralphy three weeks later, eh?
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