Richard Hatch Hit With Tax Evasion Rap (Did not report $1mm Survivor prize to IRS)

The Smoking Gun ^ | JANUARY 18

[EveningStar]

I see this thread has brought out the "best" of the forum. :(

KEYWORDS: ...PERVERT; QUEER; SODOMITE...

Nothing like giving our enemies on the Left some ammo.

[TheCPA]

The foreign earned income exclusion is limited to $80,000 per year. To receive that amount, the taxpayer must have been out of the USA for the entire year. If the taxpayer is out of the USA more than 330 days (best I remember), the exclusion is prorated.

[TheCPA]

Yes, but the tax must also have been assessed more than 18 months ago and not be the subject of a late return in the last two years. If he never claimed the income on his return, it was not assessed then. The IRS can assess the tax on the income as a result of an audit, including document matching. The IRS has 10 years to collect the tax once it is assessed. The IRS can also object to a discharge in bankruptcy even if the taxpayer meets all the time requirements if the taxpayer corruptly avoided paying the tax--such as by gambling away his income. I understand that the rules for a partial discharge in a Chapter 13 bankruptcy are less stringent.

[PAR35]

If he had not filed a return at all he would be on stronger legal footing.

They can still nail you for failure to file, but ususally if you are nice and file when it is brought to your attention (and pay the appropriate penalties for late filing, they will then leave you alone.

[cyncooper]

Survivor news ping.

LOL

[Taliesan]

I could never keep an interest in any of the Survivor series. They just seem like lying contests to me.

[Question_Assumptions]

I think that's why I liked the All-Stars series, even though I wasn't all that familiar with most of the contestants. They'd all already been there before so they weren't all that gullible and it was interesting to watch how they played. It's not just a lying contest but a matter of when and how they lie and why and there are certainly consequences for it. I watched a bit of the last one and one woman apparently swore on her son's life about something and then lied. There wasn't a show that went by after that were it wasn't mentioned and she probably lost the game over it. The same with All-Stars. One of the two finalists lost because he lied horribly to some people and they become the jury that decides the ultimate winner. So it does also show some consequences for lying at least.

[pferguson]

As much as I hate to say it, Richard Hatch does not owe a penny of his winnings to the IRS. None of it is taxable. He needs to file a 1099c to correct the amounts reported to the IRS as "taxable" income, because the Federal Income Tax has not been imposed on this type of income, yet if the company reports it as so to the IRS and this report (either a W-2 or 1099) goes unrebutted, the IRS can quite easily go after him for the taxes on that money, as well as jail him. Go to www.losthorizons.com to learn more

[Chemist_Geek]

What's the connection to Hatch? I'm being dense tonight for some reason; maybe there's something wrong with the artificial gravity generators...

[Chemist_Geek]

Even if he is convicted of a tax crime, he is still liable for the tax. He could also be charged with the civil fraud penalty, which is equal to 75 percent of the tax not paid due to fraud.

So, the upshot is, he will owe 175% of the original tax on the $1·10⁶? Plus interest, of course?