I got audited today!!

[Jcroz91]

ive done it before too, but it was always honest. a legitimate gift.

i wouldnt do it if i paid. thats just dumb. at least put like 100 dollars or something. the shit you get if they find out is not worth paying 6 bucks in tax.

i didnt do it. the othe guy did. remember i was having all the title problems and had to go to dayton to his house to get a new title made. well when we did that and he was willing out the title he was like ill just make it a gift since you had to come all the way out here. save you on taxes. and of course me being and ignorant 18 year old said ok

dude...a survery isnt an "audit"

if they audited you, they would have done it without you...its happened to me, they matched up the price i put on title with the deposit in the previous owners bank account, and thats how they knew....they sent me a letter saying i owe them for the tax on XXXX amount and that if there is an error and i did buy it cheaper, i need to send in proof...otherwise mail them their money and they gave me two weeks to come up with it

but see this is the thing... its kinda complicated.

timothy was the name on the title... the previous owner. but i bought it off of his friend. cause his friend bought it off of him but they just never switch the title over so his friend didnt have to pay taxes on it. i think his name was JD or something. so it was my tim> JD> me. So. i paid JD cash. so the JD dude is the one who made the deposit and timothy friend got no money out of me cause i didnt buy the bike off him. does that make sense? kinda a goofy situation.

and no the bike wasnt stolen cause timothy had to meet me in dayton to get the title swapped so he knew it was all happening. but if they look at timothy friend's account they wont find any $ on that day cause I never paid tim anything.

I've done it multiple times but its been legit each time. $0 selling between family members or trading one vehicle for another with someone.

IMO, should not be a big deal.

yeah from what Iv heard they say $0 is ok between family members but if trading youll still have to pay tax cause theres still a value on the vehicals and you have th pay tax on the values. they will get the $ how ever they can.

Edited April 17, 2010 by Jcroz91

[Casper]

Jcroz, your threads never cease to entertain me. Thanks.

[Jcroz91]

Jcroz, your threads never cease to entertain me. Thanks.

my goal is to win most entertaining member of 2010:tongue:

[Benyen Soljax]

Has anyone forwarded this to the IRS yet?

[natedogg624]

yes, done.

[NinjaNick]

I think you are DUMB for speaking of it publicly. You need to learn to keep secrets man.

[Jcroz91]

I think you are DUMB for speaking of it publicly. You need to learn to keep secrets man.

well i figuared i could get some help... you guys did say this might happen after i told you how we transfered the titles. but that was after so theres nothing i can do about it. If you really think this thread could get me into trouble then delete it.

[NinjaNick]

Oh, I can't delete anything. I'd help you out and do it if I was a mod, but sorry dude, I'm not.

[jporter12]

i didnt do it. the othe guy did. remember i was having all the title problems and had to go to dayton to his house to get a new title made. well when we did that and he was willing out the title he was like ill just make it a gift since you had to come all the way out here. save you on taxes. and of course me being and ignorant 18 year old said ok

but see this is the thing... its kinda complicated.

timothy was the name on the title... the previous owner. but i bought it off of his friend. cause his friend bought it off of him but they just never switch the title over so his friend didnt have to pay taxes on it. i think his name was JD or something. so it was my tim> JD> me. So. i paid JD cash. so the JD dude is the one who made the deposit and timothy friend got no money out of me cause i didnt buy the bike off him. does that make sense? kinda a goofy situation.

and no the bike wasnt stolen cause timothy had to meet me in dayton to get the title swapped so he knew it was all happening. but if they look at timothy friend's account they wont find any $ on that day cause I never paid tim anything.

yeah from what Iv heard they say $0 is ok between family members but if trading youll still have to pay tax cause theres still a value on the vehicals and you have th pay tax on the values. they will get the $ how ever they can.

THAT is illegal as well! If you were buying from JD, you should have made sure the title was coming out of JD's name. For you to buy from JD, the title's in Tim's name, that can get you in bigger trouble yet.

[Jcroz91]

THAT is illegal as well! If you were buying from JD, you should have made sure the title was coming out of JD's name. For you to buy from JD, the title's in Tim's name, that can get you in bigger trouble yet.

yeah recieving stolen property... not a good thing. but I never even asked the JD guy his name when i bought the bike. i had assumed his name was tim. he said he didnt care if it was cash or check and if we made the check out to tim he wouldnt get any $ unless he knew this tim guy.

[Cypress]

Thread don't ever get deleted...only moved.

[Jcroz91]

prob just going to pay the full amount that i need to pay and not worry about it. i was just looking for some advise as to what it was I had gotten in the mail. I think tyler gave me the info i needed but i not really willing to risk it.

[ReconRat]

A small side issue. Insurance companies only want to pay off what you paid for it. So that would be "zero". They look it up on the title and try to pay that amount. A big hassle convincing them otherwise, on a value. Consider the small tax payment to be good insurance against future damages to the vehicle.

That's funny, insurance against insurance companies screwing a person...

[Jcroz91]

A small side issue. Insurance companies only want to pay off what you paid for it. So that would be "zero". They look it up on the title and try to pay that amount. A big hassle convincing them otherwise, on a value. Consider the small tax payment to be good insurance against future damages to the vehicle.

That's funny, insurance against insurance companies screwing a person...

yeah that makes sense, never looked at it like that.

[Steve Butters]

since JD will show no money in his account, since you bought it off tim, you would probably be alright saying it was a true gift....theres nothing they can do because theres no money trail, as long as both sides say it was a gift....

or just pay the tax and not worry about it

[Steve Butters]

A small side issue. Insurance companies only want to pay off what you paid for it. So that would be "zero". They look it up on the title and try to pay that amount. A big hassle convincing them otherwise, on a value. Consider the small tax payment to be good insurance against future damages to the vehicle.

That's funny, insurance against insurance companies screwing a person...

never heard this in my life, and never had an experience like this at all....maybe its just your insurance

[Jcroz91]

since JD will show no money in his account, since you bought it off tim, you would probably be alright saying it was a true gift....theres nothing they can do because theres no money trail, as long as both sides say it was a gift....

or just pay the tax and not worry about it

i mean how sure are you that that is how they look it up? cause they never sent me something saying you owe this much.. it asks how much i paid for it... and i sign it at the bottom saying is anything is untrue on that survey i can be charged with purgery.

i mean just cause i didnt pay $$ doesnt mean i cant be taxed. I can be taxed on anywork i did for him in return for the gift. say i repainted his house and in exchange i got the bike, well theres a $ value to the work i would have done repainting his house and i would need to pay the taxes on that.

never heard this in my life, and never had an experience like this at all....maybe its just your insurance

i feel like insurance companies will do anything they can to not have to pay for someones stuff

Edited April 17, 2010 by Jcroz91

[jsheikh]

Id come clean and write down how much u paid for it... or smidge that number too if u want to pay less on ur taxes... Like someone else said, just make sure you and your seller are on the same page and u can "say" you bought ur bike for 2000 on the title (or "survey" however they're asking), when u actually paid 3000 or whatever

[ReconRat]

never heard this in my life, and never had an experience like this at all....maybe its just your insurance

It wasn't my insurance, it was always the other party. I have no idea what my own insurance would do. I seldom get comprehensive insurance.

If it's an older vehicle, or a collectible, that's all they can do. I've seen it happen a couple of times. One was an early Z-28, that was bought cheap and had a ton of improvement. They did come around eventually, after looking at the car. It took a long time and a lot of arguing.

And I've seen the payoff on one of mine matched the title amount exactly, which is more than what it was worth, and they let me keep it. I put a door and a fender on it, and kept driving it. The repair estimates were higher than the title purchase amount.

[Steve Butters]

i mean how sure are you that that is how they look it up? cause they never sent me something saying you owe this much.. it asks how much i paid for it... and i sign it at the bottom saying is anything is untrue on that survey i can be charged with purgery.

i mean just cause i didnt pay $$ doesnt mean i cant be taxed. I can be taxed on anywork i did for him in return for the gift. say i repainted his house and in exchange i got the bike, well theres a $ value to the work i would have done repainting his house and i would need to pay the taxes on that.

i feel like insurance companies will do anything they can to not have to pay for someones stuff

i know they check banks because i bought my car for 8k...i put $500 down and then paid $7500 about 4 days later... well a few months later they send a letter saying they show that i paid $7500....so they knew the exact amount that was deposited the day he signed the title over, they didnt get the info from him or else they woulda known it was 8k isntead of 7500

you do what you think will work, i take no responsibility if they do it differently for you, because i never got a survey, just a letter

[Jcroz91]

i know they check banks because i bought my car for 8k...i put $500 down and then paid $7500 about 4 days later... well a few months later they send a letter saying they show that i paid $7500....so they knew the exact amount that was deposited the day he signed the title over, they didnt get the info from him or else they woulda known it was 8k isntead of 7500

you do what you think will work, i take no responsibility if they do it differently for you, because i never got a survey, just a letter

maybe they are surveying me cause they cant get anything else on me. and they just want me to admit I paid for it. Still... idk if its worth calling the gov out on a bluff

[natedogg624]

Id come clean and write down how much u paid for it... or smidge that number too if u want to pay less on ur taxes... Like someone else said, just make sure you and your seller are on the same page and u can "say" you bought ur bike for 2000 on the title (or "survey" however they're asking), when u actually paid 3000 or whatever

now is not the time to "smidge." If he wanted to smidge, he should have done it on the original title transfer (but obviously he screwed that up). IF this is a legit audit, they will likely go through accounts and see how much was actually withdrawn or loaned out for the bike.

[jsheikh]

now is not the time to "smidge." If he wanted to smidge, he should have done it on the original title transfer (but obviously he screwed that up). IF this is a legit audit, they will likely go through accounts and see how much was actually withdrawn or loaned out for the bike.

good point... depending on how in depth they are they'll check ur bank accounts and what not... best route is to go safe. dont wanna get penalized for something silly. It wouldnt be hard for them to check ur shit.

[Jcroz91]

now is not the time to "smidge." If he wanted to smidge, he should have done it on the original title transfer (but obviously he screwed that up). IF this is a legit audit, they will likely go through accounts and see how much was actually withdrawn or loaned out for the bike.

but someone loaned me the $... so no money came out of my account that day. so even if they look my account up it didnt come out of there. and like tyler said. idk if its a legit audit. or just a survey. it seems to be just a questionaire like they are just trying to get me to admit a purchase.

Edited April 17, 2010 by Jcroz91

[John]

A small side issue. Insurance companies only want to pay off what you paid for it. So that would be "zero". They look it up on the title and try to pay that amount. A big hassle convincing them otherwise, on a value. Consider the small tax payment to be good insurance against future damages to the vehicle.

That's funny, insurance against insurance companies screwing a person...

there are three types of vehicle coverages. stated value, agreed value, or actual cash value.

stated value means that you state a value X to them. then in the event of a loss they will pay the less of: X, repair up to X, or actual cash value. having the actual cash value option in there is where they fuck you because they can settle your loss for less than the stated value.

agreed value is where you and the insurance company agree on the value of the vehicle. this would be used for like a classic car or something. the "book" value of a 50 year old car may only be a few thousand dollars, but the collector value of it can be tens or hundreds of thousands. so you and the agent both agree on a value, and that is the limit of liability. (the max they will pay out)

actual cash value is what the vast majority of everyday cars, bike etc are on. my car is on an ACV policy, and yours probably is too. this means they pay you the actual cash value of the car. they dont give a shit what you PAID for the car, they only care what its value is.

i could go out and pay someone a million dollars for a 2001 civic, but if it gets stolen (on an ACV policy) they arent going to pay me back a million dollars. they are going to say a 2001 civic is only worth 5000 dollars, and thats what you get.

if they used what you paid for the car to determine your payout then it would be in everyone's interest to pay as much as they could for their car, no matter how crappy it was.

also, that would mean if there was a loss on the car my dad gave me, the insurance company wouldnt pay anything.

Edited April 17, 2010 by John