Taxes

[asterroc]

Not done yet. This's the first time I've procrastinated them. But came across the following (via Mistress Matisse NSFW) interesting tidbits...

Illegal income. Illegal income, such as money from dealing illegal drugs, must be included in your income on Form 1040, line 21, or on Schedule C or Schedule C-EZ (Form 1040) if from your self-employment activity.

Holiday gifts. If your employer gives you a turkey, ham, or other item of nominal value at Christmas or other holidays, do not include the value of the gift in your income.

--Publication 525, IRS, for 2005

And in case you ever need to know, Nobel and Pulitzer Prize money *is* taxed.

Comments

[freakylynx.livejournal.com]

Well of course, even if you sell drugs to itty bitty children - don't screw over the IRS or you'll be in real trouble.

[zandperl.livejournal.com]

That's how they got Al Capone!

[sclerotic-rings.livejournal.com]

Of course, what's left out is that you're still going to jail if you report that illegal income. Should the IRS see any money listed in that category, they'll promptly contact the FBI: this proviso was created to bust capos like Al Capone for tax evasion if they couldn't get these guys on anything else. Personally, I'd risk not reporting it.

[zandperl.livejournal.com]

How did they catch Al Capone on the tax evasion anyway? They had to prove that he was making that money somehow.