I made about $14k USD last year. I did dabble in stocks and crypto (and lost $8k) but due to the wash sale rule I couldn't even get the max $3k deduction. So for my crypto stuff I just lied by filing as a single statement instead of a summary of statements, added the deposits together as the cost basis, then added the withdrawals together as the proceeds. So I now have the max $3k capital loss deduction.
Because I'm a poorcel, surely they won't find out. Right? All this did was increase my refund by about $200 USD.
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No one actually answered your question so I'm going to actually answer your question on the grounds you don't ask me how I know any of this.
The answer in your situation is no, but they know you fricked up and tried to cheat them and if you do it for multiple years they may decide to bite you in the butt down the road if you become a higher earning person (otherwise known as auditing).
Crypto and stock exchanges are required by law to report to the IRS now, so the IRS knows what you did already. They have it on their books what you made and/or didn't make. This works the same exact way a W2 from a regular employer would work. They all report to the IRS and the IRS knows what you should owe based upon your income (this does not take into consideration home ownership/land/dependents/student loans/STUFF). Keep in mind the IRS has a "they're r-slurred" dollar amount margin of error you're allowed to make as a filer that they are willing to overlook. I won't reveal what it is but it's pretty forgiving.
The reason you will get away with this is because you made below poverty wages as a whole AND because the IRS doesn't know what your situation is (the aforementioned home ownership/land/dependents/student loans/STUFF). It actually costs a lot of money and "resources" to audit someone and verify your situation so there is a cost analysis that is done and if auditing you is deemed more expensive than what they think they could get out of you with fines and actual payment of what you truly owed they just do a big ole shrug and say frick it. This cost is compounded by the actual cost of suing you for that amount of money.
Added bonus: People that make what you made are basically ignored and no one bats an eye at your returns because you're poor and are barely a person to begin with in the eyes of all financial government institutions.
If you're going to cheat the IRS I would suggest NEVER itemizing your return because the IRS assumes anyone smart enough to itemize their return (no matter how poor) is smart enough to try to defraud the government and probably has the funds to pay any fees/fines/lawyer costs.
:)
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An accountant told me that he had clients roll up in Rolls Royce cars claiming they made $10k for the year and then wonder why they get audited. lol Or he told me about another client who refused to pay taxes and was planning to get married and he warned the girl that her assets would be seized so she should not marry him. lol
Krayon sexually assaulted his sister.
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Tell me more w/o doxing
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Not much to dox. I don't know who it is he was talking about. He just referenced his client but didn't tell me a name.
Krayon sexually assaulted his sister.
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I don't have enough spoons to read this shit
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You really should bro, its pretty informative
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Thank you
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Poor people privilege is disgusting.
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Joan are you still allowed to smoke at work in the IRS? Sounds like the kind of institution to get stuck in the past, dealing with financial history.
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He might actually get away with it depending on his crypto exchange. I mean binance doesnβt give you a 1099 unless you made more than 20 k
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