pkg12's Blog

Cash transactions can be 'hidden'. That is, they don't have a paper trail like credit, debit or checks do. So if you pay with a $20 bill, the owner can easily "pocket" that money and it will never show up in the accounts books because there is no paper trail. All the books will show is that on July 13, the business only made $1000, when in reality the business made $2000. When the business files taxes, they'll only pay for taxes on that $1000 not the $2000. If the business gets audited, they will only show one set of books to the IRS.

Paying employees in cash doesn't leave a paper trail either.

My guess is that the IRS had someone working inside that restaurant and when enough evidence was gathered they moved in. That's why it took so long for them to make a move.

ah, the whole dam thing was a mess ...all those sweet, lawful latino citizens banding together like that, in full war dress obstructing the raid and wantin' to show TV news their mood over the event

careful "Erica" ...you joined on the 11th and you've already established you're some kind of kook

I've eatin at that place before. It's usually packed.

C-Cow and Starrman...you're both right on the way the books are stashed. I don't remember C-Cow if they use cash only. You are right though. If a transaction cost $20, take out $5 for supplies, $5 for workers, $5 for taxes, and then $5 for your pockets. Really simple.

Pay the ILLIGALS in cash is correct also and knowing it doesn't leave a paper trail. If I was with the IRS, I can clearly see you reported having 2 employees and my sting operations reported they've seen 10 different people in there in a months time...then the IRS can have something to go off of.

Some businesses like "El Pollo Rico" always try to get over on someone. Then after they are caught, there are idiots like ERIKA10_09 that want to cry "FOWL"....oops...I mean "FOUL".

(Come on poeple..you had to have seen this joke coming sooner or later!!! LoL)

Erica...yet another "post n Run" type. Prolly got deported already.

Erica,

The two lines you wrote, I could write two hundred pages to answer that. You also used my favorite sentence, “So what?” I use it often, but fortunately the difference is when I use it, people complement me for my outlook.

A few years ago, a Hispanic man came to me and asked him to save him because he was in big trouble with the IRS. Someone, who was a Hispanic person, prepared his tax returns and he got caught cheating and he had to pay a lot of money, which he did not have. I prepared his tax return the “right” way and then took him to the IRS office and negotiated with the official to pay the money back in monthly installment according to his capacity.

There is a right way to do a thing, and there are many other ways to do the same thing. Some people prefer to do it only one way – the right way. I hope you understand my message. If you could come to blog with us, I would assume that you are intelligent enough to understand a few things. Don’t prove me wrong, it would hurt me otherwise.

If you go to Langley Park, you would find many Hispanic people who got caught cheating the IRS and those people’s returns had to be “fixed” by some people like me.

“Hey Mister, can you fix my return? I am in trouble!”

I am sure you understand the difference.

pkg-12, those estimates will still be based on what the tax form declares as earned income. Think about it, if a person is crooked enough to have two books, do you really think that person will declare the appropriate amount on their income tax?

Also, the tax laws are such that a business can "write off" losses which are deductible. For example, a restaurant orders $500 of tofu french fries. The fries don't sell. That restaurant can 'write off' that $500 as a business loss.

What's declared on the tax form is really based upon the honesty of the filer. And if you're gonna laundry money....I think you've already proven how honest you are.