How is this 1099 stuff legal?

Discussion in 'Experienced Truckers' Advice' started by RonBurgandy, May 3, 2018.

  1. Mr_Rick I

    Mr_Rick I Bobtail Member

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    I agree with all of your points. "Income Tax" is by itsi very definition "unconstitutional" Why ? Because it is taxation without representation. If you will take notice...filing income tax is a VOLUNTARY ACT. So why all the fuss ? To really understand what I am saying here one has to go back in history and understand the Declaration of Independence and the last signer of the Declaration of Independence Thomas McKean. If it were not for him we would most likely be an extension of Crown. Thank God that is not the case. McKean was most probably known for the Stamp Act which opened free trade back and forth to the ''Mother Land" so in effect we were not being ''shaken down" for taxes that didn't further our cause here in the republic. We said he'll no we will not pay you taxes we do not need you or your protection or anything you have to offer. We will buy and sell and trade and barter as we see fit to suit ourselves. BAM our independence was established and we never looked back. How does this address the 1099. Simple. When you lease...you are in theory the owner of the Truck because you are going to buy it at endeof lease or turn it in and get another. Henceforth you get to write off all expenses incurred by the use of that Truck as a tool in your Trade as a professional driver. So all the gross income that the professional driver makes is a bench mark for all the expenses that can deducted. Point number ONE : You must have income to have expenses. Is fuel deductable ? Yep absolutely 100%. You still need money to buy the fuel first. So if all the aspects of your professional driver skills and assets you employ to generate income becomes deductible. The problem comes in where the Driver is not 100% the owner/operator from day 1. So there are prescribed definite terms as to what is really under the control of the professional driver who owns the leased truck. Why not just buy the truck outright ? Depreciate the cost of truck over it's useful work-life. ? Write it all off in one shot or over 3,5,7 years no matter... whatever you want. When you are beholden to the lease company for jobs and loads then it is not legal. Period. There is a well established precident with FedEx subcontractors on this matter. NLRB National Labor Relations Board has already hashed all of this out. The IRS doesn't care. They get their money either way. The real question is what about all of the other expenses of keeping a driver behind the wheel. That is the part of iceburg hidden under the water. One that is larger than the one that sunk the Titanic.
     
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  3. Atlanta trucker

    Atlanta trucker Road Train Member

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    Who elected "the system" ?
    Im not interested in working for the system. I am a free man and choose to remain free. They have a great system in DPRK & Veneasuala I think the liberal progressives should live there.
     
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  4. Atlanta trucker

    Atlanta trucker Road Train Member

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    Like borders and citizenship arent valid and anyone in the world that is NOT an American can live in America and have the same benifits that Americans have ?
     
  5. Ruthless

    Ruthless Road Train Member

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    1. I paid in full. Can you imagine a world where you had enough brains to retain enough money to write that check?

    2. I don't stand behind a police force: if I got a problem I solve it: I'm a Man, responsible for myself, my family, my property. I don't cry for help to the government.

    3. For the amount I pay in road and fuel taxes: the blacktop should be scrubbed clean by hand at the end of each travel day.

    4. You're right on the public executions: they ought to start with those deemed to inept to survive without government assistance- you should volunteer to be first.
     
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  6. Atlanta trucker

    Atlanta trucker Road Train Member

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    Here here !!!! Scales are for amateurs !!!
     
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  7. Mr_Rick I

    Mr_Rick I Bobtail Member

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    They all get caught sooner or later...just a matter of time.
    I am curious...are you saying that the tax cuts have injured you at current OTR company driver status ?? I only ask because it must mean that if my assumption is true than yes you are making too much money and the IRS wants theirs. The tax cuts are supposed to help the poorest and give incentives to the higher earners to invest more of their money before it is taxed, OR, invest in ? a truck, become your own authority, buy cheap, lease cheap, put drivers behind the wheel so you can enjoy making money while your sleeping. That's capitalism 101.
     
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  8. taodnt

    taodnt Light Load Member

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    Edit: 9 replies came in between the time I started until I finished, some things said may be repeated here.

    The road to Hell is paved with good intentions.

    There is cheating, and there is going down the road of good intentions to ruin.

    In my deep dark past (read young with no experience) I ran afoul the IRS because I made poor decisions and relied on bad assumptions, but I didn’t cheat. I filed but did not have enough money to pay. The IRS eventually got all of what I owed plus penalty and interest. That is a period of my life that I wish never happened and will never repeat.

    Don’t believe for a moment those radio ads where companies claim to get you a massive reduction in what you owe. I have learned my lesson the hard way and have remained in compliance ever since.

    One common theme about succeeding in a small business is “pay yourself first”. Whenever I speak with anyone thinking of going into business for themselves we discuss their capital requirements, their cash requirements for the first year, and then I hammer into them to make sure that for every dollar of net income that the proper taxes (fed, state, local) are set aside because if they do not they are setting themselves up for failure. Those that "get it" succeed and those that don't end up struggling and failing.

    A lot of people do not understand the difference between tax evasion and tax avoidance. Tax evasion is illegal, cheating. Tax avoidance is using all of the the "tools" at your disposal to pay as little tax as possible. There are plenty of tools, you just have to know how to use them.

    The unfortunate part is that the tools are changing all the time as legislatures in their infinite wisdom strive to find more and more ways to separate us from our money to spend on things that we would not spend on voluntarily. All we want, the hard working, is for "the government" to spend money on things that the government was supposed to originally do: provide security (national, local) and provide an environment for people to succeed or fail on their own. That has been distorted over the past 80 years. I will not rant here, just stating that tax laws constantly change and to continue to legally avoid taxes requires one to stay up to date with the changes.
     
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  9. STexan

    STexan Road Train Member

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    They have been caught. That's the thing. They're convicted of tax fraud then get elected or re elected next year and never seem to get jailed or repay the tax fraud amount. WTF?
     
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  10. 06driver

    06driver Road Train Member

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    Oooh big man.

    Also a fraud phoney, cheat and general idiot.

    But hey why quibble. When you admit to paying in full I have no issue with you. Glad to here you need no police. More people should avail themselves of the right to self defense.

    Your taxes are for running a business on public roads. You should pay more. And yeah I write a big check as well every year. Maybe not fingerless glove, big belt buckle, sleeveless wife beater under cut up cowboy shirt money like you. Some of us make real money, away from this game.
     
  11. Ruthless

    Ruthless Road Train Member

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    If you made real money, you wouldn't be here attempting to belittle a method of business you clearly don't have the faculties to understand.
     
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