IC1 – IRS Determination Letter Video 2

0:08
OK, thanks for joining, this is part two, we're going to talk about the Request for Determination Letter. May go into all the details, never publish this before, but let's start with, what it looks like if you actually get the IRS to respond. Sometimes, the IRS does not respond, No worries. But it's nice when you do get a response. This is an example that came from response, you can see back in 2019, so I think probably the first ones I did were in 20 18, on this matter, I've done the request for information letter back in the late nineties on different matters. You know, what's funny is the, the, you'll see the central point of what's in common along the hallway. It has to do with backup withholding and I'll explain what that that is as we get in, but look here, see what the IRS does. So it writes back, and we asked her determination letter, OK, The letter I sent, a letter I'm about to show you. This is the only leader I've ever sent since Kryptos.
1:03
Thank you for correspondence.
1:05
We reviewed the information, and we determined that no action is necessary on your account. That just means the IRS agrees with me.
1:14
They're not very They're not very No, very verbose, right?
1:20
So let's get rid of that.
1:23
And let's explain. Let me explain where this comes from.
1:28
So back in the nineties, I wanted to come up with a way to get a legal determination on something.
1:33
And I dug up the Internal Revenue Bulletin back, then I had to go to the law library and read it on paper and then sit there and transcribe it in a computer.
1:44
So it's a bit easier these days.
1:45
And so I did this back in 20 17, so you can see here I took the revenue Bulletin from 20 17.
1:52
And I went through that and I got the letter, there's a form letter in here that tells you how to ask the IRS for something.
2:04
So, you can see here what this is showing you can ask it for advice went what are letter rulings for? OK? Now this is a little bit different I'm going to show you here. It's a little bit different than a letter ruling per se.
2:21
There is a distinction if you look in the Internal Revenue Manual you'll see this is a request for determination letter.
2:26
Now I don't believe this booklet actually tells you the format So I had to use the one for letter rulings so I understand how to make the modification I'll show you.
2:35
But see here, under what circumstances did the service not issue letter rulings or determination letters?
2:42
These are all the criteria, so when you send a letter like this into the IRS, you're going to have to disclose a lot of information.
2:48
Not personal information, but it's about the facts regarding the request.
2:54
So that would tell the IRS if it has the right or the ability to issue a determination letter or findings of some of some kind.
3:02
So, here are the instructions and how to do it, OK, the IRA's tells you.
3:09
We have to complete the statement of facts, the Statement of fact, Yeah, all copies of Records, which are in my instructions. I show you how to do all that.
3:17
There's an analysis in there, and you'll see all these components.
3:21
OK, and there's a checklist, now, the checklist, I'm going to show you that first, that has to appear on the front page. Now, this request for determination letter, when it's all said and done is six pages in length.
3:33
We're not asking for a letter ruling by this is probably very similar.
3:38
Um.
3:42
We don't care about that part.
3:44
So you see.
3:45
it's Iris tells you how to talk to it.
3:48
We just have to learn.
3:51
Um, we don't even need a conference. We don't have a hearing. We don't even need to meet with them. All we, all we have to do is ask for determination letter.
4:00
And really what I'm finding is the request I'm sending is the determination letter.
4:06
I'm telling the IRS, this is how it should be determined.
4:09
And unless you disagree.
4:12
Either confirm or don't respond basically as what's going on here, OK.
4:17
Under what circumstances do the directors issue determination letters?
4:22
OK um.
4:27
We're talking about probably it's concerning income tax returns.
4:36
We're not even talking about that here. You're going to see this is more about bacca withholding.
4:44
Yeah. We don't care about letter rulings.
4:45
So much determination letters apply to the person you're working with. So if it's your account. When you ask for determination letter, it's about you. It's not like case law where the determination letter applies to everybody in your situation.
4:58
It's very transaction specific.
5:01
So the transaction we're talking about here is going to be 1099.
5:06
And there's user fee requirements.
5:09
And we've never sent a user fee. I've never had to do that. I think the user fee, if we had to pay something, you can pay anywhere from $275 to $5000 in the very beginning stages.
5:20
This doesn't fall in that category, so we don't pay any fees, and I learned this just by reading this entire book, OK?
5:26
I know that Crazy, but No, it's effective. And this is what I do.
5:31
So I'm going to I'm not going to get into all the little details because I'm just going to show you What it looks like once you get through all this mess here, OK.
5:40
Look, we got 278 pages right now If I page through real quick You're going to see.
5:51
There's an example letter, OK, somewhere in here But you guys can look it up yourself. I mean, it's a, it's a PDF file. You get the title, You can Google it. It's very easy to find. There's probably something new from 2017. I'm sure there's probably something from 20 21.
6:05
You're gonna find, it's the same thing, the one I did in the nineties. It's almost identical to this one.
6:10
So don't don't feel like it's out of date, OK?
6:16
So, and then it gives you, you know, where to, Here's this pertains to letter ruling.
6:20
So what I did, basically, if I remember correctly, is aye.
6:26
I used that literally format to ask for determination letter and I followed there criteria for the curation letter. So this is all I did now. I'm just going to scroll through and let's see at the bottom there.
6:36
Yeah, see here.
6:39
These are sample letters. They put it in the appendices.
6:43
I didn't, I didn't invent this stuff.
6:45
I don't ever re-invent things.
6:47
I just follow directions. That's all it is. You get if you just got to find out where they are.
6:52
OK, so you guys can look into that. I'm not going to bore you with all the pages here, Nothing to learn here.
6:59
I'm just going to show you where I got it from.
7:03
So, let's get into my instructions.
7:10
These are my instructions.
7:12
When you do this, um, cannot include these instructions, they're just for you, All right, the request for information, there should only be followed by someone who normally files tax returns, don't file this.
7:25
If you're not gonna file a 10, 40, OK, this is when a 1099 is received, and it's erroneous and the iris would ask you later, why you didn't include it in your, with your 1040.
7:36
You want to ask them ahead of time, for this determination letter, so that way, it's already documented.
7:41
Now, I can tell you that over the years, and I'm talking like 30,000 different types of cases, most of which were consumer debt, Nobody got the IRS to agree that the 1099 they receive, and creditors and debt collectors are not going to be included on the 10 forties.
7:58
And there are two letter rulings: one that's based upon reaching a settlement agreement, a new agreement on a debt, create the tax liability if you don't pay that, and the other one is if you are not insolvent during that tax period.
8:11
So I can always meet 1 or 2 of those criteria in every case, and so what we would do is we would ignore the 1099 from debt collectors and creditors, and none of my clients ever had any problems with that.
8:22
In this situation, when you get an erroneous 1099 for cryptographic currency, virtual currency, I just think it's more prudent to go ahead and ask for determination letter and get it documented.
8:33
I just, I think that I think that crypto is our target, OK.
8:36
That's why, um, you should be a person that normally fast and forty's don't file this.
8:42
For any LLC, it's not necessary.
8:48
Especially one that does not file tax returns.
8:51
You have to address the envelope.
8:53
I would put it in the Big Manila envelope, the 9 by 12 brown envelope large enough so the six page request does not need to be folded.
8:59
To each of the offices listed at the top of the letter, I'm gonna go over that.
9:03
You want to make four copies.
9:05
I didn't say that, this is what the IRS says.
9:08
And then sign three of them with blue ink.
9:12
Keep the fourth copy for your records with the certified mail receipts, do not sign the original and then make copies, make the copies first, then sign and blowing so that it's obvious that the signature is original on each.
9:23
I very seldom will say it that way, but I think, I think a lot of these came right from the manual, I put this together here. So, Mark each envelope with the following statement: Now, this is what the iris booklet says.
9:35
Just above the recipient's name so that it should say determination request submission now, You'll see on my letter it's there.
9:40
So, be sure to include a copy of the form 10 K that we're talking about that, the 1099 K, sorry, Form 1099 K, in a copy, the most recent tax return.
9:49
Now, if you have not filed 1040, that's OK, make a copy of a completed 10, 40 and included here along with a copy of the W nine certification.
10:00
You're gonna see that what you're doing on the W nine certification, though, the sole purpose of that is to certify the correctness of the EIN that was assigned or your SSN in this case.
10:14
Um, each of these must pertain to the same tax period.
10:20
The order does not matter, just insert them behind the letter. The checklist pages must be the first pages.
10:25
OK, you're going to see this next.
10:27
I'm going to show you right now. So keep the document in the order you see it using the page numbers for reference.
10:31
So wherever you see here, that's how it gets printed out.
10:34
Completed and sent in that order.
10:37
Do not send copies of your tax return to the exchange, like Coinbase for example.
10:41
They can't do anything with it.
10:43
Only send a copy of the 1099 K, and the six page request for determination letter Now, we don't need to send anything to the exchange, they're not going to help you.
10:52
You can, I know, I've put this in here, you can do it.
10:54
I just also speculate that 45 days is a reasonable time for a response if you're going to get any response. If you're not.
11:00
No worries, OK, you've done everything that's needed to be done.
11:03
Right, so let's look at the letter. Here's what we're sending them. You see here, I'm starting with a form.
11:13
I put this at the top, just like instructed, and this is for an example, John Smith.
11:18
And we're going to put his SSN here so I can do a search and replace on this number, OK.
11:24
I've answered all these questions based upon my research and based upon what I know works, so I'm just going to ship. You can just copy this.
11:32
Does your request involve an issue with under the jurisdiction of employee plans, rulings and agreements doesn't apply.
11:39
You see what kinda questions, I'm not gonna go all these with you, but let's look at a few of these.
11:43
If the request deals with with a complete a transaction, have you father returned?
11:48
Yes.
11:49
Now, even if you didn't file the return, you're going to file the return. So leave that a yes.
11:55
Are you requesting a literally not hypothetical? No, we're not going to do that.
11:59
Are you requesting a letter on alternative plans? No.
12:02
Are you cutting literally, on only part of an integrated transaction? No, it's a simple 10, 99, that is your transaction. It's not integrated with anything else.
12:08
Have you submitted another, literally, request?
12:11
This is a unique tax period for one request, right? Et cetera, et cetera.
12:16
These are well thought out. These are the correct answers. As far as I can tell, I've never had a problem, And, yeah, I know that it's dated for 2017.
12:23
Like I said, you can get your latest bulletin and make sure that you're going to find it's almost identical to this bulletin.
12:31
And you can cite that year, if you want.
12:33
So far, I've not had a problem.
12:34
I think the most recent one I did was this year 20, 22 with this bulletin, and this request letter, So he'll be just fine.
12:43
Does your request discuss the implications of any legislation? Now, we don't get into all that stuff.
12:49
No, contrary authorities. Of course, I'm not going to say something. Where they can argue with me.
12:54
Have you include a statement, right? Doesn't it's all there, OK?
13:00
There's no representative. You're doing it for yourself.
13:04
Down here, have you addressed your request to the appropriate office?
13:07
Yeah, you make sure we do that.
13:09
Now, here, the last, you know, if my form has a 2018 date, if you use this later today, it's going to be dated for today.
13:16
So like today's February the, something 14th. OK, today's Valentine's Day, 2022.
13:23
That's what it would, that's what it would appear here. And then your names here, you can use all caps.
13:28
I don't think it really matters. You can use all caps all the way through this thing. I think your name appears 4 or 5 times.
13:33
You see here, all caps.
13:37
Doesn't matter.
13:38
You put your address. I would use the address that appears in the 1099 if you're going to get mail there.
13:43
If he desperately needed something you some other address where you're gonna get mail, fine, no stress, OK?
13:51
These are the important addresses.
13:53
Do not change this OK?
13:56
Again, this address will match the February address, but the current address these have to be Verbatim.
14:06
I know it's this same street number here, OK?
14:10
But look.
14:11
You got the Commissioner and the Secretary.
14:14
These have to go by certified mail.
14:17
This is to the IRS in Ohio certified mail.
14:20
Why did I pick Ohio because I didn't because it came out of the bulletin.
14:25
So we have to put this up here and I'm citing the revenue procedure if you want to get the most updated, be my guest.
14:33
This is what I was telling you about before.
14:35
We're talking about backup withholding, the form 1099 for virtual currency that you may have received that may be erroneous that's reporting, a value of dollars for which you did not receive.
14:51
Like for example, it makes it look like you sold kryptos and you didn't.
14:56
This concerns backup withholding.
14:58
What we're trying to do is prevent the the exchange from being instructed by the IRS to withhold 30% of your account until you file a tax return until the account holder files a tax return.
15:12
You got to avoid that because once they take that money in Rebecca withholding, you're not going to get it back, unless you file a tax return, which defeats the whole purpose. Now You're creating a tax treatment for something that doesn't need one.
15:22
That's what they're trying to do is trick you.
15:24
Into this situation, we're going to avoid that.
15:29
But this does concern, backup withholding.
15:34
And all the letter's I've done, even since the nineties, when it was concerning other matters, which I won't get into. It all came down tobacco withholding For some reason, I don't know, I just worked out that way.
15:44
If it's yourself, if you're John W Smith, that's your name there.
15:48
I put the SSN here.
15:49
Then we're going to say greetings to the Secretary, or you can say, Dear mister Secretary, whatever you want to do.
15:54
And you're gonna give them this language here, OK?
15:58
Recent, really see this 1099 K or I N T or whatever the 1099 is. You need to change this, OK.
16:06
Make sure you update, correct all this, read it line for line.
16:10
There is a bona fide dispute, this language comes out of the manual. Bonafide means is genuine.
16:16
The facts then I'm going to tell you here, I'm making this request for determination as instructed.
16:23
Right, If you want to update it, you're gonna have to quote it here.
16:27
This is not a request involving an exempt organization or employee pension plan.
16:30
And the provisions of Appendices, C, E, and F do not pertain to check to the checklist.
16:35
For this specific request, there is no pertinent checklist to include.
16:39
However, I've included a checklist to the best of my ability as items may pertain to this request.
16:46
Please advise me if any additional information you require. I was added in there, just in case.
16:51
I always ask them for help. They guys didn't make any mistakes, Let me know. So far, No mistakes.
16:57
Here are my statements, of fact. This is an element of the letter.
17:01
Form 1099 K, was incorrectly reported to the taxpayer, or whatever? No, notice, I'm not saying me. I'm saying to the taxpayer.
17:09
That's the person, right? That's your straw man, for you guys out there like to talk like that.
17:15
This is its tax number for taks period ending December 31, 2018. Whatever year it was.
17:22
The terms Virtual Currency and cryptographic Currency and Property are used synonymously. This is my style of writing. that's why I've put that in there.
17:28
Form 10 K 1099 Sorry, Form 10 99 K Reported by the filer. In this case, it's going to be Coinbase. It was Gemini, you need to fix this, OK. You can do Search and replace, but make sure it's right.
17:41
Erroneously reports, disposition of dollars and fails to identify any payment or disposition from interest or dividends.
17:50
That's the key element here or other reportable payments. And there's a long category, big category.
17:56
Lots of different things that can happen here.
17:58
But generally interest or dividends that is subject to backup withholding possibly.
18:08
This is what they've done.
18:09
They've lumped in the virtual currency transaction into interested in dividend payments or network payments like PayPal and they put it under the category of backup withholding.
18:21
The only way out of it is this way and or W nine, you need this letter in this case.
18:29
So the Form 290 K was the result of transaction in virtual currencies, which had been defined by the code as property.
18:36
Each currency. Now notice I'm saying things that are indisputable.
18:41
Each currency can be accessed by a public key, and a private key, an encryption code that functions much like a password or traditional combination lock on a vault.
18:51
I have to explain this to the people that are reading this, maybe they don't understand blockchain technology yet.
18:57
Ownership of this property is determined by the owner of the private key for each currency.
19:05
The filer you, for all times material to each transaction, the owner of each private key. OK, so I am going to correct myself here. The filer's Coinbase in this case.
19:18
The filer is the one who did the 1099, who issued the 1099 to you.
19:22
That's the filer for all times, material to each transaction, the 1099.
19:27
The owner of each private key, Coinbase at all times, was the owner of each and every private key.
19:35
And thereby, the owner of the property for which the erroneous Form 1099 K has been falsely reported.
19:41
So the 2019 time, Kay Report a Disposition of property.
19:46
When, in fact, filer is reporting it erroneously because the filer's ownership interest never changed.
19:57
I'm not some kind of genius. I'm only following a procedure and see how simple this is.
20:03
The filer has been the exclusive owner of the property for all transactions giving rise to the erroneous amount, stated on the form, for all times material to the transaction disputed.
20:15
I know it sounds very repetitive redundant.
20:17
No disposition was made to the payee as erroneously stated, Undisputed Form 1099 K.
20:25
No disposition I'm being redundant.
20:29
Likewise the pay did not receive any Disposition of Property or Payments in dollars Interest Orin Dividends as erroneously reported a true and correct copy of which is attached.
20:42
So there's your 1099 K, or whatever you got. 10, 99 I, N T, or whatever you guys probably know, ..., is probably gonna be a K.
20:50
Likewise, no payments were made in settlement.
20:53
Reportable payment transactions, remember that, remember that phrase settlement, Again, there was no settlement.
21:05
Pursuant to, here's your backup withholding statute. You can look it up.
21:12
26 USC 31st X, OK, that's your statute, there's a reg two that goes with that. There has been no pay underreporting.
21:19
That is what we're doing here. We're telling the IRS there's been no pay underreporting.
21:24
Therefore, I'm not subject to backup withholding under 26 USC 34 oh 6, because the payments were not reportable payments.
21:34
What?
21:35
I'm telling the IRS, because I got 1099, it's erroneous, and it wasn't supposed to be reported on telling the IRS that.
21:47
Here's the category. Here's the subcategory A the payee.
21:51
Did not fail to include, in his return of tax under Chapter one, for such year, any portion of a reportable interest dividends or other reportable payment required to be shown on such return.
22:07
This one's not reportable.
22:09
And anything else that was reportable well, that wasn't excluded. We took care of that.
22:15
Or, the payee was not required to file a return wipe.
22:21
You guys always freak out when I say you're not required to file a return and here the IRS says, Hey, there's another conditions where you wouldn't have had to file a return.
22:29
Well, gosh, that is possible, isn't it? I didn't say this. The IRS said it comes right out of the bulletin, comes right out of the regulation, OK.
22:38
Was not required to file a return for such year and to include a reportable interests dividend or other reportable payment in such return, but did file the return reporting, all the required ones.
22:50
Even the IRS makes that distinction.
22:56
This is why I'm very careful not to publish this.
22:58
Because I don't want people freaking out and go, oh, my God, it's all voluntary.
23:01
And then start throwing this into everything that their brain can point at, OK, This is this letter is what I'm showing you, OK?
23:11
Please do not use it for something else, please, or it won't work.
23:16
That's my estimation anyways.
23:18
On number seven of the letter, item number seven.
23:21
Additionally, I have provided a certification on form W nine that that I was not and am not subject to backup withholding for the pertinent tax period.
23:31
This is the game changer right here.
23:32
This is what does the trick, you have to say something under penalty of perjury. and in this case, it's always it's a certificate, a certification.
23:41
They're not going to argue with you.
23:43
As long as you do it, as long as you fill it out, here's what I'm asking you to do. IRS.
23:49
I'm requesting that the Secretary of the Treasury make the following determination's.
23:53
Number one, there was no pay under reporting, Anne.
24:01
I don't know why I put four here, I know, I put four because I'm actually copying the literal verbatim language from the actual regulation left brain when it comes to.
24:11
There is a bona fide dispute as to whether there has been any pay under reporting.
24:18
So if the 1099 that Coinbase sends does not match my 10 40, that is a bona fide dispute, I'm going to fix it right now with my request for determination letter. That's what we're doing here.
24:31
And that the payee is not subject to backup withholding for the tax period identified.
24:37
And is requesting that the Secretary take the action described in 34 oh, six, C three B. As follows. And I put it in there and I put it in a box.
24:48
This is what I want you to do. Mister Secretary.
24:55
Stop or do not start withholding.
24:58
They've never started so far We're good, OK?
25:02
If they're in the middle of withholding can I help you? Yes.
25:05
We do this letter. They should stop withholding.
25:10
Excuse me.
25:12
No notice has been given under paragraph one to any filer.
25:16
Remember that was Coinbase in this case?
25:19
With respect to the underreporting, we didn't tell them anything. we don't have to.
25:23
The secretary shall not give any such notice.
25:28
If no notice has given a Coinbase to withhold, then don't give a notice.
25:32
Obviously, if such notice has been given, provide the payee Coinbase, with a written certification that withholding under Section A one C is to stop.
25:42
The IRS will tell Coinbase to not do backup withholding if you do this.
25:53
Notify the applicable payers and brokers that such withholding is to stop.
25:58
That would be Coinbase, the filer.
26:01
OK here's the legal statement. It's called the Statement of Law.
26:08
I tell him, the law is certain and unambiguous, I love saying that please be advised that 26 CFR, that's a regulation.
26:16
now, Section 1.1, 471 dash 1 through 7, defines reportable payment.
26:23
To mean the term reportable payment means a payment interest or dividends as defined.
26:32
And other reportable payments as defined.
26:38
Here's my analysis, Form 10 K, 1099 K, incorrectly reports, dollar amounts that were not remitted or distributed to the payee. That's you.
26:50
As stated on the form, the filer has retained ownership of the underlying property amounts erroneous reported as payments in dollars on Form 1099 K, and never disbursed any payments to the payee.
27:04
Right? You me, right?
27:07
Other than those reported, I already told you everything you need to know, right on the payee's filed tax form.
27:13
That's why we include a copy of 1040, whether or not it's been filed, as long as it's completed, you're in good shape.
27:18
The taxpayer hearing was not the pay of any interest dividends, or other reportable amounts identified under 26 USC 34 oh, six, B three.
27:29
Additionally, the dollar amounts originally stated on the disputed form 1099 K do not represent dollars paid to the payee or settled transactions and do not identify any amounts of interest or dividends paid to the payee.
27:47
and, therefore, are not subject to backup withholding. You see how this whole letters about backup withholding.
27:53
Specifically, other reportable payments, as they relate to this transaction, are identified in 26 CFR 31, 3406.
28:03
Now, you see, this is the regulation for the statute, 26 USC 34 oh 6.
28:09
You're more than welcome to look that stuff up.
28:12
But here, it all is payment card and third party network transactions subject to backup withholding.
28:19
They have an infrastructure already. This is why I explain for four years now.
28:23
The Iris has no need to change the law. In fact, it has never changed law with with respect to virtual currency.
28:29
All it's done is define a transaction a certain way then include it within a procedure that already existed.
28:37
And it turns out that we still do not have any new tax liabilities here as long as we understand what we're doing.
28:47
Under 26 U S C Code 6050, W C, it identifies a reportable payment transaction to mean any payment card, payment card transaction, and any third party network transaction, and as it pertains to the transaction here, Form 10 99 K that the term third party network transaction means any transaction which has settled through a third party payment network.
29:13
What does that pay pal?
29:15
Square square up, Coinbase, assuming for a moment that the reporting party the payor is a third party payment.
29:26
I'm just going to give them the benefit of the doubt, let's just say that Coinbase says I'm not saying it is.
29:30
Let's just act like it is assuming for a moment that the reporting pay or is a third party payment network, the dollar amount stated on the pertinent form 1099 K where never settled transactions.
29:44
Within the meaning of the regulation and the dollar amount stated on Form 1099 K, are erroneous and false?
29:52
No payments were made to the payee as erroneously stated on the disputed Form 10 99 K.
29:59
Why isn't your CPU doing this?
30:01
This is not difficult.
30:06
Here's the conclusion, I the payee, the taxpayer, I'm speaking for John Smith, OK, in all caps.
30:14
I am not subject to backup withholding for the period ending, and whatever year you got that 1099, OK?
30:22
And it goes into procedural matters. I'm going to waive a couple of things here.
30:26
There's some exemptions about filing fees.
30:29
I wave my right to pursue disclosure violations, I don't care about this stuff.
30:33
Statement regarding whether same issue isn't in earlier return. We don't need all this stuff, You can read this if you want.
30:41
This is all procedural, I got this out of the manual. I just went through, and I actually rewrote what was in the manual.
30:46
So these are my words: two, I rewrote them affirmatively or negatively, depending on what was needed for what we're trying to do.
30:56
And then I'm not requesting separate letter rulings on multiple issues. Procedural stuff.
31:01
All right.
31:02
Then, there's a deletion statement.
31:06
Tickets.
31:07
Yeah. The deletion statement is up here somewhere.
31:09
I think it's at the top of the letter somewhere, um, again, that's all procedural.
31:16
And then I certify that my combined gross income is less than $150,000, now.
31:22
The reason why I do that is because I want a waiver of user fees now, if you're reporting more than 150 a year on your 1040.
31:33
I would correct this statement. Your user fee is probably $275. I don't even know that I would pay it.
31:38
I would wait and see if the IRS asked me for it.
31:42
So far, I never had a problem so far. Never even asked anybody if he's reporting more than 150 hours.
31:47
10 40, I've never asked.
31:50
There is a thing called them a de minimis non cure at Lex.
31:56
It's called the minimus Failure or something that's not worth someone's attention.
32:01
And in legal matters, if it's not worth the cost of dealing with it, they're not going to deal with it. So, I mean, $275 is not $50.
32:07
But so far, I've not had any questions on this.
32:11
So I think you'd be fine if you left this, just like it is, If they have a problem with that, they might send you a bill for 200 bucks, OK, 2, 75, the last thing, as a declaration, they love these things under penalty of perjury, all this stuff.
32:25
That's true, OK, here's what's here.
32:30
Here's what I think, here's what I'm included, a copy to. I send a copy to Coinbase you don't have to do that.
32:36
Here's its address, but here's what I have and close, this is the most important thing.
32:41
You've got to include a copy of the 4099 K.
32:44
You got to include a copy of your completed 10, 4040. Whether or not it's filed for that particular year.
32:49
That pertains to the 1099 K and do a W nine certification.
32:58
Regarding the SSN on the 1099.
33:03
So, use this for the intended purpose.
33:09
Aye.
33:09
I'm recording this is Part two so my my purpose here is to make it complete enough so that you can show your CPA and he came on board with this.
33:19
It's not hard, no need to be afraid of the IRS or following the law.
33:23
Um cryptos are not taxable.
33:27
Ah, OK. This, this shows you. Now, we are going to do some more parts. I know we're going to do a part three to this is going to be a live question and answer, so I will publish this in the Inner Circle.
33:39
Once you all have had a chance to review it, we're going to do live Q and A and attach it here. And if I have to amend or supplement this recording, I'm certainly going to do that, but I hope this helps you all out.
33:50
Thank you for watching subscribing.
33:53
Appreciate that.