The IRS will let you deduct your losses from Ponzi scheme ripoffs. No word on whether losses due to the wire, the pigeon drop, advance payment or three card monte are allowable, but I'm gonna claim 'em anyway.
The IRS has announced it will allow favorable ordinary loss treatment for investment theft losses. Basically, such losses occur when your money is never actually used for the intended purpose of acquiring investment assets.
Instead, the money is hijacked by the perpetrator of a fraud. The classic example is the so-called Ponzi scheme where money collected from later "investors" is used to cover "income distributions" and "withdrawals" paid to earlier "investors" without any investments ever actually being made.
Taxpayer-friendly ordinary loss treatment takes some of the sting out of Ponzi scheme losses. Unfortunately, however, there are plenty of victims who can benefit from the IRS's enlightened attitude. Not only did Bernie Madoff lose some $65 billion of investors' money, but other similar frauds have since come to light. The sad truth is, Ponzi losses are more widespread than you might think.
Tax Breaks for Ponzi-Scheme Victims
A resident of Erie County, Ohio called police on Tuesday when she spotted a large pig outside her back door. The police attempted to capture the suspect but as body cam footage (below) shows, it was no easy task. Eventually, the sheriffs used apples to lure the pig into a barn and located the animal’s […]
Given that by the time we see a new season of Stranger Things the kids will probably be in college, this will have to do! That’s ok because, as Steve Harrington says, “Hair is here!” In this week’s episode, Mike investigates a crime, while Nancy wonders about the gift Steve gave her.
Cards Against Humanity asked Spencer Kelly to teach a computer to write mean, funny joke-cards for a new, AI-based expansion pack to the game; Kelly trained the popular GPT-2 generative language model (previously) on existing cards, and now the company is livestreaming a 16-hour competition between its AI and its human joke-writers, with a voting […]
Who are these people that have time for a job, social life, and actual healthy meals? With a nutrition segment on seemingly every talk show and entire networks devoted to food, it can sometimes seem like we’ve never left our mother’s house and her constant admonitions to “eat your vegetables!” And okay, she was right. […]
Every Christmas list has names you dread buying for. But hold up: Before you wave the white flag and get them yet another gift card, scroll down a few. We’ve got 15 items that run the gamut from stylish old-school lighters to cutting-edge audio tech, enough variety to please any Scrooge. And the best part? […]
We’re living in the age of Big Data. As the driving force behind everything from Google’s famed algorithms to self-driving cars, massive sets of complex data can be found at the heart of some of today’s most exciting and important technologies. The Ultimate SQL Bootcamp Certification Bundle will give you the skills and tools you […]