Thank you, but I'm afraid things become more misterious for me. :)
So, every US citizen have to fill "tax return"...
Well, stupid intermediate semantic question - why the fuck "return"? Return of what to whom? Paying part of money you got from employer or customers to IRS is in no way a "return". Or it is assumed that all money is a property of system or sourced by system so you return part of money you got to system?
Sorry, back to question - US citizen have to fill "tax retrun" and show income and pay calculated percent of income. He could extempt some money from taxing showing some acquisitions. Showing he owns a plane with price $10M will save him only $1.2M (or whatever income tax is). How he could save more than price of plane in taxes? Show price of plane he "got in ownership" as $100M? And that persons who did "ownership transfer" did the magic of that "ownership transfer" to not pay taxes for selling or taxes for receiving gift, it that the trick?
Sorry if it is too stupid questions, but I can't get the point. :)
It's called a tax return because that is a somewhat common terminology in data collection. Information is requested by the government, and the "returns" are the delivery of that data by the various parties.
Taylor Swift does not personally own that plane. She is part of a business entity, and probably actually several different business entities, that manage the various aspects of "Taylor Swift", e.g. intellectual property rights and licensing, concerts/tours, appearances, licensing her public images for products, etc.
As a business, you do not have to pay taxes on business expenses. A plane is a business expense as it is used to transport people to and from business events (and also probably for personal use, but the primary purpose as far as reporting is concerned is for business use).
So, if the business makes $10 million per year, for example, and spends $2 million on transportation expenses, $3 million on salaries, $2 million on advertising, then there is $3 million left, and this is what can be taxed (so obviously, you want to make sure every possible business expense is reported, so the amount of taxes you must pay is minimized).
One note, generally things like planes, vehicles, computers, etc., are amortized over the expected lifetime of that item. Meaning, if a plane is expected to last 10 years, then 1/10th of the cost of the plane will be reported as a business expense each year for 10 years, even if they paid for it all at once up front. This also allows for selling these items early without then needing to pay a tax on the profits of the sale, because you are generally selling it for the remainder of the value that you have not yet claimed as expenses, and thus break even on that item.
As to "transferred ownership", the business entity transferred ownership of the plane to another business entity. It may be another business entity associated with Taylor Swift, possibly a business entity that will then use a service to "rent out" that plane to other people, and thus produce revenues using that plane.
Thank you. So, I just underestimated the richness of word "return". :)
As for "transferring ownership", from my knowledge of business, in Russian version, I still don't get how one business entity could "transfer ownership" to another business entity and it will not be accounted as sale. I understand than entity that received plane will be able to write offsomething from taxing and all that stuff. But then, entity that delivered plane will have to show income or whatever from that transfer and so pay taxes, and also lose its own ability to write off expenses on plane. I just can't get in head what's the point of such operation, especially between business entities wiith one owner. First, I assumed that "transfer ownership" means some operation additional to the "sale" and "gift". Something third that doesn't involve any taxable operations. It is interesting for me personally, because f.e. I can't just take a computer from one of my businesses and just move it to the account of another without making sale deal or gift deal, which both will lead to paying additional taxes. Even if actually I'm the only real owner of this computer and it doesn't change hands at all. If there is some third option to do it in US, then highly probably it exists in one way or another in Russia too, since our business laws heavily copied from Western one.
What does it mean "transferred ownership"? Is it some special American term? Is it somehow different from "sold" or "gifted"?
Im sure its tax loop thing. They transfer it to someone who needs it and gets a huge write off proably worth more than the plane.
Fucking rich people.
Also I dont understand what the difference between rich people and the nwo/who is supposed to be?
They all work together to enrich themselves and their masters.
Thank you, but I'm afraid things become more misterious for me. :)
So, every US citizen have to fill "tax return"...
Well, stupid intermediate semantic question - why the fuck "return"? Return of what to whom? Paying part of money you got from employer or customers to IRS is in no way a "return". Or it is assumed that all money is a property of system or sourced by system so you return part of money you got to system?
Sorry, back to question - US citizen have to fill "tax retrun" and show income and pay calculated percent of income. He could extempt some money from taxing showing some acquisitions. Showing he owns a plane with price $10M will save him only $1.2M (or whatever income tax is). How he could save more than price of plane in taxes? Show price of plane he "got in ownership" as $100M? And that persons who did "ownership transfer" did the magic of that "ownership transfer" to not pay taxes for selling or taxes for receiving gift, it that the trick?
Sorry if it is too stupid questions, but I can't get the point. :)
It's called a tax return because that is a somewhat common terminology in data collection. Information is requested by the government, and the "returns" are the delivery of that data by the various parties.
Taylor Swift does not personally own that plane. She is part of a business entity, and probably actually several different business entities, that manage the various aspects of "Taylor Swift", e.g. intellectual property rights and licensing, concerts/tours, appearances, licensing her public images for products, etc.
As a business, you do not have to pay taxes on business expenses. A plane is a business expense as it is used to transport people to and from business events (and also probably for personal use, but the primary purpose as far as reporting is concerned is for business use).
So, if the business makes $10 million per year, for example, and spends $2 million on transportation expenses, $3 million on salaries, $2 million on advertising, then there is $3 million left, and this is what can be taxed (so obviously, you want to make sure every possible business expense is reported, so the amount of taxes you must pay is minimized).
One note, generally things like planes, vehicles, computers, etc., are amortized over the expected lifetime of that item. Meaning, if a plane is expected to last 10 years, then 1/10th of the cost of the plane will be reported as a business expense each year for 10 years, even if they paid for it all at once up front. This also allows for selling these items early without then needing to pay a tax on the profits of the sale, because you are generally selling it for the remainder of the value that you have not yet claimed as expenses, and thus break even on that item.
As to "transferred ownership", the business entity transferred ownership of the plane to another business entity. It may be another business entity associated with Taylor Swift, possibly a business entity that will then use a service to "rent out" that plane to other people, and thus produce revenues using that plane.
Thank you. So, I just underestimated the richness of word "return". :)
As for "transferring ownership", from my knowledge of business, in Russian version, I still don't get how one business entity could "transfer ownership" to another business entity and it will not be accounted as sale. I understand than entity that received plane will be able to write offsomething from taxing and all that stuff. But then, entity that delivered plane will have to show income or whatever from that transfer and so pay taxes, and also lose its own ability to write off expenses on plane. I just can't get in head what's the point of such operation, especially between business entities wiith one owner. First, I assumed that "transfer ownership" means some operation additional to the "sale" and "gift". Something third that doesn't involve any taxable operations. It is interesting for me personally, because f.e. I can't just take a computer from one of my businesses and just move it to the account of another without making sale deal or gift deal, which both will lead to paying additional taxes. Even if actually I'm the only real owner of this computer and it doesn't change hands at all. If there is some third option to do it in US, then highly probably it exists in one way or another in Russia too, since our business laws heavily copied from Western one.