[26-Mar-2020] Philip's 341 Creditor Meeting - When what should be 5 minutes becomes an eternity.

FlappyBat

soap, ballot, jury, ammo
kiwifarms.net
That doesn't just mean it's free money he doesn't have to pay taxes on.
But expenses can be deducted from the company's profit which is essentially his income. So either he gets the game donated, reports it, and then deducts it as a business expense or gets money, buys the game, and deducts its worth as a business expense.

I'm not saying he hasn't been fucking up his taxes by not reporting stuff. It just seems like even if he reported everything correctly (dealing specifically with gifted games) it would come out to the same result.

I guess we can go with it being a capital expense which is taxed differently (where you write off the depreciation in value?), but that seems iffy given the small value of used games (or steam library items essentially being 0).
 
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der rademacher

kiwifarms.net
I work as a bartender on the weekends in a very big city. I take home about 200 to 350 a night from Friday to Sunday. Tips can add up VERY quickly depending on what your tipped role is. A server may work for a whole hour on two or three tables and pocket about 50 bucks in tips in a nice restaurant. Another may do the same work but only pocket like 9 dollars. It depends

Bartenders can serve about 20 customers in an hour or more and get about 2 to 5 dollars per customer in a nice place and abut 1to 3 in a dive bar. This adds up VERY quickly. This is why bartenders and bottle girls can make a lot more than servers.

Now if the environment is right a server can make bank and not be some big booty female.

Tips are not insignificant if the environment is right. DSP has a good-sized audience and they are very active. This is why he can meet a 1300 tips goal in like a week. That's not the little 3 dollars that most ass holes tip a server. DSP is using the analogy to dismiss the fact that he takes tips. He's hiding a lot of income. Remember, he doesn't count troll tips most of the time.

I want to see his PayPal account records.
I absolutely agree. It is hillarious how Phil digs his grave deeper and deeper thinking he can fuck over the trustee (and his creditors) just because he has a threadmill lawyer and was able to "convince" the IRS to put him on a payment plan.
 

AnOminous

Really?
True & Honest Fan
Retired Staff
kiwifarms.net
Today wasn't the day to call him out for being a liar though. I think some people had their hopes up that Nancy was going to call DSP out for being a fucking liar and read him the riot act. That was never going to happen today.
You're not supposed to badger the witness or call them liars or otherwise get combative with them. At least usually, TV law to the contrary. That's to be saved for later in the game.
 

Iron Hamster

Calculated chaos
kiwifarms.net
Whatever happens next won't be cheap. He's got to start raising fresh money right away.

Did anyone else catch the part about his taxes not being done yet? Wasn't there a big rush for that?
I heard it. He told the wheelchairs he got them to him a month ago and just told Nancy he just gave him the info last week and corona chan. He KNEW he was suppose to have them for today and had plenty of time to get them done.

EDIT: Also missing from today's saga was any questions about why he spends money on pets he doesn't have.
 
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der rademacher

kiwifarms.net
he said it on the call: MICROTRANSACTIONS. pretty sure its the wrestling stuff
I am pretty sure that US law already has spoken judgement against such claims (German law definately has). Imagine every gotcha addict would open a YT channel and try to claim a few grands per months thrown at his gotcha game as business expenses. Won't fly I'd wager.
 

AnOminous

Really?
True & Honest Fan
Retired Staff
kiwifarms.net
So either he gets the game donated, reports it, and then deducts it as a business expense or gets money, buys the game, and deducts its worth as a business expense.
It's actual income. He received something of value. If he doesn't report it he's committing fraud. If he gets it for free and then reports it as an expense he's committing even worse fraud.
 

Beavis

Dilweed
kiwifarms.net
I noticed that too but if/when Phil gives her the 6 months paypal transactions then she will see it doesn't make sense...

He has $5000/month tips (conservative estimate) + special fundraiser
Twitch: $3000/month
Youtube: $500 - $1000
Patron: $350
Teespring: $100

When she sees all things added together it should set off alarm bells in her head. Phil tried to hide tips but as she wants paypal information he can't hide it unless he wants to start deleting records and stuff.

When she asked about Streamlabs income I feel like she has been looking at this paypal transactions already and saw that either as a reference or in the payment description column.

This of course is autistic theorycrafting but he's not going to get away with this, she smells his BS a mile off. There's a reason she left him until last.
You can’t remove transactions from your PayPal account.

That doesn't avoid taxes. He still owes taxes on things of value he receives. It might mean they don't get automatically reported by PayPal and don't generate a 1099 or whatever.

If he doesn't pay taxes on that it's not tax avoidance, it's tax evasion. The first is legal, the second is a crime.
Paypal will send a 1099 to the IRS if you receive $20,000 within a year and have 200 transactions.
 

AnOminous

Really?
True & Honest Fan
Retired Staff
kiwifarms.net
Paypal will send a 1099 to the IRS if you receive $20,000 within a year and have 200 transactions.
I don't think Steam does, though, no matter how many free games you get. Just as you still have to pay taxes even if PayPal doesn't generate a 1099, you have to pay taxes on items of value received. It also wouldn't shock me if DSP does bullshit like getting games for free and then claiming buying them as an expense.
 

FlappyBat

soap, ballot, jury, ammo
kiwifarms.net
I am pretty sure that US law already has spoken judgement against such claims (German law definately has). Imagine every gotcha addict would open a YT channel and try to claim a few grands per months thrown at his gotcha game as business expenses. Won't fly I'd wager.
You can only deduct the expenses from the income you generated by that business. So if you spend $10,000 on wrestler pictures for your youtube channel which generates $10 in revenue, you're only writing off $10 on your taxes.
 

Iron Hamster

Calculated chaos
kiwifarms.net
If he was a debt buyer, he did a piss poor job attacking Phil’s case. Why was he focusing on the insolvency date? Yes, this would matter if he ran up the balances a couple of months before filing. He should have pressed about the business expenses more because his goal should be the most likely scenario of forcing him into Chapter 13. He was a troll and lost his guts.

Overall, it’s a draw IMO. The trustee is on to his bullshit schedules and her intent to examine his PayPal account statements is interesting. Did you notice he specifically mentioned microtransactions in his explanation of business expenses? However, she didn’t get into how he determined the value of WAKhando. Does he have enough assets to make liquidating his ass worth it? Guess we’ll see?
Probably because he's on video how long ago saying he was never going to pay any more on the Ct condo plus another video where he was talking about filing well before Oct 2019.
 
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actually

Supervisor
True & Honest Fan
kiwifarms.net
I'm listening through it again atm for shit and giggles and he really tries to sell the trustee that the tips are just a sign of appreciation of his service "like tipping a waitress or bartender at a restaurant" as a "completely optional ability". He obviously tries to downplay the tips as a minor factor of his income. Too bad that he was/is so lazy that he always uploads his twitch streams episodes to yt with the twitch overlay attached, showing all these sweet tips, even if he finds a way to smokescreen the pay-pal account statements.
That's a weird tactic, though, since he very clearly reported the tips as part of his income filing.

I work as a bartender on the weekends in a very big city. I take home about 200 to 350 a night from Friday to Sunday. Tips can add up VERY quickly depending on what your tipped role is. A server may work for a whole hour on two or three tables and pocket about 50 bucks in tips in a nice restaurant. Another may do the same work but only pocket like 9 dollars. It depends

Bartenders can serve about 20 customers in an hour or more and get about 2 to 5 dollars per customer in a nice place and abut 1to 3 in a dive bar. This adds up VERY quickly. This is why bartenders and bottle girls can make a lot more than servers.

Now if the environment is right a server can make bank and not be some big booty female.

Tips are not insignificant if the environment is right. DSP has a good-sized audience and they are very active. This is why he can meet a 1300 tips goal in like a week. That's not the little 3 dollars that most ass holes tip a server. DSP is using the analogy to dismiss the fact that he takes tips. He's hiding a lot of income. Remember, he doesn't count troll tips most of the time.

I want to see his PayPal account records.
I'm sure he hides the off stream tips, but they will be in his transactions.
 

Salubrious

Feelin' Healthy
kiwifarms.net
If he was a debt buyer, he did a piss poor job attacking Phil’s case. Why was he focusing on the insolvency date? Yes, this would matter if he ran up the balances a couple of months before filing. He should have pressed about the business expenses more because his goal should be the most likely scenario of forcing him into Chapter 13. He was a troll and lost his guts.

Overall, it’s a draw IMO. The trustee is on to his bullshit schedules and her intent to examine his PayPal account statements is interesting. Did you notice he specifically mentioned microtransactions in his explanation of business expenses? However, she didn’t get into how he determined the value of WAKhando. Does he have enough assets to make liquidating his ass worth it? Guess we’ll see?
I could be wrong about this, but this was my impression.

I think the judge/trustee/whoever was trying to steer him because the debt buyer was trying to ask questions about DSP's business expenses in general. He might not have the right to do that at this meeting; it sounded (to me) like the judge was steering him in the direction of debts that only applied to Citibank. That was my impression at least.
 

Beetus Knuckles

kiwifarms.net
Probably because he's on video how long ago saying he was never going to pay any more on the Cr condo plus another video where he was talking about filing well before Oct 2019.
To do much with that info, the buyer needs to file an objection to discharge. That can lead to a hearing over the matter. So it’s costing money to pursue it. It’s pretty hard to prove fraudulent intent unless it’s within the presumptive period. Of course, video evidence is damming. But this dude was on the record and didn’t identify himself or the firm he allegedly represents. Plus Citi very rarely sells debt and they will arbitrate to the gates of hell over 10k. I’m not convinced.
 

nohandsboi

kiwifarms.net
Probably because he's on video how long ago saying he was never going to pay any more on the Cr condo plus another video where he was talking about filing well before Oct 2019.
People are still missing his actual answer to that question. Go back and listen.

I asked when he realized he was insolvent. He answered. He consulted with his attorney quickly and started changing his story to "well our first meeting was October, so I guess then."

He's already on record admitting that the last time he paid his condo payment was in April/May though, and his first response to my question was... "the middle of 2019."

Not "October."

Maybe I'll talk with him behind the scenes and hammer that out, though. :cunningpepe:
 
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