My brother has received a large check from participation in those scams where a foreigner pays you 10% of every payment to collect their payments, cash them, and wire them the rest of the money. The check is real, as are the funds. The only thing is, is that if he sends off the money, he will be commiting money laundering and he can't get rid of it now because it's already in his account. Could he keep it as long as he records it on his tax forms and pays the taxes on it? If he did that, would he still get in trouble by the IRS? Will he have to prove where it came from? What will happen?
2006-08-19 17:45:11 · 7 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States
He may have already crossed the line merely by accepting the funds. Would you please hide his crack pipe so he'll think twice about doing stuff like this again??!!
2006-08-19 17:53:07 · answer #1 · answered by rrticulate1 3 · 0⤊ 0⤋
Your brother should not wire money to anyone, not because of fear of doing something wrong and getting in trouble with the IRS, but because this is a very common scam. Tell him to hang in for awhile and do nothing - he'll find that the money disappears back out of his account when the "large check" bounces, which might take awhile - and whatever he has wired to someone will be GONE.
Tell him to talk to the bank manager - they should be familiar with this scam.
2006-08-20 12:51:26 · answer #2 · answered by Judy 7 · 0⤊ 0⤋
He has already commited money laundering by accepting the funds, he is a criminal, and if he is caugh, he is going to Jail for a while. So I don't know what you expect out of this forum, but usually you dont' publicize this type of thing on the internet.
2006-08-19 19:09:55 · answer #3 · answered by Josh 4 · 0⤊ 0⤋
He could turn himself in and offer to be a paid informant and help the government catchi this guy - I wouldn't pay any of the money - it's fraud, and potential prison time if he gets caught - for now, if he doesn't send the money, what is the foreigner going to do, call the police? BTW, the charge for that is racqueteering.
2006-08-19 17:53:39 · answer #4 · answered by Anonymous · 0⤊ 0⤋
that's quite a complicated problem because if the IRS knows about that they will go after your brother and not only them, the FBI too might be interested and they'll go after him, your brother.
don't get too scared about that. all he needs is to tell the truth and convince them that he, your brother, is just being used by some bad people.
2006-08-19 17:55:27 · answer #5 · answered by shongo 3 · 0⤊ 0⤋
This happened recently in my family. Take it to the police immediately. They can deal with it!
2006-08-19 17:51:07 · answer #6 · answered by missingora 7 · 1⤊ 0⤋
Don't look for advice here--contact an attorney qualified in criminal law--immediately!
2006-08-19 19:08:24 · answer #7 · answered by NotEasilyFooled 5 · 0⤊ 0⤋