Skip to comments.Obama the self employed President?
Posted on 04/18/2010 7:43:01 AM PDT by OldBlondBabe
President Obama just released his tax returns. Much to my surprise I discovered he filled out an IRS form Schedule C "Profit or Loss from Business" claiming a $5,661,666 business profit from the sales of his books. According to the IRS, in order to be able to file a Schedule C one must be "...involved in the activity (writing) with continuity and regularity." If you aren't, then your income goes on line 21 of your 1040 just like everyone else.
The reason for this is simple, people could write off their vacations just so long as they wrote about it and had it published. In which case they could also deduct the cost of printing the book. A tax deductible trip to Tahiti. How cool is that! Too cool for the IRS. Not only must writing be your regular activity, you must be engaged in it for the purpose of making a profit. Obama meets the profit requirement hands down, but his occupation?
Looking at what Obama put down for "Occupation" on his 1040 one finds "US President."
So which is it? Is Barrack Obama a Sole Proprietor of a business involved in the activity of writing (an author) "with continuity and regularity" or is he the President of the United States? Perhaps Obama is a part time President? There is much to be said in favor of part time Presidents. Calvin Coolidge was a great American President who went out of his way portraying himself as "hands off," spending as much time on the golf course and out of the Oval Office as possible. I don't think he even liked playing golf but it was symbolic of how unimportant he thought the Federal Government was.
(Excerpt) Read more at examiner.com ...
Should this not be “royalty income” reportable on Sch. E?
Hey, didn’t Lucky Luciano get deported for tax fraud back to Italy? Maybe we can deport Obummer similarly to Kenya!
Where’d Soros store all those books?
I’m sure IRS agents are being dispatched to Obama as we type.
Terrific Timmy Geithner told him to file the schedule C
RULES?!? WHAT rules? ..why I’m PRESIDENT, you fool!
I’m sure the President’s return was done by competent accountants, who know how such income and expenses are customarily treated.
Many technical aspects of tax accounting seem strange to someone who is not trained in the field.
“Welcome to New Kenya” (Africa USA)
“Where the law of the jungle has replaced the Law of the Land!” /sarcasm kind-of
How about that nobel peace prize money? We haven’t heard much about that or its legality either.
It all depends on how it was reported. 1099-Misc (which many who get side jobs enjoy) or on a 1098.
One can still deduct the expenses of creating the royalties on their Sch E.
Not sure why there would be a need to create a Schedule C business.
In fact, I would call it improper advice.
I would advise anyone getting $7 mill in income to create a corporation to handle the income. Any good CPA should be able to decide which is the correct corp to create.
Leaves the businessman/taxpayer too open for liability issues.
How do FReepers handle their royalty income?
Royalties from writing books go on Schedule C. And they are subject to self-employment tax.
And who told Timmy what to do? Hmmm?
Well what do expect Charlie Rangel and Tim Geitner assisted him with filing the tax return. Charlie rangel writes the tax code and does not pay it and geitner refuses to pay taxes. So it is more of the same - but watch Obama will blame Bush - it it is all George Bush’s fault. Don’t do as i do, just do as i say - words do matter. Just words, What a Imbecile!
Profiles in Courage was ghostwritten.
So, did Obama pay the self-employment tax?
Most of these sales were foreign. Hence all the overseas trips on Air Force One last year. Imagine how many he sold by going to Cairo, Istanbul and Ghana.
I doubt it. Figure that he has accountants who know where to report this kind of income.
My best guess would be that somewhere in the 500 trillion pages of output from the IRS there is a finding that authors have to report their income on Schedule C.