Seems to me that taxation was one of the main selling points of the pro legalization crowd.
I believe you have to declare income on unlawful activities.
/johnny
if its income you must declare it, illegal or legal. How do you think they put Al C. in jail.
Even with the Just-Us department's "operation choke point" which targeted "shady" but legal industries, like porn, firearms, and payday loans, Holder ordered his minions NOT to go after the dispensaries, so they could use banks for their funds.
Yet another example of a completely lawless regime.
Mark
extortion and robbery are also illegal, but the government still expects taxes to be paid on income from them.
(seriously)
That’s how they got Al Capone - tax evasion.
No, but under current law they could get the shop owners under RICO laws (I think), however with the selective enforcement this isn’t likely.
So how did they get Capone?
Huh? Since when does the law matter to THIS Federal government??
Gotta love the Federal courts. States pass laws contrary to existing Federal drug laws and there is no problem. Let a state try to pass a law that protects even a viable fetus and that law is voided by those ever diligent judges before the ink dries.
LOL LOL
“Income” is from whatever source derived
the sellers and attorney must be smoking something or maybe it’s the 39% federal tax rate they don’t like
Heck, the president breaks the law everyday, he still files his taxes, why should his base be any different?
It is fraud not to declare income. It doesn’t matter if its from prostitution, drugs, bank robbery, fraud, bribery, or grifting, it is illegal not to declare it.
So yes, if you are going to sell something illegal that makes people unmotivated, mentally confused, more liable to depression and schizophrenia, and lung cancer, the sellers should pay taxes.
If you declared bankruptcy the IRS will tax you on the money you owed and couldn’t pay saying it’s a monetary gain.
You are required to report ALL income, legal or illegal. That is how they got Dillinger.
I mean Capone.
IIRC, they brought illegal income under the taxation umbrella as a way to catch gangsters in the Capone era. If they couldn’t catch them for the actual crimes, they could get them on tax evasion.
Didn’t they finally get Capone for not paying taxes on his illegal earnings?
What a shame to see those dope dealers and pushers jailed for tax evasion. LOL
I expect an Executive Order any day making it legal all around the world!!
First, as referenced in related threads, please consider the following.
FR: Never Accept the Premise of Your Opponent’s Argument
In a nutshell, the regardless what FDR's Constitutution-ignoring activist justices wanted everbody to think about the scope of Congress's Commerce Clause powers in Wickard v. Filburn, the Supreme Court had arleady historically clarified the following about the federal government's constitutionally limited powers:
The states have not only never delegated to Congress, expressly via the Constitution, the specific power to regulate intrastate commerce, but the Court has also used the example of agricultural production, which is what marijuana is, as an example of intrastate commerce that is off limits to Congress.
The Court has also clarifed that Congress has no power to lay taxes if such taxes cannot be justifed under its constitutional Article I, Section 8-limited powers, intrastate agricultural production not one of those powers.
Regardless that federal lawmakers will argue the idea that if the Constitution doesn't say that they can't do something then they can do it, the Court has also clarified just the opposite, that powers not expressly delegated to the feds via the Constitution are prohibited to the feds.
Note that all the statements above are substantiated below by excerpts from Supreme Court case opinions. Also note that the last excerpt includes the statement about intrastate agriculture as well as powers prohibited to the feds.
”State inspection laws, health laws, and laws for regulating the internal commerce of a State, and those which respect turnpike roads, ferries, &c. are not within the power granted to Congress [emphases added].” —Gibbons v. Ogden, 1824.
“Congress is not empowered to tax for those purposes which are within the exclusive province of the States.” —Justice John Marshall, Gibbons v. Ogden, 1824.
”From the accepted doctrine that the United States is a government of delegated powers, it follows that those not expressly granted, or reasonably to be implied from such as are conferred, are reserved to the states, or to the people. To forestall any suggestion to the contrary, the Tenth Amendment was adopted. The same proposition, otherwise stated, is that powers not granted are prohibited. None to regulate agricultural production is given, and therefore legislation by Congress for that purpose is forbidden [emphasis added].” —United States v. Butler, 1936.r
As a side note concerning the federal government's constitutionally limited powers, please consider the folloiwng. The states would sure be a dull, boring place to grow up and live in if parents were to make sure that their children were taught about the federal government's constitutionally limited powers. /sarc
That is how the feds busted Al Capone.
For not paying taxes on his ill gotten gains he was sent to prison for tax evasion.