Mega jillions

If I have to buy my own goddam ticket you guys ain't getting shit when I win! :D

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Originally Posted by Danno

If I have to buy my own goddam ticket you guys ain't getting shit when I win! :D

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LMAO. Speak for yourself. All here are welcome to my next real estate acquisition, Mag Mountain. Think of it as the dirtbag version of the Yellowstone Club. I'll have a fleet of RS6 Avants as the shuttle service. Hosting all future BBIs there, of course. Now to start scoping out potential sites!

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Originally Posted by singlecross

It’s Management… how hard can it be? ;)

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Depends if I’m responsible for any TPS reporting


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Alright I'm kinda wavering as you can tell but let's fire this up for previous players only on this particular game.

Friends and family duckets to PayPal, $2 for one line, only option.

Cutoff is 2pm mountain time tomorrow, Saturday July 15.

870 mil on the line.

Disclaimer, I consulted with a dentist not currently licenced to yank teeth in my state, and confirmed my suspicion that creating a new company and disbursements would probably be the way to handle this without me paying tax on the 870mm. I figure that's gonna take a couple months, so no whining if you don't get your duckets the week after we win.

Tally ho.

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Originally Posted by Rideski

Alright I'm kinda wavering as you can tell but let's fire this up for previous players only on this particular game.

Cutoff is 2pm mountain time tomorrow, Saturday July 15.

870 mil on the line.

Disclaimer, I consulted with a dentist not currently licenced to yank teeth in my state, and confirmed my suspicion that creating a new company and disbursements would probably be the way to handle this without me paying tax on the 870mm. I figure that's gonna take a couple months, so no whining if you don't get your duckets the week after we win.

Tally ho.

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I am in again.. Will send $ later tonight

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Originally Posted by Rideski

Alright I'm kinda wavering as you can tell but let's fire this up for previous players only on this particular game.

Cutoff is 2pm mountain time tomorrow, Saturday July 15.

870 mil on the line.

Disclaimer, I consulted with a dentist not currently licenced to yank teeth in my state, and confirmed my suspicion that creating a new company and disbursements would probably be the way to handle this without me paying tax on the 870mm. I figure that's gonna take a couple months, so no whining if you don't get your duckets the week after we win.

Tally ho.

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PM sent for paypal/ venmo deets

Buzz in, money sent. Muchas Gracias yet again!

Kickass Rideski, awfully solid of ya.

Can confirm with the strategy. Form LLC in your state; each Maggot that has a play in the drawing subscribes (joins) as a member of the company; company claims prize in its name; feds and state take their initial cut of the proceeds prior to paying the winnings to the company; the company distributes the proceeds to its members pro rata (net of fees for forming LLC, attorneys’ fees for drafting the company’s operating agreement and ancillary legal services, and accountants to generate the K-1s for each member and ancillary accounting services); company issues a K-1 to each member to pay their individual taxes on their share of the winnings which are reflected on their personal return next year. Bingo bango bongo.

PayPal incoming.

Disregard my PM, figured out who to PayPal.
Thanks!

Hell ya! I’m in money sent


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In to win

Thanks for herding all us cats

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Originally Posted by BmillsSkier

Kickass Rideski, awfully solid of ya.

Can confirm with the strategy. Form LLC in your state; each Maggot that has a play in the drawing subscribes (joins) as a member of the company; company claims prize in its name; feds and state take their initial cut of the proceeds prior to paying the winnings to the company; the company distributes the proceeds to its members pro rata (net of fees for forming LLC, attorneys’ fees for drafting the company’s operating agreement and ancillary legal services, and accountants to generate the K-1s for each member and ancillary accounting services); company issues a K-1 to each member to pay their individual taxes on their share of the winnings which are reflected on their personal return next year. Bingo bango bongo.

PayPal incoming.

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The company pays taxes and then each member pays taxes? I wasn't smart enough to be a dentist, so I may be missing something here, but isn't that a non-optimal scenario?

Powerball says: "If you win a large prize as part of a lottery pool, you are still required to pay taxes on your winnings. Each member of the group will be liable to pay their share of taxes, so everyone will need to report the income when filing their returns. Some states make this easy, as they allow each member of a lottery pool to claim individually through a shared or multiple ownership claim. In these cases the prize money will be paid directly to each member of the pool and the appropriate taxes will be withheld at the point of payment.

It gets slightly more complicated when the entirety of the prize money is paid to one representative, who is then responsible for distributing the winnings to other people. In these cases, anyone receiving a share of the money who is not named as the actual winner will need to complete IRS form 5754 to report the income. This will need to be filled out by every member of the group except the named claimant before the prize money is distributed. Form 5754 must be filed by December 31st of the tax year in which the prize was paid.

I love that we're already thinking through tax minimization strategies for our winnings

Yaay for an opportunity to get a K-1!

Thanks.

In for the Wall of Sound… Billy and the Kids opening night.

Thanks Rideski!

Two chicks at the same time maaannn!

Woot.

TH, $2 sent. Thx mang.

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Originally Posted by dan_pdx

The company pays taxes and then each member pays taxes? I wasn't smart enough to be a dentist, so I may be missing something here, but isn't that a non-optimal scenario?

Powerball says: "If you win a large prize as part of a lottery pool, you are still required to pay taxes on your winnings. Each member of the group will be liable to pay their share of taxes, so everyone will need to report the income when filing their returns. Some states make this easy, as they allow each member of a lottery pool to claim individually through a shared or multiple ownership claim. In these cases the prize money will be paid directly to each member of the pool and the appropriate taxes will be withheld at the point of payment.

It gets slightly more complicated when the entirety of the prize money is paid to one representative, who is then responsible for distributing the winnings to other people. In these cases, anyone receiving a share of the money who is not named as the actual winner will need to complete IRS form 5754 to report the income. This will need to be filled out by every member of the group except the named claimant before the prize money is distributed. Form 5754 must be filed by December 31st of the tax year in which the prize was paid.

I love that we're already thinking through tax minimization strategies for our winnings

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The LLC, being a multi-member LLC, is treated as a partnership for federal tax purposes with each member receiving a k-1 from the company to report on their personal income return to pay tax on the amount received from the company as a distribution. In my timeline when I say “the feds and the state take their cut of the prize then pay the company” that is the chunk the government takes from the prize before it even gets paid to a company (would be no different if a single individual won). There are situations where the company could file its own return and the members pay the delta between what the company paid and that member’s tax bracket but that’s more for an ongoing business and farther in the weeds for this post.


What that info from Powerball above contemplates is that there is no LLC (or other entity such as a trust) formed to accept the prize, but rather a group simply joins to claim the prize and choose one “representative” to act for the group and distribute that form.

A LLC is a legal entity separate and apart from its members which provides the members with liability protection through the applicable state LLC act, and its organizational documents as well as provides the members (us) anonymity as members of LLCs aren’t publicly listed (some states require a manager to be named in its articles of organization), all of which is helpful when you want your newfound RS6Avant wealth to stay off your mooching cousin’s (and worse actors) radar.

All of this is broad strokes of course and why you set aside amounts for local tax and legal counsel to make sure we’re structuring everything in the most efficient manner.

Thnx RS. Sent and In.

Sent

Sent

Gotta play to win. In!

$ sent a moment ago

I'm in! Thanks rideski!

I also got a ticket today on my own, so if that wins I'll throw you guys some shekels.

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Originally Posted by Danno

I'm in! Thanks rideski!

I also got a ticket today on my own, so if that wins I'll throw you guys some shekels.

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Putting some good out there in the world, solid stuff Danno.

I think I’ll do the same as I cross 3 states tomorrow.

For the greater good.

Pm sent for a memory jog on the PayPal info.

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Originally Posted by BmillsSkier

The LLC, being a multi-member LLC, is treated as a partnership for federal tax purposes with each member receiving a k-1 from the company to report on their personal income return to pay tax on the amount received from the company as a distribution. In my timeline when I say “the feds and the state take their cut of the prize then pay the company” that is the chunk the government takes from the prize before it even gets paid to a company (would be no different if a single individual won). There are situations where the company could file its own return and the members pay the delta between what the company paid and that member’s tax bracket but that’s more for an ongoing business and farther in the weeds for this post.


What that info from Powerball above contemplates is that there is no LLC (or other entity such as a trust) formed to accept the prize, but rather a group simply joins to claim the prize and choose one “representative” to act for the group and distribute that form.

A LLC is a legal entity separate and apart from its members which provides the members with liability protection through the applicable state LLC act, and its organizational documents as well as provides the members (us) anonymity as members of LLCs aren’t publicly listed (some states require a manager to be named in its articles of organization), all of which is helpful when you want your newfound RS6Avant wealth to stay off your mooching cousin’s (and worse actors) radar.

All of this is broad strokes of course and why you set aside amounts for local tax and legal counsel to make sure we’re structuring everything in the most efficient manner.

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Granted I don't even know how to spell dentyst, but what's the advantage of creating a company vs some kind of trust?

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Originally Posted by riser4

Granted I don't even know how to spell dentyst, but what's the advantage of creating a company vs some kind of trust?

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Control, ease of formation/governance, ease of distributions with simpler org doc drafting, more modern statutory regimes, ability to tax plan within the company, lifespan of the entity, statutory protections; both trusts and LLCs are used to achieve many of the same goals, the differences usually lie in who is being sheltered and what is being sheltered.

A group of like minded snow sliding enthusiasts are more likely to want collective governance (even if the LLC is manager-managed with “major decision consent rights for all members), as opposed to a trustee of a trust. Also, the goal would be to wind down the entity as soon as possible after it’s served its purpose, easer with a LLC.

I’m not going to die on one hill over another but the ease and beauty of how you can structure an LLC is vastly more versatile. You want an estate planning vehicle? That’s when you see a trusts and estates atty.

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Originally Posted by BmillsSkier

Control, ease of formation/governance, ease of distributions with simpler org doc drafting, more modern statutory regimes, ability to tax plan within the company, lifespan of the entity, statutory protections; both trusts and LLCs are used to achieve many of the same goals, the differences usually lie in who is being sheltered and what is being sheltered.

A group of like minded snow sliding enthusiasts are more likely to want collective governance (even if the LLC is manager-managed with “major decision consent rights for all members), as opposed to a trustee of a trust. Also, the goal would be to wind down the entity as soon as possible after it’s served its purpose, easer with a LLC.

I’m not going to die on one hill over another but the ease and beauty of how you can structure an LLC is vastly more versatile. You want an estate planning vehicle? That’s when you see a trusts and estates atty.

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Cool.

I’ll add that from a purely lotto standpoint, the group should determine its preferred structure before the winning ticket is signed because the ticket acts as an instrument, like a bearer bond, and the individual or entity signing, immediately affects how those proceeds will be handled by the state lottery agency.

Sent

In. Thanks again dude

Back for the Jillions!

In again, funds sent. Thanks!

In, funds sent. thanks for the leg work on this!

In. Need some dough for the Moment 23/24 release on 8/1

In! Thanks!

You’ve got cashish


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$2 sent to TH. Hopefully that’s the right one. Bring it!


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