Amway distributor reports $32,000 loss on $650 gross income
mad_as_hell.jpg (3372 bytes)Well I'm mad as hell now.    You have to hand it to Amway distributors who don't use the Amway business for a tax deduction, because I think they are quite a few who do, and abuse it they do.

 

Well maybe this guy Tyler L.  one is just honest and has no clue on how to run a profitable business.....not

Maybe his profitable upline is mentoring him on how to run a profitable business......not

I just got through with a little E-mail communication with T.L. asking where the positive stuff was on my site. I gave him the links to the positive stuff and did my usual follow up to every visitor that writes me who is "pro" on the business.    I ask them "how much profit will you be reporting on your taxes this year?".   Normally I do not get an answer, but this proud Amway distributor proudly proclaimed

I grossed $650, I didn't really do much and I wasn't in the business for half a year.
I got allot of tax rite-offs. For example my home  office which I already had in my
house, and I bought two Iphones that I use for our business everyday(and other things).
After all my  write offs I got eight thousand dollars back from STATE and FED, that doesn't suck!

I estimated this Amway distributor must be in a tax bracket around 25-28% so I fired off an E-mail is guessing his net loss was around $32,000..... he confirmed it!

I think that was about it yeah. I had many tax deductions from stuff
I like to buy anyway (iphones, computer, car gas, ect) and some from
things that I wouldn't normally buy outside of this business
(functions, CDs, voicemail system)

I'm not an idiot I know I lost money after all is said and done, but
the thing is (and my up-line was very honest with me and told me this
before hand) I don't expect to be making any money at this business
until I'm Double Eagle, witch pays about $2000 per month. I could be
their at the end of this year and I'm very excited.

So you the American taxpayer get to buy this guy his ipones, computer, gas etc. since he deducted it all on his taxes.    I hope this guy gets an audit from the IRS.

I think it is high time Congress pass a law that losses from MLM business cannot offset other income.  I vote a loss could be carried forward like a capital loss to offset future profits, but in no way should you be able to offset other income sources.   Write your Senator and Congressman!

Here is a parody page I wrote about this topic a while back.  IBO Businesses Drain US Treasury