Stripper Gets Put In Prison For Not Paying Tax - Dont Let This Be You!
One of the greatest myths in finance, is that you have to earn a lot of money to be wealthy. While that may be true to a certain extent, many people work hard for most of their life on a reasonable wage and yet, may still retire penniless and reliant on a state pension or some form of Government assistance.
Contrary to popular belief, it’s not the amount of money you earn that distinguishes most people who end up comfortably off at retirement age, from those that aren’t but rather, it’s more about HOW you manage the money you earn ~ an area that most people fail to master.
A one-time exotic dancer was convicted of filing a false tax return and sentenced to nearly three years in jail and ordered to pay $214,606 in back taxes.
It does happen and lot more often than one might think. So, don’t let this happen to you.
Veronica Fairchild, 42, collected $1.1 million between 2005 and 2008, most of which was from David Karlen, a wealthy client.
Now that you have his name girls, please don’t go and cyber stalk him.
She only declared 45% of this money as income, on her returns for those tax years and which she didn't file until 2010. The remaining $643,648 was declared as being a gift.
At her trial in June, Karlen testified that he'd paid Fairchild to dance and later for sex. He claimed to have paid between $1,000 and $5,000 for participation in a variety of sexual acts.
Fairchild denies ever having sex with Karlen and adding that, much of the money was meant as a loan. She said that Karlen had invented the stories about sexual encounters, in order to cover for his failure to pay taxes due in respect of the ‘monetary gifts’.
The jury sided with Karlen, convicting Fairchild on four felony counts of filing a false return, which carried a sentence of between 33 and 41 months in federal prison.
On Wednesday, Fairchild and her family pleaded for a probationary sentence.
Fairchild, the mother of three children, including an infant daughter, promised to start dancing again in January and pay $1,000 a month towards her tax bill, which stood at more than $500,000 in back taxes and unpaid fees. She hadn't been dancing for some time, as she had recently become pregnant.
The judge told Fairchild that she hadn't done enough to show the court that she was genuinely serious about repaying this debt. She also told her that a commitment to pay $1,000 a month, without any firm deal on the house or her business, was not a convincing promise for proper behaviour on probation.
"Everything I look at, tells me that you are leading a life, much, much greater than you can afford,” said Judge Schreier adding; "When you owe the Internal Revenue Service more than half a million dollars, you need to start really downsizing and looking at the world realistically."
Fairchild was sentenced to 33 months in custody, because she has a minor criminal history.
She was ordered to turn herself in by November 12th.
I’m sharing this with you girls, so as not to scare you but merely to educate you in understanding the consequences that can ensue from complacency and not being fully aware of the legal responsibilities of self employment and running YOUR OWN BUSINESS!
The rules that govern business, taxes and managing money are often not the easiest to deal with or comply with and very few of us, actually know how to adhere to them correctly.
In order to manage your money effectively, you will need to set up a system to accurately record and account for all the money that is paid to you and spent by you that not only shows you how to manage and allocate your money but also, serves as a set of accounts that can submitted to the Inland Revenue for taxation purposes. It must be a system that can be relied on, rather than depending on your best guess at the time or impulse spending, based on your emotional needs.
The best and simplest system I have come across and the one I use to good effect, sets out seven different categories into which the money coming in can be categorized and allocated to :
The first is - Tax
The second -The business
Third - Personal expenses
Fourth - Savings
Fifth - Growth and investment
Sixth - Contribution
And Seventh is - Dream bucket.
If you want to find out more about managing your money using the seven category system listed above and how you can set up your Stripping Business efficiently to create a financially free future, The Professional Stripper System has an entire module dedicated to this part of your learning and very simple to follow.
As such, you can sleep easy, knowing that you won’t be the next Veronica, ending up in the dock. I know many dancers who use this system, which has helped them to become very filthy rich and yet still stay legit.
