There is a scandal afestering, as many readers of this blog are surely aware. It involves some very damning evidence of a certain individual engaging in the provision of certain lewd and bawdy services. I shall not specify any names, but the whole thing both is and rhymes with improper. I expect further repercussions as everyone scrambles to cover their toochases, and in doing so, gets caught up in complicating falsehoods.
Much has been posted in the blogosphere and beyond regarding this scandal, but I cannot help but wonder about the tax angle here. The alleged services provided by the mistress are, more often than not, provided in return for money, and, if so, the alleged transactions would be taxable events, to the pimp if not to the sex object herself.
I am informed that counsel has been retained. Such counsel (if indeed, he still is admitted to the practice of law) should include, among the pieces of advice, the implications of reporting or not reporting the taxable events on the tax return.
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