ReyGarcia
ReyGarcia
Joined: Jul 2, 2019
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July 3rd, 2019 at 4:20:31 AM permalink
My friend is taking low-income welfare from uncle sam.
However, he gambled with 6 figures this year in casinos. He filed multiple CTR even though he never won.

He lives in a rental house, files very little income every year, so the government must think he's poor, but he's actually not poor. Gambling with that kind of amount is somewhat suspicious.
Does filing CTR affect his tax or welfare status in any way?
FleaStiff
FleaStiff
Joined: Oct 19, 2009
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July 3rd, 2019 at 4:37:14 AM permalink
Quote: ReyGarcia

My friend is taking low-income welfare from uncle sam.

Uncle Sam is responsible for everyone's low income.
darkoz
darkoz
Joined: Dec 22, 2009
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July 3rd, 2019 at 7:02:15 AM permalink
Quote: ReyGarcia

My friend is taking low-income welfare from uncle sam.
However, he gambled with 6 figures this year in casinos. He filed multiple CTR even though he never won.

He lives in a rental house, files very little income every year, so the government must think he's poor, but he's actually not poor. Gambling with that kind of amount is somewhat suspicious.
Does filing CTR affect his tax or welfare status in any way?



If it doesnt it should.

They probably dont cross reference each other. That is CTRs are not likely sent to welfare departments.

However its the type of thing that could come back to bite you in the arse one day. Not smart.
waasnoday
waasnoday
Joined: Jan 13, 2015
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DRich
July 3rd, 2019 at 7:02:48 AM permalink
The CTR by itself is just a tracking mechanism used by FinCEN to track financial crimes and create a paper trail. According to the training sessions I have been too, it is not shard with the IRS. That should be taken a with a grain of salt though because hiding income to avoid taxes is a financial crime and FinCEN does supposedly analyze the data for suspected crime. They could look his w2gs and 1099s along with the filed CTRs and may determine his reported income for tax purposes seems bit off, but they do get a lot of data so being investigated has, probably, a pretty low chance of happening.

Please be aware that trying to avoid a CTR is a crime and if casino staff suspect this a SAR (Suspicious Activity Report) will be filed and those get a lot more attention than a CTR. SARs are something you do not want to have filed on you. FinCEN and the AML/BSA regulations/laws are taken quite seriously by most casinos.
ChumpChange
ChumpChange
Joined: Jun 15, 2018
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July 3rd, 2019 at 10:01:21 AM permalink
They only keep those CTR's for 5 to 7 years. If this happened long ago, he might be in the clear. CTR's are shared with the IRS, and a SS# could be flagged. The IRS probably gets so many of these they never get around to sorting any of it. A W-2G or Form 1099 would be a sure-fire problem, a CTR is a mystery. Don't want to mess with any of them unless you're gonna be a professional gambler running a living wage profit in a state that lets you deduct gambling losses.
billryan
billryan 
Joined: Nov 2, 2009
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tringlomane
July 3rd, 2019 at 10:10:17 AM permalink
There is a box on every application for SNAP asking specifically about gambling. Wins and losses. I think it's a crime to falsely fill out these things and certainly collecting under false pretenses is actionable.
ChumpChange
ChumpChange
Joined: Jun 15, 2018
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July 3rd, 2019 at 10:40:53 AM permalink
Prozac went up 900%. The living wage keeps going up.
darkoz
darkoz
Joined: Dec 22, 2009
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tringlomanePachucoBro
July 3rd, 2019 at 12:07:58 PM permalink
Quote: billryan

There is a box on every application for SNAP asking specifically about gambling. Wins and losses. I think it's a crime to falsely fill out these things and certainly collecting under false pretenses is actionable.



This is correct.

They even ask how much money you currently have in any bank accounts and other financial holdings.

Being rich and losing tens of thousands while collecting welfare benefits is fraud
Boz
Boz
Joined: Sep 22, 2011
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July 3rd, 2019 at 3:16:26 PM permalink
Quote: darkoz

This is correct.

They even ask how much money you currently have in any bank accounts and other financial holdings.

Being rich and losing tens of thousands while collecting welfare benefits is fraud



No itís not. Itís an AP move doing it legally if there is not a means test on net worth, only current income. We shouldnít punish people who saved their entire life, yet donít work.

That said, you and Bill both seem to know more than the average bear about the SNAP application.
darkoz
darkoz
Joined: Dec 22, 2009
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July 3rd, 2019 at 4:03:02 PM permalink
Quote: Boz

No itís not. Itís an AP move doing it legally if there is not a means test on net worth, only current income. We shouldnít punish people who saved their entire life, yet donít work.

That said, you and Bill both seem to know more than the average bear about the SNAP application.



I have been on public assistance in the past although not for many years.

I was homeless at one point remember?

And current net worth is a qualification for being on public assistance.

Basketball players who earned tens of millions dont get to claim public subsidies the year after they retired while sitting on their millions in the bank.

Surprised a rightie would be arguing for that.

Regardless of when you earned money if you have no NEED for funds, you do not qualify.

And bank account info is asked and required. Bank books are routinely scrutinized as part of the intake qualification process.

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