# Uber got audited by the IRS!



## Drizzle (Jan 1, 2018)

Finally someone gets to look at the real numbers. Uber hq is freaking out right now, we have a 70 billion dollar startup that doesnt pay taxes! They say they keep losing money but we will see what happens!!!

https://www.9news.com/mobile/articl...eview/73-576ec002-dd92-4195-ba0c-1b42ce97794f


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## U/L guy (May 28, 2019)

I see a lot of political low lifes selling their souls to Uber to get the IRS audit squashed.


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## Seamus (Jun 21, 2018)

Drivers who drove in 2013 & 2014 and weren't straight up on their taxes should be freaking out just as much. Those that don't make enough to get a 1099k so they didn't report their Uber income on their taxes.........this is how YOU get caught.


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## Don'tchasethesurge (Dec 27, 2016)

If Uber actions reflect on their taxes then I am sure the irs will find a lot. Uber has always had attitude of being above the law... not good for investor.


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## Michael1230nj (Jun 23, 2017)

No one doubts they are losing money. This is a non event.


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## observer (Dec 11, 2014)

If Uber is paying itself to another subsidiary in an account in another country it will never be profitable because all the profits are being offshored.

Lots of companies have been doing this including Uber.

Uber is under investigation for tax fraud in several countries.


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## Stevie The magic Unicorn (Apr 3, 2018)

Seamus said:


> Drivers who drove in 2013 & 2014 and weren't straight up on their taxes should be freaking out just as much. Those that don't make enough to get a 1099k so they didn't report their Uber income on their taxes.........this is how YOU get caught.


I had a substantial taxable profit the first year I was doing Uber. Ya know back when it paid well.

I also have my taxi income folded neatly into my Uberx income making it a convoluted mess for back then as well.

But I showed a taxable profit every year since 2010 so I'm not that worried.


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## Drizzle (Jan 1, 2018)

Michael1230nj said:


> No one doubts they are losing money. This is a non event.


It is a big deal, the company went from 100k to 70 billion without showing a profit, thats tax fraud, they are offshoring some of the money and some of the money was burned. Some of the money was embezzled, but most importantly someone is investigating.

Uber math is notoriously bad, if it doesnt add up and the evaulation keeps going up then fraud is likely. Or its an enron type situation where their evaulations too high, which is also fraud. Its a black box, money goes in, they lose a billion a quarter and their evaluation goes up, thats fraud. Thats enron.


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## Michael1230nj (Jun 23, 2017)

They just went through an I P O. Do you think the Wall Street Guys didn’t do their Due Dilligence?


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## Drizzle (Jan 1, 2018)

Michael1230nj said:


> They just went through an I P O. Do you think the Wall Street Guys didn't do their Due Dilligence?


I literally explained it to you and gave you examples in the last comment. Uber is a black box, like enron, google enron scandal, enron was publicly traded. I looked up black box for you bc it has multiple meanings but its an investment term.

https://www.investopedia.com/terms/b/blackbox.asp


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## UberTaxPro (Oct 3, 2014)

Drizzle said:


> Finally someone gets to look at the real numbers. Uber hq is freaking out right now, we have a 70 billion dollar startup that doesnt pay taxes! They say they keep losing money but we will see what happens!!!
> 
> https://www.9news.com/mobile/articl...eview/73-576ec002-dd92-4195-ba0c-1b42ce97794f


These audits around the world will generate even more expenses in attorney and accountant fees insuring another loss for 2019!


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## Stevie The magic Unicorn (Apr 3, 2018)

Michael1230nj said:


> They just went through an I P O. Do you think the Wall Street Guys didn't do their Due Dilligence?


They may have, they also might have taken bribes...


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## RabbleRouser (Apr 30, 2019)

Drizzle said:


> Finally someone gets to look at the real numbers. Uber hq is freaking out right now, we have a 70 billion dollar startup that doesnt pay taxes! They say they keep losing money but we will see what happens!!!
> 
> https://www.9news.com/mobile/articl...eview/73-576ec002-dd92-4195-ba0c-1b42ce97794f


The tax man may be coming for Uber and Lyft drivers
https://www.rollcall.com/news/tax-man-may-coming-uber-lyft-drivers​


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## observer (Dec 11, 2014)

RabbleRouser said:


> The tax man may be coming for Uber and Lyft drivers
> https://www.rollcall.com/news/tax-man-may-coming-uber-lyft-drivers​


A few years ago California required companies that had vendors (not sure if ubering would count as being a vendor, but it could be construed as selling a service) to report any sales over 500 dollars per year.

The company I worked for had many, many independent contractors that sold us a service. We did report to the state any income over 500 bux per year.

So, the federal requirement may have been 20K but the state had a much lower threshold. Once the state income is reported I'm sure the feds have access.

Looks like Uber should have been reporting pay over 600 bux per year as soon as they hit this threshold in CA to at least the EDD.

https://www.edd.ca.gov/payroll_taxes/faq_-_california_independent_contractor_reporting.htm
So, if you earned more than 600 bux in CA the franchise tax board likely already knows that you did since Uber has 20 days of you hitting the threshold to report or Uber gets fined.


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## observer (Dec 11, 2014)

https://www.cnbc.com/amp/2019/06/14...azon-sums-up-battle-over-corporate-taxes.html
Corporate tax avoidance is and should be an issue we take seriously.

Every dollar they don't pay has to be made up by us, the taxpayers.


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## UberTaxPro (Oct 3, 2014)

observer said:


> https://www.cnbc.com/amp/2019/06/14...azon-sums-up-battle-over-corporate-taxes.html
> Corporate tax avoidance is and should be an issue we take seriously.
> 
> Every dollar they don't pay has to be made up by us, the taxpayers.


Corporations actually pay very little of our country's taxes directly. Most of the tax money comes from payroll and individuals including the corporate owners (stock holders):


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## observer (Dec 11, 2014)

UberTaxPro said:


> Corporations actually pay very little of our country's taxes directly. Most of the tax money comes from payroll and individuals including the corporate owners (stock holders):
> View attachment 328644


That's because corporations have been shifting more of the taxes to individual taxpayers.

Corporations used to pay a little over 30% of Federal revenue as did individual taxpayers.

Individual taxpayers now pay about 50% while corporations are about 6%.


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## UberTaxPro (Oct 3, 2014)

observer said:


> That's because corporations have been shifting more of the taxes to individual taxpayers.
> 
> Corporations used to pay a little over 30% of Federal revenue as did individual taxpayers.
> 
> Individual taxpayers now pay about 50% while corporations are about 6%.


Many Corporations (especially smaller ones) pay all their cash out as payroll or dividends as they have no need for retained earnings. I advise my small c corp clients to empty their accounts through payroll and/or dividends on Dec 31 of every year. Even with the lower corp tax rate of 21% it is better to avoid the double taxation that occurs when you leave money in a c corp. If you leave the money in the corp it gets taxed at 21% and then taxed again when you eventually send it to payroll or pay it out as a dividend. So corporations only pay 6% of our tax directly but they are directly linked to a lot of payroll and dividend tax paid by individuals.


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## observer (Dec 11, 2014)

UberTaxPro said:


> Many Corporations (especially smaller ones) pay all their cash out as payroll or dividends as they have no need for retained earnings. I advise my small c corp clients to empty their accounts through payroll and/or dividends on Dec 31 of every year. Even with the lower corp tax rate of 21% it is better to avoid the double taxation that occurs when you leave money in a c corp. If you leave the money in the corp it gets taxed at 21% and then taxed again when you eventually send it to payroll or pay it out as a dividend. So corporations only pay 6% of our tax directly but they are directly linked to a lot of payroll and dividend tax paid by individuals.


While that does affect the percentage, I don't think many S corporations have billions of dollars parked overseas.


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## UberTaxPro (Oct 3, 2014)

observer said:


> While that does affect the percentage, I don't think many S corporations have billions of dollars parked overseas.


Many individuals do!


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