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'James Joseph, a tax lawyer with Arnold & Porter in Washington, noted that the I.R.S. has taxed illegal contraband at its market value, but added: “I don’t know
by Al_xss 14y ago
'James Joseph, a tax lawyer with Arnold & Porter in Washington, noted that the I.R.S. has taxed illegal contraband at its market value, but added: “I don’t know of any instance where the I.R.S. has assumed taxpayers will engage in an illegal activity in order to value their assets at a higher amount."'
This seems uncontroversial to me - drugs are taxed at market value because it's illegal to own and sell them, surely the same should apply to bald eagles.
- rprasad 14y agoThe key issue here is that the artwork was created prior to the law illegalizing private possession of bald eagle remains. It was on those grounds that the family received special dispensation from FWS to maintain legal ownership (but not physical possession) of the artwork. (And b/c they do not possess the eagle artwork, they do not violate the law.)