America: Starting with Daily Intelligence

Chapter 133 Legal Tax Avoidance

"How can I legally avoid paying taxes to the tax authorities?"

Zhang Ailun inquired.

Dave was silent for a moment. "Young man, your idea is dangerous!"

But you've asked the right person.

He certainly has many methods.

He tactfully said, "If you don't have assets exceeding 100 million, I don't recommend you take the route of legal tax avoidance. Actually, it's quite simple to avoid paying this money; you just need to change the concept. Don't you know someone in a charity organization? Reina works at the shelter. You just need to donate your pre-tax income to a charity that meets IRS requirements, then have an employee create an empty account, open a separate savings card, and use that card for all your future expenses under the guise of charity. The purchases won't be registered in your own name; it's just transferring money from one pocket to another to legally avoid taxes."

"If the amount is small, such as hundreds of thousands or millions, you can also use cryptocurrencies such as USDT for transaction settlement. Jennifer has never paid taxes on the money she earned because it is not settled in US dollars. And as long as you do not exchange it for US dollars, there will be no transaction record. The price fluctuations of cryptocurrencies such as Ethereum, Dogecoin, and Bitcoin in the virtual market will not affect Tether (USDT)."

Zhang Ailun suddenly realized and decided to open a cryptocurrency account whenever he had time.

He immediately sent a message to Reina.

Zhang Ailun: I want to donate money to the shelter in the name of our team.

Rena: Are you out of your mind, Allen? You can't even support yourself, and you want to donate? How much money are you going to donate to charity?

Zhang Ailun: $12000.

Reina: $12000? Are you sure? You're probably not trying to donate, you're trying to legally avoid taxes!

As expected of you, you guessed it so quickly.

Zhang Ailun: That's right.

Reina quickly understood his actions and agreed to accept his donation.

Inform him that he can come to the shelter this afternoon to discuss the details in person.

These days, many wealthy people rack their brains to avoid taxes. Besides having many children and raising them, the simplest way is through charitable donations.

Since starting work at the shelter, Rena has hardly paid any taxes. Her salary is donated to charity in another form, and she uses her employee account for expenses. She also receives many benefits and discounts when buying a car or a house.

Zhang Ailun and Reina agreed on a time.

It was afternoon, and Dave still had work to do at the courthouse. After exchanging a few words, they went their separate ways.

Sieg drove Zhang Ailun to the intersection of the shelter, and Zhang Ailun also asked him to go to the cabin in the suburbs to check on the situation, to supervise whether the people in Fis were slacking off, and whether they had refined any gold.

After seeing Sieg off, Zhang Ailun entered the shelter lobby with ease and saw Reina and Supervisor Cooper working there.

Cooper noticed this acquaintance and greeted him warmly.

"Hey! Hamburger, or rather, Leon, you're here?" Cooper patted him on the shoulder with a smile. "Rena already told me about your idea, a charitable donation? That's great, come with me."

He gestured for Zhang Ailun to come upstairs with him to talk.

"Since we're all acquaintances, and you helped us solve a big problem last time, I can help you register an on-the-job position directly in the security room, still as a security guard. I'll also apply for an internal employee bank card for you, so you'll be one of our employees and enjoy generous tax deductions. You won't need to use Reina's account," Supervisor Cooper said bluntly.

To be honest, these benefits are a bit too good. It's so easy to get tax deductions. It's hard for Zhang Ailun not to wonder if there's some deep-seated scheme behind this.

He simply asked directly, "I don't really understand. If I'm just registered at the shelter, do I not have to pay taxes?"

"You don't need to ask too many questions. Every employee here has a tax deduction limit. You're Reina's friend, so just trust me, and you won't go wrong."

Cooper said, "The reason is actually quite simple. The shelter has a bidding quota. For every additional employee, I can apply for more welfare funds from above, but I won't give that money to you, nor will I pay you your salary, understand?"

"If any security issues arise, or if there are any problems that are difficult for us to handle, you will be responsible for resolving them. This will benefit all of us. In addition to tax deductions from your salary, you can also make extra donations, which will be directed to your designated account."

I understand what you're saying.

As long as he could legally avoid taxes by transferring money from one pocket to another, Zhang Ailun had no reason not to agree.

"I will not do anything illegal."

"We don't do anything illegal; we only exploit loopholes in the law. If an unexpected situation like last time occurs, you'll need to handle it. Actually, the reason I want to cooperate with you is because I see your potential. You guys have been making quite a stir in District 5 lately; many homeless people have mentioned your name."

Cooper took two bottles of drinks from the refrigerator, handed one to Zhang Ailun, opened it himself, took a sip, and said with a smile, "Your influence here has exceeded my expectations. Now you're even in charge of this street?"

"It seems not yet. This is a welfare resource area where many homeless people gather. You can think of it as a neutral zone in a game." Zhang Ailun gave him a brief introduction to the street's divisions and resources.

"Interesting." Cooper nodded, but he didn't quite understand. He was a senior executive at the shelter, not a homeless person, and wasn't particularly interested in street fights.

The only thing known is that Juankin is the leader of the homeless people in this area, and many of them listen to him.

And since they are an organization that provides welfare to the homeless, that's enough.

There are actually many loopholes that can be exploited when the two people in charge sit together.

"Welfare agencies have explicit regulations requiring them to provide welfare assistance to the homeless on time. Sometimes they even send people to conduct undercover investigations to prevent the withholding of welfare resources, shopping vouchers, and subsidies. Since those homeless people are all your people, I think it shouldn't be a problem whether a few more or fewer people receive subsidies, right?" Cooper asked.

Zhang Ailun understood what he meant: "You want my people to not collect the subsidies, or to fraudulently collect them? I can't do that."

They even make money off homeless people?

Are you even human?

"No, I want to exchange a batch of goods for subsidies. I know a factory owner in the manufacturing industry who wants to sell a batch of unsold goods to raise some cash, but I can't help him. The subsidies are about to be distributed, and if you can help those homeless people use their subsidies to buy those goods, they will be very grateful to you," Cooper said, explaining his idea.

"What kind of goods?" Zhang Ailun asked.

"Some everyday items like clothes and hats," Cooper smiled slightly. "This is just a trial run. The goods are worth roughly $30,000 to $60,000. The manufacturer can sell them to you at a price slightly above cost, below market price. With your numbers and capital, if you're willing to help, you can definitely manage it!"

Indeed, the Beggars' Sect now has more than fifty members, and with further development, it could easily reach a hundred.

Each person can receive a subsidy ranging from $200 to $800. If Zhang Ailun really concentrates manpower and funds to buy this batch of unsold goods, he can completely absorb it.

"But this doesn't seem to do us any good," Zhang Ailun pondered. "We don't lack food. Compared to spending money to buy things, they actually prefer free shopping. Although I provide them with shelter and assistance, I have no right to interfere with their freedom to shop."

"So what are you lacking? I'll find other manufacturers to handle your unsold goods and provide you with cheap sales based on your needs. Bicycles? Tents? Skateboards? Appliances? Leaves? Painkillers? This isn't about forcing you to buy or sell. I'll arrange for people to sell the items they're willing to buy in your area, creating a small-scale trading market. They can buy the items they need at low prices, the company clears out its unsold goods, and receives cash from the transactions."

Cooper said, "Most importantly, by using subsidies and vouchers to buy these goods, you no longer need to pay consumption tax. Some manufacturers on the verge of bankruptcy have applied for government tax exemptions. As long as they can survive and get their finances back on track, nothing else matters. In the future, they will also donate more items for free to help more homeless people."

"I'll consider it."

Zhang Ailun nodded. "But I won't force them to buy anything; it has to be something they're interested in themselves."

If there were any pitfalls, he wouldn't let the Beggars' Sect disciples fall into them. They didn't have much savings to begin with, and their subsidies were only paid out once a month. If they were to be exploited to the bone, how could the leader of the Beggars' Sect still hold his head high if people found out?

"If you're willing to help, you can contact Reina for details."

Cooper was also taking a desperate approach, as this wasn't something their shelter was doing alone; other shelters in Los Angeles, including those in San Francisco, had been using this method for a long time.

Even more egregious was the tent scandal orchestrated by lawmakers themselves.

But that was actually an internal embezzlement that was exposed, involving a large amount of funds and many departments.

Nowadays, it's more like a business built on the connections of the shelter itself, with the manufacturer selling directly to the outside world in order to revitalize its business.

Ugly, extremely ugly.

The two chatted for a few more minutes, and Cooper left satisfied. Zhang Allen didn't ask what he was going to do, but he figured he was probably going to have a meeting with the boss in the city center.

Zhang Ailun wouldn't believe it if you said the boss wasn't involved. Those factories were probably all businesses run by their own people. Otherwise, how could a factory that was about to go bankrupt be able to apply for tax exemption support? Do they really think Los Angeles is their own home?

Is there no law anymore? Is there no justice?

What? I'm one of them now?

That's fine.

When I went downstairs, I saw that the shelter had closed early. They only provide one meal a day at noon, and distribute free clothes and daily necessities at other times.

Reina also had some free time, so she made herself a cup of hot coffee, crossed her legs, and played on her phone.

Wearing a red jacket with the shelter logo, a white shirt, and jeans, her voluptuous figure resembled a ripe peach, exuding a mature and sophisticated charm.

Zhang Ailun admires the work he developed, never getting tired of looking at it.

"Is everything settled? Any results?" Reina asked, taking a sip of her coffee as she watched him go downstairs.

"Cooper agreed to register me as an employee of the non-profit organization in my name, but there are no subsidies such as insurance or salary. Fortunately, my monthly salary is the tax deduction amount."

Zhang Ailun sat down next to her, one hand casually resting on his thigh.

Rena rolled her eyes at him. "How much tax can you get off your salary? A few thousand dollars at most. Didn't he promise you more benefits?"

"You are my perk." Zhang Ailun's sweet words immediately made Reina blush.

"He promised me that I could make welfare donations to the shelter in the future, which would go into my work account, and I could use that bank card to make shopping transactions in the name of charity."

Reina thought for a moment, "But you'd better not donate too much, $100,000 a month would be more reasonable. Because our shelter's orders and cash flow are only tens of millions of dollars."

Tens of millions? That's all?

Who knows what Cooper has been doing behind the scenes? How can a shelter generate so much revenue?

This is just what's recorded in the project; who knows how much is actually recorded in the accounts?

"You trust my earning ability that much? You think I can easily make $100,000?" Zhang Ailun was also a little doubtful. Are you overestimating me?

Reina immediately replied, "I'm just offering a suggestion; how much money you make has nothing to do with me."

"I haven't seen you for a few days, Reina, you seem to have become even more beautiful."

"When am I not beautiful?"

Zhang Ailun knew she would say that, and replied mechanically, "You look especially beautiful today."

Reina appreciated his praise, but still said dismissively, "You must have said the same thing to other women."

Zhang Ailun didn't know how to answer, so he could only avoid the main point and change the subject to talk about Cooper's business.

Half an hour later, seeing that the other employees were preparing to pack up and leave, Rena stood up and hinted, "Did you take a shower today, Allen?"

"I shower in my RV every day. Why do you ask?"

"Would you mind washing it again?"

"Now?"

"Yeah!"

Reina got up, locked the door, and dragged Zhang Ailun upstairs.

After testing the water temperature, Zhang Ailun lay comfortably in the bathtub. Reina changed into casual clothes, pushed open the door, pulled out a leather whip from the pink toolbox, and lashed it in the air with a snap.

"..."

Zhang Ailun was completely numb.

No, can't I just take a proper shower?

Does it have to be this way?

Reina said with a forced smile, "Of the other girls I've dated, which one has a better figure and is prettier?"

"Of course it's you."

Zhang Ailun answered without hesitation.

"Very well! Now you'll show me how to please others!"

Zhang Ailun hesitated, "Then maybe we should have some peanut butter?"

Reina's expression froze. Peanut butter?

Blushing and biting her lip, she exclaimed, "So ugly!!"

"Wait for me." He turned and hurriedly went out the door, quickly returning with a jar of honey from the storeroom.

"If you don't have peanut butter, honey will do. Please begin your performance, sir."

This time, she really put on a sweet tongue.

Zhang Ailun looked completely bewildered.

It was getting late afternoon.

Overworked Zhang Ailun finally got a chance to rest, and Reina happily prepared dinner for him. She also received a message from Sieg.

The other person showed him a picture with English words and a big exclamation mark.

Sig: I got gold!!!

Zhang Ailun clicked on the picture and glanced at it. There were a few gold nuggets in the container. Apart from the unusual color and the pitted and uneven surface, which seemed to contain some impurities and chemical toxins, it was no different from ordinary gold.

Zhang Ailun: How many grams? What is the purity?

Sig: I spent most of today crushing phones, disassembling and sorting CPUs and gold-plated circuit boards. We only started the actual refining process a few hours ago, and so far we've only filtered out 19 grams of gold! 95% purity!

Zhang Ailun: Well done, keep it up. Everyone will get a share of the profits then.

Sieg: You don't even need to tell them, they're all incredibly motivated right now!

(End of this chapter)