[16-Jan-2020] DarksydePhil is filing for bankruptcy (general thread) - and has officially done so on January 31 2020, meaning a lot of his finances have become public

[actually]

They're a priority debt that doesn't go away (with some very few exceptions). The payment schedule can be adjusted but their debt does not go away. The pigroach pays that no matter what. If the debt is still in existence when the bankruptcy is discharged, they can continue doing whatever they'd do if it hadn't happened.

I didn't think he could get on another payment plan for taxes?

Yeah, this is what I was wondering. Will the IRS be willing to let him get on a separate plan, or will they smack him for trying to not pay a 2nd time?

 

[Wing Zero]

Yeah, this is what I was wondering. Will the IRS be willing to let him get on a separate plan, or will they smack him for trying to not pay a 2nd time?

Wouldn't the only reasonable option be force him to pay everything at once since he obviously can't be trusted to do payments? Why would they even consider putting him on a second payment plan?

 

[actually]

Wouldn't the only reasonable option be force him to pay everything at once since he obviously can't be trusted to do payments? Why would they even consider putting him on a second payment plan?

To play devil's advocate, if he's kept up on payments on the 1st plan, they could look at it and say "Well, we're getting some extra money from the interest and penalties..."

 

[DiabeticSP]

As far as I know if the debt is below so much money and you have been paying on time they'll let you tack it on.

I'm not sure if they let it ride more than once or what the limit is, though.

If he fucks up the taxes somehow to where the IRS notices, they rescind the plan, slap on fines, and send you the bill without ability to payment plan it.

The IRS is 100% going to get every last penny they're owed whether or not it costs Phil a pound of flesh.

My big hope is somehow Phil fucks either the bankruptcy or the taxes and it cascades into the other one, triggering both actions against him at once.

 

[Schmeckel]

Yeah, this is what I was wondering. Will the IRS be willing to let him get on a separate plan, or will they smack him for trying to not pay a 2nd time?

I *think* that as long as he's making his regular payments and shit, the IRS will roll the newly established taxes into the payment schedule and it would be adjusted accordingly. It's not 2 payment agreements, just 1 that keeps accumulating penalties and interest and shit (hmm... Kinda like credit.... The worst kind with uncle Sam since they are the best collections agency...).

But, again, that's probably *IF* his current tax payment plan is in good standing and all that. If he defaults, they're gonna fuck him with a shovel.

 

[LightTailFoal]

The IRS is willing to do an Offer in Compromise if they feel it is necessary to a person's situation. They figured out some decades ago that it is better to get what they can instead of simply smothering people. They can create a plan that will bleed a person over many years. But because the IRS has priority over credit card debt, it is unlikely in this situation that there will be an Offer in Compromise. An Offer in Compromise cannot occur after a bankruptcy has been filed because the bankruptcy itself should create a payment plan for the taxes.

There are priorities to claims in bankruptcy. Lenders with loans secured by a property will have priority on funds created by that property. Administrators (lawyers) of a bankruptcy will have priority over the IRS. The IRS will have priority over credit card lenders. Plus there are laws that protect certain properties from lenders such as certain essentials and a percentage of your primary home.

In this situation, if the bankruptcy is accepted, it will likely last 5 years. Most likely all of his disposable income during that time will go to paying debts. The IRS likely has high priority and will each month take an amount up to that which is necessary to discharge the entire tax debt after 5 years. If there is remaining disposable income, that will likely be proportionally split among the credit card lenders. Each bankruptcy case can have a unique outcome.

If he is already capable of paying for his essentials and of paying all of his debts within the next 5 years, then the bankruptcy will probably not be accepted.

One of the things that makes back taxes so nasty is your future income will essentially be double taxed. You are taxed on income for the current year, then taxed to pay for previous years.

 

[AnOminous]

The IRS is willing to do an Offer in Compromise if they feel it is necessary to a person's situation. They figured out some decades ago that it is better to get what they can instead of simply smothering people. They can create a plan that will bleed a person over many years. But because the IRS has priority over credit card debt, it is unlikely in this situation that there will be an Offer in Compromise. An Offer in Compromise cannot occur after a bankruptcy has been filed because the bankruptcy itself should create a payment plan for the taxes.

They'll do what they'll do. They might want to see how things are going before they make or accept any offers. They're as inevitable as death, but they're in no great hurry. They know their shit's getting paid if there's anything to pay it with, with interest adding up over time.

 

[James Smith]

So that's another $20K or whatever he has to pay within 60 months that he previously had probably 72 months to pay back.

Hope the dude fucked himself here a little bit but he got the plan about 9 months ago so probably didn't very much.

If he modifies his existing agreement, does it extend the deadline to pay to 72 months after April 2020, or does it stay 72 months after April 2019?

 

[BallBuster]

Imagine fucking with the IRS once, and then thinking your dick is so big that you could do it again the next year?

He’s just asking to get audited at this point.

Can you imagine a foreclosure, bankruptcy and an audit saga all at the same time?

 

[tzgnilki]

Imagine fucking with the IRS once, and then thinking your dick is so big that you could do it again the next year?

He’s just asking to get audited at this point.

Can you imagine a foreclosure, bankruptcy and an audit saga all at the same time?

I remember getting a letter in the mail from the government around 3yrs after I stopped being self employed, I thought the worst, maybe I fucked up my taxes

turns out I had over paid for a court appointed lawyer from when I was in prison, and they were just telling me how to get the money back, it was a payment plan that was automatic and it never stopped

just the thought of owing the government taxes near gave me a heart attack, it's fucking weird he sits there goat laughing, and bragging about his garlic coated pre-baked chicken strips from fred meyers while he owes the goverment $20k+

 

[Hungry Hungry Bitch]

Are there any documents filed yet?

 

[James Smith]

Are there any documents filed yet?

No, we're currently watching an autistic race between Midfirst Bank and DSP to see which one gets the prize first.

Then we'll get to see how the prize affects everything because there are many ways the two things (foreclosure and bankruptcy) we're looking at can interact with one another to get different results based on timing and how much unsecured debt he has.

 

[Lady Adjani]

just the thought of owing the government taxes near gave me a heart attack, it's fucking weird he sits there goat laughing, and bragging about his garlic coated pre-baked chicken strips from fred meyers while he owes the goverment $20k+

Because he has always been able to weasel himself out of it. Can't afford a luxury item? lease it! Falling behind on bills? accrue more debt! thirsty for more? second mortgage! In his delusion he probably thinks he'll just declare bankruptcy and the slate will be wiped clean.

He’s just asking to get audited at this point.

Can you imagine a foreclosure, bankruptcy and an audit saga all at the same time?

DSPfacesthemusic.gif

 

[Schmeckel]

Imagine fucking with the IRS once, and then thinking your dick is so big that you could do it again the next year?

He’s just asking to get audited at this point.

Can you imagine a foreclosure, bankruptcy and an audit saga all at the same time?

Normally, I'd agree. But, a lot of self-employed types don't do their federal taxes "the right way" by paying quarterly based on estimates and blah blah blah. The IRS likes getting money. And if they're getting their money on time as agreed upon, they will continue to enjoy those sweet percentage points of interest and keep allowing you, the nudnik who can't pay what they owe, to keep paying. Could he be audited? Sure. Anyone can be. I just was (stated in some other post) and my taxes are a million times more straight-forward than mature-adult-Phil's. Sometimes, these things are random. But, as long as he's paying as per the schedule they agreed to, the IRS isn't likely to call it all due immediately.

Now, if/when bankruptcy gets going, then there might be some hiccups in the machine and the agreement with the IRS wont be feasible anymore...in which case we'll see some tax-related fireworks. I think under chapter 13, if you fail to make your tax payments, the case could be fucked into the dirt and DSP will have to sell the WAkahndo.

 

[James Smith]

I think under chapter 13, if you fail to make your tax payments, the case could be fucked into the dirt and DSP will have to sell the WAkahndo.

I'm curious how much he will be paying directly and how much he won't. I think his taxes might get paid by the trustee while his mortgage and car are paid directly.

I really don't know if you can pay unsecured, even priority, debt directly.

 

[Gotta Groom Em All]

Hopefully this will be coherent. I'll spoil it right now, the wall of text below is armchair behavior analysis and doesn't really have a point.

I haven't been following DSP very long, I can't pinpoint exactly when I started but it's been a little under a year. Usually I just point and laugh at the lolcow worthy stuff he does.

But last night I wasn't laughing. Last night watching his stream was one of the most horrifying things I've ever seen. It was reminiscent of the original SAW movies, or more specifically the horror movie trope where the villan lives in a creepy, isolated house that's in disrepair, and despite his middle age and serious life problems, his mind is focused solely on infantile problems like the status of his toys or whether his friends are ever going to be able to go out to play.

My mental image of this is a 40-50 year old dude sitting in the middle of his dark living room, dressed in raggy, dirty clothes, a single light bulb hanging from the ceiling, mold and rot all over the walls, while he pets and talks endearingly to a stuffed animal. The plot gets advanced by the protagonist accidentally destroying or taking away the stuffed animal, and the villan subsequently going crazy and murdering people.

So here we have Phil, a grown man, getting foreclosed on, about to lose his house and all his possessions, in crippling debt, and literally going bankrupt. Yet he spends the entire stream going unhinged and telling us how disappointed and depressed he is over how Taco Bell screwed up his order. Meanwhile, his mind is completely unfazed by the crippling real life consequences of him not paying any of his debts.

I can draw a number of parallels between this archetypical movie trope and DSP. I was absolutely horrified to see this trope existing in the real world.

It's really fascinating to use Phil as a psychology case study. If any fellow autists remember Red vs. Blue: Reconstruction, the plot centers around an AI copy of a human psyche being traumatized so that it's personality would split in order to protect itself.

Not sure how legit the psychology behind that concept is, but I wonder if Phil's mind fractured to protect itself in a similar way; if his mind is actively blocking him from thinking about his adult problems due to the crushing severity of them.

Further evidence for this were Tevins comments about how the way that DSP was interacting with his chat is not how adults talk to each other.

Either Phil is psychologically fractured or he's a complete idiot and actually doesn't understand how fucked he is. Even more compelling is that I don't think we would never be able to tell the difference.

tldr I draw parallels between DSP and tropey horror movie villans

 

[MoonRocker]

Hopefully this will be coherent. I'll spoil it right now, the wall of text below is armchair behavior analysis and doesn't really have a point.

I haven't been following DSP very long, I can't pinpoint exactly when I started but it's been a little under a year. Usually I just point and laugh at the lolcow worthy stuff he does.

But last night I wasn't laughing. Last night watching his stream was one of the most horrifying things I've ever seen. It was reminiscent of the original SAW movies, or more specifically the horror movie trope where the villan lives in a creepy, isolated house that's in disrepair, and despite his middle age and serious life problems, his mind is focused solely on infantile problems like the status of his toys or whether his friends are ever going to be able to go out to play.

My mental image of this is a 40-50 year old dude sitting in the middle of his dark living room, dressed in raggy, dirty clothes, a single light bulb hanging from the ceiling, mold and rot all over the walls, while he pets and talks endearingly to a stuffed animal. The plot gets advanced by the protagonist accidentally destroying or taking away the stuffed animal, and the villan subsequently going crazy and murdering people.

So here we have Phil, a grown man, getting foreclosed on, about to lose his house and all his possessions, in crippling debt, and literally going bankrupt. Yet he spends the entire stream going unhinged and telling us how disappointed and depressed he is over how Taco Bell screwed up his order. Meanwhile, his mind is completely unfazed by the crippling real life consequences of him not paying any of his debts.

I can draw a number of parallels between this archetypical movie trope and DSP. I was absolutely horrified to see this trope existing in the real world.

It's really fascinating to use Phil as a psychology case study. If any fellow autists remember Red vs. Blue: Reconstruction, the plot centers around an AI copy of a human psyche being traumatized so that it's personality would split in order to protect itself.

Not sure how legit the psychology behind that concept is, but I wonder if Phil's mind fractured to protect itself in a similar way; if his mind is actively blocking him from thinking about his adult problems due to the crushing severity of them.

Further evidence for this were Tevins comments about how the way that DSP was interacting with his chat is not how adults talk to each other.

Either Phil is psychologically fractured or he's a complete idiot and actually doesn't understand how fucked he is. Even more compelling is that I don't think we would never be able to tell the difference.

tldr I draw parallels between DSP and tropey horror movie villans

As I stated in one of my earlier posts regarding Dark's nonchalance towards his impending bankruptcy is that he doesn't understand the real ramifications of what will happen to him.

What I suspect happened is that he talked to his lawyer and the first thing he asked him was whether or not he can keep his house. No, he must keep the Gout Fort.

Lawyer probably answered with something along the lines of "Yes, it's possible but..." and Dark tuned out after the but and only retained the pahsitive part of the sentence.

In his mind, doesn't matter if he's on a 10-year payment plan and live on a restricted income, as long as he can continue living like a hermit in his dusty office for the next 10-15 years, he doesn't care.

Dark hates change. Anything to disrupt his little bubble is what unnerves him and unhinges him. If he can comfortably remain living in his house while the world is falling apart, he won't care.

That's why I'm waiting anxiously for the inevitable emergency stream where he'll tell us one of his bankruptcies filing has been declined and he could possibly lose his house. He needs your tips and monies so he can prepare for the worse while flipping off the camera and screaming that this is all the detractors ever wanted and how we're further ruining his life.

 

[Pargon]

this is all the detractors ever wanted

Speaking for myself but this is accurate. Phil built a life on the backs of others, and said group happened to be one that he has taken for granted and mistreated from Day One. There's a very good reason they call it poetic justice. To see him lose that which he values most, the thing he was only ever able to acquire through deception and foolish decisions, would the culmination of so much that one might call it Wagnerian in scope.

Also, one vote for "Denial" in the great debate of "why is Phil acting like this". Whether it's willful or not I honestly can't tell but this is textbook Acting Like It's All Okay For The Children. Anyone who's witnessed or come from a broken home can smell it a mile away.

 

[DarkSoulsPhil]

Taxes and bankruptcy should terrify everyone. Its a powerful entity deciding how to live your life (in this case, for Daves own good) with harsh penalties if you fail (which is likely giving stats quoted so far).

He should be not sleeping due to anxiety, not wrassling. He's playing this WAY too cool

 

[DiabeticSP]

If people think Phil's gonna irreversibly fuck his life due to bankruptcy, they probably need to relax a little.

Its gonna fuck him for 5-10 years just as much as the slow descent into debt did. Unless he really, really fucks up. Which is around a 60% chance based on most bankruptcies.

Phil has a lawyer to unfuck shit as much as possible, we can assume the lawyer is competent enough to leave Phil just mostly miserable.

Phil isn't a rollercoaster of a cow, he's a leisurely stroll through a park. He's always fucking up just enough to amuse me without the highs or lows of better cows.

He's not even Scalfani tier.