[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

[LostMy1stAccount]

He can theoretically count interest on debt as a business expense if the debt was originally acquired to support the business, but on shitty consumer credit cards, he'd need to justify like $20k worth of debt as supporting the business in order for that number to really work. I'm not sure how interest accrued by kiting debt around works or gets applied here, though. I've kind of talked to soap about it, but who the fuck really knows.

Wait a minute.
Did Phil actually put his WAkhando mortgage payments under his business expenses because in his delusional mind, his real adult house is essential for his business?

 

[harbinger]

Wait a minute.
Did Phil actually put his WAkhando mortgage payments under his business expenses because in his delusional mind, his real adult house is essential for his business?

I’ve been thinking just this. I even went through and added some rough numbers together (mortgage, utilities, car, insurance, health and auto, streaming services, phones, etc) and still can’t come up with $5000. Maybe taxes are in there also. I’m leaning more to them being just random numbers pulled out of his ass to meet the Chapter 7 requirements.

 

[FamicomGorby]

I’ve been thinking just this. I even went through and added some rough numbers together (mortgage, utilities, car, insurance, health and auto, streaming services, phones, etc) and still can’t come up with $5000. Maybe taxes are in there also. I’m leaning more to them being just random numbers pulled out of his ass to meet the Chapter 7 requirements.

Think taxes are definitely being included, would explain that sudden spike to $9000 in his expenses.

 

[DZoomer]

Wait a minute.
Did Phil actually put his WAkhando mortgage payments under his business expenses because in his delusional mind, his real adult house is essential for his business?

I remember Phil saying yesterday that he couldn't sell he khando because "then how could I work, stupid?".

So that's quite probable. In his rotten mind, he may think that his khando is absolutely essential for him to work.

 

[HansGruber]

• Make money begging online
• 
  

• This is where checking, savings, and credit card statements come into play. Any and all relevant financial information can be requested to substantiate any vague entries in the paperwork.

  Man would I love to see those.

 

[tzgnilki]

Out of all the mistakes on his "initial filing" what mistake is the worst? How about where he said he's not getting foreclosed on but is?

his biggest mistake was pretending he only earned $50k gross profit in 2019, which means pre-tax, pre-expenses

Spoiler

yoinked from twitter, can't find the post

I’ve been thinking just this. I even went through and added some rough numbers together (mortgage, utilities, car, insurance, health and auto, streaming services, phones, etc) and still can’t come up with $5000. Maybe taxes are in there also. I’m leaning more to them being just random numbers pulled out of his ass to meet the Chapter 7 requirements.

his $5k expenses meme comes from these fake expenses

(large image warning)

Spoiler

 

[Synth]

Wait a minute.
Did Phil actually put his WAkhando mortgage payments under his business expenses because in his delusional mind, his real adult house is essential for his business?

Nah, I doubt it. The biggest question with all of this, at least for alotta peepuhl, is the mysterious $5k in business expenses because it's what pushes down his net income and helps him pass the means test, which he needs to pass so he can file for Chapter 7 instead of Chapter 13.

Mortgages, car payments, insurance, and other things are already listed elsewhere and deducted from the household's net income. This is where that -$35/mo figure comes from. He wouldn't be deducting that twice, at least I don't think he would, because that's just retarded. Even if you give him some leeway and remove the $9k business expense month, he still needs to justify like $3500-4000 worth of business expenses, and the only feasible thing I can think of is interest attached to supporting the business.

 

[Very Honest Content]

Don't care if someone's already posted this. I'm reading the numbers with my tax attorney and my head hurts. Looks like what he reported for his spouse is inconsistent on the documents, affecting monthly income... and it can snowball from there.

Form 106I Schedule I item #2 states the spouse makes $1,349,92

Form 122A-1 Chapter 7 Item #2 states the spouse makes $1,742.32

One major difference is that it changes his family's net monthly income from negative to positive.

Switched gross take home pay for Kat for her net pre-deduction total income, and it all cascades tumbling down? I'm not surprised, math isn't a strong suit for him, he's better at driving in vidya games than basic addition after all.

Looks like one also specifies bonuses and overtime. It's possible (though unlikely) that that made a difference somehow.

Except, there's a zero (0) entry in the first figure for any additional bonus/overtime pay, so he's claiming that's not a part of Kat's income this month too...

I think she wanted Florida, but he wanted the west coast, and Washington was their compromise.

"Florida was dirty," and he didn't like the weather there, no way the air there would have ever have cured his back injury. Pretty sure Florida has a better business environment to run your sole proprietorship from out of in regards to a tax assessment point of view though and only one of those two problems is still lingering for him today...

Overdraft fees.... that motherfucker

Yes. Thank you. (Also tax installment payment, but a few grand in the overdrafts as well.)

I have come to the conclusion, DSP filled out these forms, they were rubber stamped, and most importantly, he knows he's intentionally massaging the math totals to maximize his attempt at gifting right through even bankruptcy. Shit like this is why these are public record, liars and cheaters like DSP deserve public acknowledgement of how truly inveterate their constant lying and failing on their repayment commitments are in order to ward off otherwise unsuspecting non-scum who might run across their path and be sold a false bill of goods by the likes of Phil. Also, he has spent moving into the $50 thousand range on his WWE match three game, based on him seizing on the ironic fan/detractor bait cheer comment of the probably intentionally overestimated $140 thousand figure for the mobile game like a pit bull with locked jaws.

 

[Synth]

his $5k expenses meme comes from these fake expenses

(large image warning)

Spoiler

View attachment 1128296

That's not the same thing. The numbers are similar, but his business expenses average out to $5200/mo (check the monthly income and expenses pdf), and these expenses are $5100/mo.

All the things listed in those screens are normal shit people put down (even if the numbers are memes when it comes to shit like pet care and personal hygiene), but they are separate from his business expenses. He grosses $9200, business expenses bring him down to $4000 net, add in Kat's net of $1000 and you get to $5000 (although there's discrepancies with what she makes: gross listed as $1300 on the petition, and $1700 on the monthly income/expenses form). Now all the regular living expenses get deducted from their combined net of $5100 and you get that -$35/mo figure.

 

[tzgnilki]

That's not the same thing. The numbers are similar, but his business expenses average out to $5200/mo (check the monthly income and expenses pdf), and these expenses are $5100/mo.

All the things listed in those screens are normal shit people put down (even if the numbers are memes when it comes to shit like pet care and personal hygiene), but they are separate from his business expenses. He grosses $9200, business expenses bring him down to $4000 net, add in Kat's net of $1000 and you get to $5000 (although there's discrepancies with what she makes: gross listed as $1300 on the petition, and $1700 on the monthly income/expenses form). Now all the regular living expenses get deducted from their combined net of $5100 and you get that -$35/mo figure.

after a bit of autism, I believe he has just added his b&o taxes to his personal expenses and has called that his operating costs

 

[BallBuster]

his biggest mistake was pretending he only earned $50k gross profit in 2019, which means pre-tax, pre-expenses

Spoiler

yoinked from twitter, can't find the post

View attachment 1128294

View attachment 1128295

his $5k expenses meme comes from these fake expenses

(large image warning)

Spoiler

View attachment 1128296

Spends $100 a month on pet food... as a business expense.

Claims he doesn’t have a pet.

 

[LostMy1stAccount]

Another small detail that is probably pretty insignificant but he declared 600$ a month for groceries and household expenses.
Seems a little too much imo.
Now I don't know the prices in the states, but I live in a 2 person household as well and we never spend more than 350-400$ on that kind of stuff.

 

[Synth]

after a bit of autism, I believe he has just added his b&o taxes to his personal expenses and has called that his operating costs

Yeah, who fucking knows. I can't find the exact place, but somewhere in one of those forms it states that you have to include receipts for all business expenses, so he's either done that and we just can't see it, or it will all come into question during his hearing.

He's getting that $5200/mo business expense number from somewhere, and it's not his regular expenses being counted twice. We just don't know exactly where it's coming from and how much of it he can actually justify.

 

[Schrödinger's Kat]

Think taxes are definitely being included, would explain that sudden spike to $9000 in his expenses.

I agree, this is likely taxes and/or micro-transactions he's attempting to write off as a business expense. Both of which are wrong.

Taxes aren't a business expense, you only pay taxes on profits after expenses so they don't add to your "operating expenses". So if he's doing this, he'll be called out and this will push him into Chapter 13 by increasing his net income.

In fact, the chance of this is quite high. Did anyone see on his forms where he calls out the taxes he pays? I didn't, other than the $500/mo installment plan. So he doesn't pay any other taxes and yet he still has negative net income?

Remember he isn't paying any of his credit cards anymore, and he also isn't paying his CT condo either, and he still claims negative net income. So, just pure common sense says the numbers just can't be right.

Khet's $1,742 income is listed as "gross income, before all payroll deductions", and that would be before taxes are taken out. On the same form, Phil may be claiming his taxes as part of his operating expenses in order to reduce his income into Chapter 7 territory. We don't know his real operating expenses, but lets give him $1,500/mo for shits and giggles. That puts him at $7,700 in profit before taxes, and assuming 20%-25% taxes, about $1,730/mo in taxes he will owe.

Assuming he's adding this in to his "operating expenses", he would still be left with $6,000-$3,990=$2,010/mo that is unaccounted for in his business expenses. That's gotta be his micro-transactions.

That also means he's adding in somewhere between $1,700-$3,700/mo to his operating expenses on the 122A-1 form that are false. Even at $1,700/mo of bogus write-offs, his net household income increases to $89,000, far above the $78,823 median income requirement for Chapter 7.

He doing this just because he really doesn't want Chapter 13, because he knows he can't handle the payment plan.

 

[BallBuster]

He spends 380$ a month on a 2017 Corolla. Lol what? Corolla are $20k cars brand new. Did he just not put a down payment or something?

My car when I bought it was 24,000 brand new, I put down 8 grand and got my monthly payments to under $200.

I just looked up a new 2020 Corolla (same price) and messed around with it until I got it to exactly $380:

Credit score= poor
Down payment= $3,750
APR= 14.64%
Term= 72 months

LOL.

 

[actually]

BREAKING NEWS

Meeting with the creditors has been scheduled for 3\5\2020 at 10am with Trustee Nancy L James.


Source
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Source 2
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Welp, they're getting a deluge of emails.

NO SPERGING OUT ON THIS POOR WOMAN. (This is not for the people quoted, but for the nitwits who may read it and get an idea.)

Interest: any interest expenses on money borrowed, to cover the costs of business activities.

He can theoretically count interest on debt as a business expense if the debt was originally acquired to support the business, but on shitty consumer credit cards, he'd need to justify like $20k worth of debt as supporting the business in order for that number to really work. I'm not sure how interest accrued by kiting debt around works or gets applied here, though. I've kind of talked to soap about it, but who the fuck really knows.

That's true, but he also very specifically listed all his debt as "consumer debt" not related to the business.

Every single credit card debt "type" is listed as consumer debt as well. So he can't be claiming the interest on them as business related. I think it's far more likely, as others have pointed out, that he's just adding up all the household expenses in full and throwing in some tax payments or something.

 

[Schrödinger's Kat]

intentionally overestimated $140 thousand figure for the mobile game

I'm not totally convinced this number is over-estimated. Remember Phil made more money in the past than he does today, and he's still pulling over six-figures. If he averaged $150K/year for the last 10 years, that's $1.5 million. And he acquired $500,000 in debt during the same time period. So, $2,000,000 minus taxes and living expenses for a shut-in over a ten year period and all he has is $120K in equity on that WAkahndo. I can't stress enough how his money seems to have just disappeared into a black hole.

 

[Synth]

That's true, but he also very specifically listed all his debt as "consumer debt" not related to the business.
View attachment 1128332
View attachment 1128333

Every single credit card debt "type" is listed as consumer debt as well. So he can't be claiming the interest on them as business related. I think it's far more likely, as others have pointed out, that he's just adding up all the household expenses in full and throwing in some tax payments or something.

Well, he also listed that he's not sole proprietor of a business when he is, that he doesn't have a cat when he does, and that he had $0 gross income during the month of January when he got his December payments from Twitch/YT and was also getting tips. He listed a lot of things wrong.

I just don't think it's his living expenses, because that would mean he's deducting them twice, and, while Phil is pretty dumb, I don't think he's that dumb.

 

[BallBuster]

Hang on a second. He is paying $1830 monthly on the Wahcondo? He bought it for $265,000.

Can I get someone good with numbers and real estate to try and work this shit out?

I gave him a 10% down payment with mediocre credit and I still had to jack up the rate to 7% to even come close to 1830 (which comes out to around $220 monthly on the principal lol). I knew he had to take a mortgage with a stupid high rate.

 

[tzgnilki]

Yeah, who fucking knows. I can't find the exact place, but somewhere in one of those forms it states that you have to include receipts for all business expenses, so he's either done that and we just can't see it, or it will all come into question during his hearing.

He's getting that $5200/mo business expense number from somewhere, and it's not his regular expenses being counted twice. We just don't know exactly where it's coming from and how much of it he can actually justify.

entertaining the meme of the expenses being seperate, it would be $10,000+ expenses with their combined household income of $4k + $1k

maybe his business expenses is just what he takes out of his paypal account, which makes the most sense