[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

[Nigel of Ukip]

He played the PayPal aswell, he filed before getting paid by Twitch. I also cannot believe the funds on his PayPal are so fucking low, he's doing something shady.

Phil will finesse this shit, it will work out for him.

 

[Beetus Knuckles]

Just realized what the filing amendment might mean. The day Phil filled everything out, the PayPal was empty, so he didn't put it on there. He sees everyone here talking about it, asks the lawyer, and she says that he's a stupid fucking idiot, yes, the thing with money in it most of the time does have to be included you abject exceptional individual.

This. In his pigroach mind, it’s just a pass through account, so it doesn’t matter. His account activity will be reviewed. He’ll be ok if all of the funds are transferred to his checking account. But SHTF if he’s siphoned off tens of thousands for mobile games. Even if he claims it’s for “his business,” he’ll have to provide a paper trail proving that fact. These are assets that could have been used to repay creditors and meet his obligations.

 

[strandedcastaway]

The problem is he plays games for a living and Phil could easily say "those are just game purchases, I did nothing wrong!"

It's very easy to make the claim that they are business expenses when he works as what he does and unless the trustee or anyone else actually goes and cross references the games he plays on stream vs the games he's claimed on his taxes then he could easily get away with this again...

He COULD do this, but if he hasn't been doing it for the past few years on his taxes, he can't suddenly say he had those expenses now. If his IRS filings for the past few years have listed them as expenses, then maybe it would work. I also think people are going to spam the court with all the videos of Phil claiming he never plays mobile games, AND video evidence of his streams would show he doesn't play them for his business. Now, could the court be blind and let this slide? Maybe. But he literally claimed on video that these games/expenses were a "detractor meme". I still think the business expenses are him using household expenses (mortgage, etc.) and inflating the numbers to meet Chapter 7. The numbers match up perfectly. But we won't know until it's all laid out in specific, itemized detail.

 

[Billericay Dickie]

When was the debt incurred? Still an issue for Phil

 

[PonelessBizza]

When was the debt incurred? Still an issue for Phil

View attachment 1147638

I bet he knows the answer but doesn't want to admit it

 

[Phalanx]

I think his claim will be denied because the court will view it as, this nigga is trying to clear his debts keep his house and get off Scot free. The problem is he is earning 10k a month and trying to skirt his debt.

He is foreclosed which will effect him.
He tried to hide how much he is being paid in total.
He is trying to hide his job.
He is trying to hide core fundamentals that surround bankruptcy and think he will just be cleared and get to live on 10k a month from then on.

This and the IRS I bet are scraping their knives ready he owes easily including this year at least 25k. Then suddenly he is bankrupt certainly looks shady.

 

[PonelessBizza]

I think his claim will be denied because the court will view it as, this nigga is trying to clear his debts keep his house and get off Scot free. The problem is he is earning 10k a month and trying to skirt his debt.

He is foreclosed which will effect him.
He tried to hide how much he is being paid in total.
He is trying to hide his job.
He is trying to hide core fundamentals that surround bankruptcy and think he will just be cleared and get to live on 10k a month from then on.

This and the IRS I bet are scraping their knives ready he owes easily including this year at least 25k. Then suddenly he is bankrupt certainly looks shady.

I'd like to see his tax returns tbh

 

[Iron Hamster]

He played the PayPal aswell, he filed before getting paid by Twitch. I also cannot believe the funds on his PayPal are so fucking low, he's doing something shady.

Phil will finesse this shit, it will work out for him.

Seeing Twitch mentioned has been triggering me for some reason. It just dawned on me, he would also need statements from Twitch to reconcile any of the bank accounts. Surely Twitch 1099s him each year. Technically he's a contractor. Same with the tube and patreon. So can't wait to see how he's been scamming the government and that audit notice comes in.

 

[DZoomer]

The problem is he plays games for a living and Phil could easily say "those are just game purchases, I did nothing wrong!"

It's very easy to make the claim that they are business expenses when he works as what he does and unless the trustee or anyone else actually goes and cross references the games he plays on stream vs the games he's claimed on his taxes then he could easily get away with this again...

I actually hope he did this and the trustee sees through his bullshit. Cuz that would be undeniably fraud, both bankruptcy and tax fraud. And then we'd see the prison arc.

 

[Schrödinger's Kat]

I'd like to see his tax returns tbh

There should be inconsistencies between his tax returns and his bankruptcy filings. He showed he earned gross income of $78,204 in 2018, yet we also know he's paying $500/mo to the IRS, and has a balance of $15,000, for his 2018 taxes. So he had near $20,000 in taxes due on only $78,000 of income?

Remember he also got a $12,200 standard deduction from the IRS (that will double in 2019 since he's married), meaning his adjusted gross income in 2018, what he paid taxes on, would only be around $66,000. That puts his tax rate at 30%, where he should only be around 15%. So he made a lot more than he claimed in 2018.

He lying about his income and his tax returns will show it.

 

[Beetus Knuckles]

I’d say his taxes are fairly accurate based his begging. He’s trying to game is way into a Ch. 7. I’d wager he told half-truths to his BK attorney and fessed up after sweating it for a bit, necessitating the amendment. There’s nothing worse for attorneys than finding out about something questionable when the trustee grills the client. A lot of issues can be addressed or mitigated up front if the attorney knows. Like the Conndo. He’s wracking up non-dischagable HOA and property taxes every month on a property that is going back to the bank. If he’d started the process sooner, he could have likely avoided a lot of that. Hope he rolls it into his Chap. 13 plan.

 

[the khat quaffer]

I actually hope he did this and the trustee sees through his bullshit. Cuz that would be undeniably fraud, both bankruptcy and tax fraud. And then we'd see the prison arc.

As has been stated multiple times, he's not going to prison. No conceivable set of circumstances in this entire process, for Phil, could result in him going to the slammer. The absolute worst that might happen is dismissal with prejudice which simply prevents him from re-filing for x amount of days. People in prison can't pay debts. They see him earning $10k/month. They're going to want him to keep earning that and paying what he owes.

In a way, he's already a prisoner. Doomed to sit on that musty couch, playing games he hates for the rest of his days, squealing for quarters from children and wheelchairs.

 

[tomstone]

video from mrlewdacris. pretty accurate rant

 

[King Daddy Telomerase]

Seeing Twitch mentioned has been triggering me for some reason. It just dawned on me, he would also need statements from Twitch to reconcile any of the bank accounts. Surely Twitch 1099s him each year. Technically he's a contractor. Same with the tube and patreon. So can't wait to see how he's been scamming the government and that audit notice comes in.

Twitch and Youtube definitely 1099s him every year. That's why he's not trying to lie about those incomes, but is boosting his expenses to the moon.

No conceivable set of circumstances in this entire process, for Phil, could result in him going to the slammer.

Very likely, but people do get jail time for screwing around with their taxes for years for trying to always scam like Phil appears to be. I wouldn't say it's a 0% chance.

 

[Super Book]

I have no idea why people want to see Phil go to jail. That would just dry up the udders.

 

[tomstone]

but his udders would atleast go to good use in jail.

 

[Schrödinger's Kat]

So I sat down at tried to work out the math for what his income would have been in 2018 from what we know about his taxes for 2018 based on the federal tax brackets. He shows a $15,000 federal tax balance and $500/mo. So his tax bill for 2018 had to be around $20,000. This is only considering federal taxes, not state taxes, which he paid separately.

This implies he would have had an income of $123,000 - after he wrote off his business expenses. He gross receipts would be even higher than that. If he wrote off $5,000 a month in business expenses, his gross receipts on the business would have been $183,000. So it looks like Phil probably isn't writing off WWE Champions, or at least he wasn't in 2018.

Assuming a more conservative $18,000 tax bill implies an income of $115,000, again after he wrote off all his business expenses.

This idiot should have so much disposable income I'd be surprised if he legitimately qualifies for Chapter 13, let alone Chapter 7.

What I'm wondering is why he claimed he only grossed $78,204 in 2018 on his bankruptcy filing. Obviously that is complete bullshit, but I can't even figure out how he could justify it.

 

[DZoomer]

As has been stated multiple times, he's not going to prison. No conceivable set of circumstances in this entire process, for Phil, could result in him going to the slammer. The absolute worst that might happen is dismissal with prejudice which simply prevents him from re-filing for x amount of days. People in prison can't pay debts. They see him earning $10k/month. They're going to want him to keep earning that and paying what he owes.

In a way, he's already a prisoner. Doomed to sit on that musty couch, playing games he hates for the rest of his days, squealing for quarters from children and wheelchairs.

I was responding to the proposition that he'd be filing his taxes considering what he spends in his mobile games addiction as business expenses.

That'd be tax fraud, and yes, he could get jail time for that.

 

[N0thingICanDo]

I bet he knows the answer but doesn't want to admit it

Judge:
"Mr. Burnell, stop recording in the court, no one cares, and if you keep doing that instead of amending your form with accurate information about your American Express card you will be disqualified from bankruptcy"

DSP to Khet:
"When was the debt incurred? You still havent told me dooood!"

 

[James Smith]

@AnOminous If the court determines DSP can afford to pay off his debt under a Chapter 13 plan within less than 5 years would a Chapter 13 petition get dismissed?